Say No To “0% Commission!” – Airport Bureaus Mark Up Rates Over 10%
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MyTravelMoney.co.uk Mystery Shop
| £600 worth of €uros | Exchange Rate | Amount of € | Mid Market Rate | % Margin applied by provider |
|---|---|---|---|---|
| Travel FX - Online | 1.235 | 742.055 | 1.251 | 1.31 |
| Icici Bank - Online | 1.230 | 739.350 | 1.251 | 1.67 |
| Moneycorp - Online | 1.226 | 736.946 | 1.251 | 1.99 |
| M & S High Street | 1.202 | 722.222 | 1.251 | 3.95 |
| HSBC - High Street | 1.177 | 707.257 | 1.251 | 5.94 |
| Moneycorp - Gatwick | 1.129 | 678.229 | 1.251 | 9.80 |
| Travelex - Heathrow | 1.123 | 675.043 | 1.251 | 10.22 |
Key Findings
- The best indication of the value of a purchase comes from the exchange rates proximity to the market rate. The closer the rate is, the more you get for your buck.
- Today, the best travel money rates are found online through currency converting specialists. Online brokers add as little as 1.3%.
- Banks and airport exchange bureaus that plaster the words “0% Commission” are manipulative marketing gimmicks that should be ignored!
- Airport bureaus can apply up to 10.2% markups compared to the market rate.
Mystery Shop data collected is true to live recordings of rates between 1:30pm-1:45pm 17th of June, 2014
Partnerships Executive at MyTravelMoney Aviva Tabachnik comments:
“There is a pattern of misleading marketing strategies found in exchange bureaus and banks that claim “0% Commission.” Many of these establishments are found manipulating the exchange rate in their advantage. In this weeks mystery shop we found that some banks take up to 5.9% for themselves and several airport bureaus will take as much as 10.2%. This is crazy! The clear and transparent way to buy holiday money is online, where specialists will only mark up 1.3%. Remember, the closer the exchange rate is to the market rate, the better the deal!”
