What Is A Currency Conversion Fee?

The Definition

A currency conversion fee (often called a "foreign exchange fee") is a small charge applied whenever a transaction requires converting money from one currency to another—for example, sending USD to a recipient who uses a different local currency.

How It Works at VPM Solutions

We utilize Stripe as our payment processor. Because VPM Solutions processes millions of dollars in payments annually, we have successfully negotiated a significantly reduced rate on behalf of our users.

The VPM Advantage: While standard banks often charge high fees for conversion, Stripe charges VPM Solutions users a currency conversion fee of just .01%.

Why This Benefits You

This negotiated rate provides two distinct advantages:

Local Currency Payments: You get paid directly in your local currency.
Higher Earnings: You avoid the steep conversion fees (often 3–5%) that traditional banks would charge to convert USD to your local currency.