Recommended Posts

Sally    23

This may be a naive question, but I haven't seen it answered anywhere else. Since Alamy is a U.K. Company (as far as I understand it), why are we paid in dollars (especially given the current poor exchange rate)?

Share this post


Link to post
Share on other sites
Cryptoprocta    280

We're not actually paid in dollars, but I've often wondered how much (if any?) we lose with UK sales being reported in dollars then converted back to pounds.

  • Upvote 1

Share this post


Link to post
Share on other sites
Sally    23
8 minutes ago, Cryptoprocta said:

We're not actually paid in dollars, but I've often wondered how much (if any?) we lose with UK sales being reported in dollars then converted back to pounds.

Ok, so I have to own up to not having (yet) been paid, though once recent sales clear, I will be. So, are we paid in Sterling after a conversion of some kind, or do we have to pay a fee for PayPal to convert from dollars to Sterling?  In which case, the question is why a UK company does this.

Edited by Sally

Share this post


Link to post
Share on other sites
Cryptoprocta    280
Just now, Sally said:

Ok, so I have to own up to not having (yet) been paid, though once recent sales clear, I will be. So, are we paid in dollars after a conversion of some kind, or do we have to pay a fee for PayPal to convert from dollars to Sterling?  In which case, the question is why a UK company does this.

I'm not sure what happens with PayPal, as I'm paid directly, in £ Sterling, into my UK Bank.

Share this post


Link to post
Share on other sites
Sally    23
5 minutes ago, Cryptoprocta said:

I'm not sure what happens with PayPal, as I'm paid directly, in £ Sterling, into my UK Bank.

Ok, so the plot thickens. Does it therefore make a difference how one opts to be paid? PayPal, if I understand it, is a US company. Does this make a difference to  payments versus a direct UK bank transfer? If so, then I need to change my payment option.

Edited by Sally

Share this post


Link to post
Share on other sites
gerardferry    4

you can change your payment to dollars and keep it in your pay-pal as such, then spend it as dollars to avoid double transaction charge to convert at a better time

Share this post


Link to post
Share on other sites
Sally    23
2 minutes ago, gerardferry said:

you can change your payment to dollars and keep it in your pay-pal as such, then spend it as dollars to avoid double transaction charge to convert at a better time

As a UK based person I don't want dollars. Presumably therefore the payment option I choose makes a big difference.

Edited by Sally

Share this post


Link to post
Share on other sites
gerardferry    4

you can buy stuff on ebay with dollars or convert at your leisure therefore no real difference with paypal, you can wait till the dollar crashes or buy on ebay.com in dollars with no conversions canon cemtre clip lens caps from china for a dollar

Share this post


Link to post
Share on other sites
GS-Images    1,183
8 hours ago, Sally said:

As a UK based person I don't want dollars. Presumably therefore the payment option I choose makes a big difference.

 

Have it paid into your bank account instead, and then you'll bypass any issues relating to PayPal. It arrives in your bank account around the 4th of the month, but with PayPal it can take around 12 days I think (if I remember correctly).

 

The conversion from dollars into your bank account actually gives you a higher amount with the exchange rate so poor in the UK. You get less for each sale though, so it seems, although that may depend which country the client is in. So you lose one way and win the other.

 

Geoff.

Share this post


Link to post
Share on other sites
spacecadet    1,386
8 hours ago, Cryptoprocta said:

I'm not sure what happens with PayPal, as I'm paid directly, in £ Sterling, into my UK Bank.

It's still converted from USD. The Citibank (I think it's Citibank) exchange commission is around 3% so we do lose that.

Paypal take a commission too but we BACS payees obviously don't know how it compares- perhaps someone paid in PP could quote their latest exchange rate and we could compare. But I believe Alamy bear PP's other fees.

OP, when it started up Alamy had to decide which currency to adopt. It intended to, and does, do a lot of business in USD, so it picked USD. Sure, it's a UK company, but it does international business. It could have picked any currency.

When the pound drops we get a temporary advantage while sales billed at the higher sterling price feed through, but of course it works the other way when it goes up.

Share this post


Link to post
Share on other sites
Sally    23
27 minutes ago, spacecadet said:

It's still converted from USD. The Citibank (I think it's Citibank) exchange commission is around 3% so we do lose that.

Paypal take a commission too but we BACS payees obviously don't know how it compares- perhaps someone paid in PP could quote their latest exchange rate and we could compare. But I believe Alamy bear PP's other fees.

OP, when it started up Alamy had to decide which currency to adopt. It intended to, and does, do a lot of business in USD, so it picked USD. Sure, it's a UK company, but it does international business. It could have picked any currency.

When the pound drops we get a temporary advantage while sales billed at the higher sterling price feed through, but of course it works the other way when it goes up.

Ok, thanks for all the useful information. Still not quite sure which one might be better, but it seems different options might suit different people. 

Edited by Sally

Share this post


Link to post
Share on other sites
Allan Bell    986

 

I am paid via Paypal and it shows up as £ sterling not US$.

 

Allan

 

 

Share this post


Link to post
Share on other sites
Sally    23
16 minutes ago, Allan Bell said:

 

I am paid via Paypal and it shows up as £ sterling not US$.

 

Allan

 

 

So there is no conversion fee?

Share this post


Link to post
Share on other sites
Allan Bell    986
1 hour ago, Sally said:

So there is no conversion fee?

 

No.

 

Allan

 

 

Share this post


Link to post
Share on other sites
gerardferry    4

you can chose which currency to be paid in preferences there is always a charge hidden by calling it a rate  if you keep exchanging back and forth you end up with nothing i think its 12 per cent per go

Edited by gerardferry
more info
  • Upvote 1

Share this post


Link to post
Share on other sites
Cryptoprocta    280

" 8.2 Currency Conversion. If your transaction involves a currency conversion by PayPal, it will be completed at a foreign exchange rate determined by a financial institution, which is adjusted regularly based on market conditions. The exchange rate is adjusted regularly and may be applied immediately and without notice to you. This exchange rate includes a processing fee expressed as a certain percentage above the wholesale exchange rate at which PayPal obtains foreign currency, and the processing fee is retained by PayPal."

https://www.paypal.com/uk/webapps/mpp/ua/useragreement-full#08

My accountant says their conversion rate is considerably below the open prevailing rate on any given date (because of the highish "certain percentage", which isn't exactly transparent).

They're a business, not a charity.

Edited by Cryptoprocta
  • Upvote 1

Share this post


Link to post
Share on other sites
Jill Morgan    674

If Alamy pays you in in pounds then you will receive it in pounds.  It will be Alamy doing the conversion, not Paypal.  Alamy also eats any Paypal fees so you don't have to pay Paypal a bean.

 

Here in Canada, I get paid into my Paypal account in US dollars.  I can leave it in dollars hoping the rate gets better (which actually mean the Canadian dollar falling) or simply convert it at the time then deposit in my bank account.

 

Jill

Share this post


Link to post
Share on other sites
spacecadet    1,386
On 7/29/2017 at 14:15, Allan Bell said:

 

No.

 

Allan

 

 

Not as such but PP take a foreign exchange fee. But so do Citibank when it's done by BACS, so I wouldn't expect much difference.

If someone would care to quote their exchange rate for their July PP payment I'll do the same for my BACS one.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now