Where the conversion happens
- At the provider: some providers let you choose a billing currency and convert at their own rate, often with a margin built in.
- At the card network: a dollar charge on a euro card is converted by the card network and the issuing bank, with a foreign transaction fee of typically 1.5 to 3 percent.
- At the payment processor: a merchant charging you in a currency different from its settlement currency pays a conversion fee, which is priced into what you pay.
- In your books: whatever rate your accounting system uses on the booking date differs from the rate the bank used, creating small differences on every invoice.
What it costs
For a company spending fifteen thousand dollars a month across providers on euro cards, foreign transaction fees alone run two to five thousand euro a year. Add the spread in the provider's own conversion where you chose to be billed in euro, and the reconciliation time on the finance side, and currency is often the largest cost you did not negotiate.
| Set-up | Conversions per charge | Who takes the spread |
|---|---|---|
| Dollar-priced provider, euro card | One | Card network and issuing bank |
| Provider bills in euro at its own rate, euro card | One | The provider |
| Broker bills in the currency you chose, settled in that currency | None on the charge | Nobody; the broker's own procurement is separate |
Why a locked currency matters
Payment processors tie a recurring customer to one currency. If a merchant lets you flip between euro and dollar, either it is converting behind the scenes or it is creating a new customer record each time. A clean design lets you choose once, before the first payment, and then keeps every subsequent charge in that currency. Your price list should exist in both currencies as fixed amounts, so you can compare them before choosing rather than discover the rate on the invoice.
Fixed conversions, not live FX
A dollar price and a euro price for the same package should be fixed numbers published side by side. A euro price that is recomputed from a dollar price at a daily rate is just a conversion with extra steps.
How to choose
- 1Bill in the currency your bank account holds. That removes the conversion on every payment.
- 2If revenue is mostly in the other currency, consider matching the cost to it; the natural hedge can be worth more than the fee.
- 3Check the fixed prices side by side. If the dollar price is noticeably lower after conversion at today's rate, ask why; the difference is either a margin or a hedge.
- 4Prefer bank transfer for large amounts. Card fees are a percentage; a wire is a flat fee.
How Deplium handles it
Every Deplium package has a fixed euro price and a fixed dollar price. You choose once on the billing page; the choice is locked after the first payment and every later charge, including any overcharge, is in that currency. Deplium settles in euro, so a euro choice involves no conversion at all. Statements show the provider's original amount for reference.
Common questions
Can I change my billing currency later?
Not on an existing subscription. If you must switch, the Desk closes the current subscription at period end and opens a new one in the other currency.
Which rate do the fixed dollar prices use?
A fixed conversion set when the price list was published, reviewed when rates move materially, and never recomputed per invoice.
Does VAT change with currency?
No. VAT treatment follows your billing address and status, not the currency of the invoice.