Currency Converter

Convert between 30+ world currencies with live exchange rates from the European Central Bank. See multi-currency comparisons, inverse rates, and last updated timestamps — all free, no sign-up required.

⚠️ Exchange rates are currently unavailable. Please try again later.

Send Money Abroad for Less

Banks charge hidden markups on exchange rates. These services offer rates close to what you see here.

How Currency Exchange Rates Work: A Complete Guide

Whether you're traveling abroad, sending money to family, or running an international business, understanding exchange rates helps you make smarter financial decisions. This guide explains how currency conversion works and how to get the best rates.

1. What Is an Exchange Rate?

An exchange rate is the price of one currency expressed in another. For example, if EUR/USD = 1.08, it means 1 Euro costs 1.08 US Dollars. Rates fluctuate constantly based on supply and demand, economic indicators, interest rates, and geopolitical events.

2. Mid-Market vs. Retail Rates

The mid-market rate (also called the interbank rate) is the midpoint between the buy and sell prices of a currency pair on the global market. This is the "real" exchange rate you see on Google or in this converter. Banks and exchange services add a markup (spread) on top, which is how they make money. The spread can range from 0.3% with services like Wise to 5%+ at airport kiosks.

3. Factors That Move Exchange Rates

Tips for Getting the Best Exchange Rate

Frequently Asked Questions

Where do the exchange rates come from?
We use the Frankfurter API, which sources rates from the European Central Bank (ECB). Rates are updated daily on business days, typically around 16:00 CET.
How accurate are these exchange rates?
The rates shown are mid-market reference rates published by the ECB. They represent the midpoint between buy and sell rates. Banks and transfer services typically add a markup of 0.5%–3% on top of the mid-market rate.
Why might the rate I get from my bank be different?
Banks and currency exchange services add a margin (spread) to the mid-market rate to make a profit. This markup can range from 0.5% for online services like Wise to 3–5% at airport exchange counters. Always compare the offered rate to the mid-market rate shown here.
What is an inverse exchange rate?
The inverse rate is simply 1 divided by the exchange rate. If 1 USD = 0.92 EUR, the inverse is 1 EUR = 1.087 USD. It lets you see the conversion in both directions without switching currencies.
Are weekend and holiday rates available?
The ECB publishes rates on business days only. On weekends and holidays, the most recent available rate is used. Forex markets trade 24/5 so live spot rates may differ slightly from the ECB reference rate.
How can I get the best exchange rate when sending money abroad?
Use online transfer services like Wise or Revolut that offer near mid-market rates with low transparent fees. Avoid airport kiosks and traditional bank wire transfers, which typically have the highest markups. Always compare the total cost (rate + fees) rather than just the exchange rate.

Related Calculators

More free tools for managing your finances.

Methodology, Assumptions, and Limitations

This converter uses reference exchange rates delivered through the Frankfurter API, which sources data from the European Central Bank. Rates are daily reference rates, not guaranteed live executable quotes. Conversions are simple arithmetic estimates based on the selected base and target currencies.

Bank, card, kiosk, payroll, and money-transfer providers usually apply their own spreads, fees, and timing rules, so the actual amount you receive or pay can be materially different. Weekend, holiday, and intraday market moves may also create gaps between the reference rate shown here and a real transaction price.

Editorial Transparency

Last updated: March 9, 2026 · Author: CalcSharp Editorial Team · Reviewed by: CalcSharp Finance Review Desk

Sources and references: Frankfurter API, European Central Bank reference rate methodology, plus CalcSharp's editorial policy and corrections process.