How to Learn About Foreign Currency Exchange Rates

Foreign currency exchange is made easier with a currency conversion calculator.

When you're traveling abroad, converting dollars to your host nation's currency can be confusing. The exchange rate changes daily as the currencies fluctuate in value. You can learn the currency exchange rate by asking at a bank branch or online. Many websites that report on exchange rates also have a calculator that converts U.S. dollars to foreign currency.

Instructions

1. Locate an online currency conversion calculator. See "Resources" for two such calculators.

2. Choose a base currency and select the appropriate country code in the "from" drop-down box (i.e. "U.S." for dollars), then enter the amount you wish converted in the blank box located next to the drop-down box.

3. Choose which currency you wish to exchange your "base" for by selecting the appropriate country code in the "to" drop-down box (i.e. "MEX" for pesos).

4. Push the Enter key on your keyboard or click the "Convert" button on the calculator to convert the "base" currency to the chosen exchange currency.

Tips & Warnings

• Many online currency conversion calculators also provide an up-to-date conversion chart showing the rate of exchange against the U.S. dollar. The U.S. dollar is used as the base for conversion since it is the most widely used international currency.

• Financial institutions charge a fee to exchange currency. This fee ranges from a flat fee to a percentage based on the total amount exchanged. Check with each financial institution for its individual policy.

References

• New York Times: How to Get the Best Exchange Rate (and Avoid Fees)

Resources

• OANDA: Currency Converter
• CNN Money: Currency Converter & Latest Rates