Understanding Exchange Rate Margins

When you transfer money internationally through your bank, the fee you see is rarely the full story. The biggest cost is usually hidden inside the exchange rate itself — the difference between the wholesale (interbank) rate and the rate you actually receive.

This difference is called the margin, and on a large transfer it can easily run into thousands of pounds.

Specialist currency brokers like Pure Currencies work on much tighter margins than high-street banks, meaning more of your money reaches its destination. Always compare the exchange rate offered — not just the upfront fee — before sending a payment.