Crazy Excange Rate

ErmingutErmingut Member Posts: 3
I recently booked hotel in Austria for 340 EUR via BOOKING.COM. Everything was OK. Last day of my stay (1.5.2012) I checked my Payoneer card balance and I noticed that 551.33 was subtracted from my balance for hotel. I checked transactions details and I noticed that 340 EUR was converted to 551.33 USD. THIS IS 0,61 EUR for 1 USD (1.62 USD for 1 EUR). This is almost 20% more that I would normally expect with current $ / € exchange rate.

For comparison: I withdraw 400 EUR from ATM in Slovenia (EU) and in USD it was 543.69 $ + 2,15 $ Fees.

Transaction in quetion is in Pre Authorize Transactions List.

Can please someone explain this crazy exchange rate for this transaction.

Regards, Ermin

Comments

  • NissimNissim Head of Community Administrator Posts: 4,013 ✭✭✭✭✭✭✭
    Hi Ermin,

    The conversion rates are determined by MasterCard at the time of purchase. If you could PM me with your Payoneer account e-mail and the date of the transaction, I'd be more than happy to check exactly what rates and fees were applied.
    Nissim
    Director of Community at Payoneer
  • NissimNissim Head of Community Administrator Posts: 4,013 ✭✭✭✭✭✭✭
    Update: I checked into the issue, and the confusion was that sometimes Hotels pre-authorize transactions for a higher amount than the total purchase. They generally do this to cover any incidentals or additional charges that may be incurred. Once the transaction is completed, this pre-authorization charge is cancelled and a new charge is placed for the actual amount.
    Nissim
    Director of Community at Payoneer
  • ErmingutErmingut Member Posts: 3
    Nissim wrote:

    Update: I checked into the issue, and the confusion was that sometimes Hotels pre-authorize transactions for a higher amount than the total purchase. They generally do this to cover any incidentals or additional charges that may be incurred. Once the transaction is completed, this pre-authorization charge is cancelled and a new charge is placed for the actual amount.


    You're right. Now this transaction is not in pre-authorize state and now charge is correct.

    Thank you for your help.

    Ermin
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