What is the point in exchanging money if Revolut does it automatically?


#1

I was watching your tutorial video on YouTube: https://www.youtube.com/watch?v=63lwQ1qCx_U

I noticed from the 0:32-0:49 mark, the woman in the video says she can use Revolut anywhere and the card will convert the currency automatically at the real, current exchange rate, without fees (however I realise Revolut adds 0.5% on weekends for major currencies and 1% for smaller ones in case of a huge market fluctuation, but that’s aside from the point).

So if this is true, what is the point in exchanging currency in Revolut at all? To be able to withdraw it from an ATM whilst travelling?

Want to know before I verify my account and get locked into this.


#2

You can exchange money manually if you think that the current exchange rate is very good (because it may get worse in some hours/days).

Basically, you can exchange money to the local currency of the country you are travelling to. Therefore, Revolut will always take the amount from that currency and won’t do a conversion because you have already done it before and will take funds from that currency automatically.


#3

Got it, makes sense, to keep a good rate. Thanks!


#4

in addition you can avoid the 1% extra commission for weekend exchange rate.


#5

I would advise to change from your home currency to the local currency balance before you spend or withdraw cash. If you spend or change currencies when the local currency is less liquid, for example outside its time zone’s trading hours, then the rate won’t be as good. If you spend when the markets aren’t trading at all, i.e. at the weekend, then Revolut can’t get a market rate, so it uses Friday’s close with at least a 0.5% margin to protect itself against movement before Monday morning. One of the best things about Revolut is being able to choose and fix your rate in advance (for 16 currencies), so you should always make use of that whenever possible.


#6

So is it best to exchange before the weekend and if you are not worried about the rate, leave Revolut to do it as and when you need it?


#7

that’s right :r: exchange rate is the best!


#8

If you know you are going to spend in another currency during the weekend it certainly makes sense to exchange on a weekday before so the rate will be best possible and without markup.


#9

Thanks for explanation. Do you know what is the FX monthly limit? There should be one as the Premium allow for “unlimited FX”, but I can’t find any place where the actual limit is stated. Thanks.


#10

I did an exchange from GBP to IRL to lock in the rate but when I used my card in Tel Aviv it came out of my GBP balance and not the currency I exchanged before I left. How do I make it so what I spend comes out of the exchanged balance?


#11

@Canuckinuk IRL or ILS? What is IRL?


#12

Guys, what if I only want to pay with the card? In example on the weekend going to HongKong, so it is better still to make exchange by myself, then leaving it to Revolut?


#13

It’s the same whether you want to pay with card or withdraw cash. So if you’re spending on the weekend, you’re probably better off exchanging beforehand.