Does PayPal have exchange fees

Yes, PayPal has exchange fees: it charges a currency conversion fee whenever a transaction needs money changed from one currency into another.

PayPal's currency conversion fees are built into the exchange rate it applies. Instead of using the base wholesale rate, PayPal adds a percentage markup, also called a spread, and the size of that markup depends on the type of account and transaction.

• Personal accounts: For personal or international transactions that involve switching currencies, the markup is typically about 3% to 4% above the base exchange rate.
• Business accounts: The markup is usually around 3% above the base rate, and separate cross-border or commercial transaction fees can also apply.
• Stacked charges: The conversion markup is charged separately from standard international, commercial or fixed transaction fees, so the total cost of a cross-border payment can be a noticeable share of the amount.

Because the markup sits inside the rate rather than appearing as a separate line item, compare the rate PayPal offers with the base exchange rate to see how much a conversion costs. Rates and fee levels vary by region, and PayPal publishes the figures for each market on its official fees page.