Why is PayPal conversion rate lower

PayPal's conversion rate is lower because the platform applies its own foreign exchange markup, typically 3% to 4% above the mid-market rate, on top of transaction fees. This means you receive fewer rupees for every dollar, euro, or pound compared to platforms that offer rates closer to the interbank rate. PayPal prioritizes convenience over cost efficiency, which is why many exporters and freelancers find PayPal expensive for regular cross-border payments.

Skydo, as an RBI-authorised platform built specifically for Indian businesses and freelancers, offers competitive exchange rates with transparent pricing and no hidden markups. By switching to a purpose-built solution, you can retain more of your hard-earned foreign currency income without sacrificing speed or reliability.