Hello, could you help me with this question please? When I create a Sterling bill item, it asks for the exchange rate. When I input it (as well as the sterling rate) the resulting calculation is lower than the amount I paid. E.g. I paid 1200 GBP at a rate of .839756 but after review it says total paid from bank €1,007.71. It should be dividing the 1200 by that rate – right?

Hello, could you help me with this question please? When I create a Sterling bill item, it asks for the exchange rate. When I input it (as well as the sterling rate) the resulting calculation is lower than the amount I paid. E.g. I paid 1200 GBP at a rate of .839756 but after review it says total paid from bank €1,007.71. It should be dividing the 1200 by that rate – right?

1 answer

Peter Connor Staff September 8, 2016
Public

You have to use the rate the bank used, the bank will also charge you a fee. Sometimes that can be included but hidden.

#answer-4019
  1. hirsch.john66 September 8, 2016
    Hi Peter, the bank rate is only 12.50.
  2. hirsch.john66 September 8, 2016
    I always have this problem inputting foreign exchange so I tend to fiddle around with the rate till what I get matches the amount coming out of the account. Clearly sterling 1200 at .83 rate will be a higher amount than 1200.
  3. hirsch.john66 September 8, 2016
    But the form shows lower (like I was converting euros to sterling)
  4. hirsch.john66 September 8, 2016
    Can you check and see what I mean?
  5. Peter Connor September 8, 2016
    I'll have a look and get back to you today.
  6. Peter Connor September 8, 2016
    No problem.
  7. hirsch.john66 September 8, 2016
    Thanks :)
  8. Peter Connor September 8, 2016
    Hi John, if the bank are saying the rate is .839756, they're saying every .839756 GBP is 1 euro (they kind of give a backwards rate - the EURO to GBP rate). What bullet expects is the GBP to EURO rate (the opposite). You can divide 1 by .839756 to get 1.190822. If you input the 1.190822 rate, it will give you a higher value. Also note that the bank may have made an extra charge separate from the rate that they gave you.
  9. hirsch.john66 September 8, 2016
    Wow fantastic. Thanks very much for that explanation!

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