What does PayPal charge for currency conversion

PayPal typically charges 3% to 4% above the mid-market exchange rate when converting currency, and this markup is in addition to any transaction fees. For Indian freelancers and exporters receiving international payments, this can significantly eat into earnings, especially on larger amounts. PayPal also layers a cross-border transaction fee on top of the conversion spread, making the total cost substantially higher than advertised.

Platforms like Skydo offer a more transparent alternative with competitive forex rates and lower overall fees, helping you retain more of what you earn. As an RBI-authorised payment provider built specifically for Indian exporters and freelancers, Skydo simplifies cross-border receipts while keeping currency conversion fees predictable and fair. Understanding the full cost structure before choosing a payment provider ensures you maximize your international income rather than losing a significant portion to hidden markups.