Foerign Exchange Advertising

Mark Hamill

I check a banking website this morning for their £ to € exchange rate, which it quotes as 0.8295, last update 8.15 am today.
I go to the bank and I notice that their tv screen beside the foreign exchange desk says its 0.8467, but last update ~7.43 today. I assume the tv simply hasn't caught up to the website (although it was 12.45pm)

However, when I reach the desk I'm quoted the 0.8467 rate. I point out that the website contradicts this and is the more up to date rate, so they should follow that. They say they need to check to website, but regardless of what it says, they will only give me the 0.8467 rate, so I leave.

Its a case of false advertising right?

GerardKeating

Mark Hamill wrote: »

I check a banking website this morning for their £ to € exchange rate, which it quotes as 0.8295, last update 8.15 am today.
I go to the bank and I notice that their tv screen beside the foreign exchange desk says its 0.8467, but last update ~7.43 today. I assume the tv simply hasn't caught up to the website (although it was 12.45pm)

However, when I reach the desk I'm quoted the 0.8467 rate. I point out that the website contradicts this and is the more up to date rate, so they should follow that. They say they need to check to website, but regardless of what it says, they will only give me the 0.8467 rate, so I leave.

Its a case of false advertising right?

Not necessary, Banks have different rates for different purposes, they also have BUY and SELL rates.

Mark Hamill

GerardKeating wrote: »

Not necessary, Banks have different rates for different purposes, they also have BUY and SELL rates.

Both were the BUY rates, and the header on the webpage says "Standard Foreign Exchange Rates". So I dont see what I could be reading wrong.

CIARAN_BOYLE

Can you exchange money on the website? Perhaps order a travellers check or something along those line. If so its cheaper for the bank to deal with you that way and so you are getting a better deal there maybe. There are other reasons as well.

Mark Hamill

CIARAN_BOYLE wrote: »

Can you exchange money on the website? Perhaps order a travellers check or something along those line. If so its cheaper for the bank to deal with you that way and so you are getting a better deal there maybe. There are other reasons as well.

I thought of that, but as far as I can there is nothing on the exchange rates page that says the rate is online only. Presumably it would have been the first thing the bank tellers would have said to me when I pointed out the difference.

sandin

This morning's official mid point rate was .819

In my business I buy througha broker and usually its 50k + and am charge a .6% deviance from mid point and everything is online.

My bank charges me a 1.3% deviance and that's online too.

If I went into the bank and wanted £200, I would expecta 3% deviance.

Therefore based on today's .819 rate
Broker = .824
Bank via online = .8295
Cash at desk @3% = .844

My guess is your bank used a 3.25 deviance, which is about norm for high street banks.

Best value is using a laser card in a cash machine when you get there, but the saving will be about 50p in every £100.