What Is a Universal Currency Converter?
A universal currency converter is a software application or website that provides for the easy conversion of currency values based on present-day exchange rates. Such currency converters can easily be found for free on the Internet, and can quickly convert the value of one currency to another, such as dollars to euros, or euros to pounds, and back again.
Currency conversion is of practical use to tourists who travel abroad, to businesses who do business overseas or are involved in imports and exports, and to FX traders.
- A universal currency converter is an app or web tool that allows for the quick conversion of any currency into any other currency.
- Universal converters typically use the most recent market prices in the foreign exchange market.
- Currency converters are use useful to tourists, multi-national businesses, and forex traders.
Understanding Universal Currency Converters
Universal currency converters are almost always free when found online, and they're especially useful for travelers looking to figure out how much of their own home currency will stretch or contract when visiting a new foreign country. For instance a traveler leaving New York for a set of business trips might need to exchange U.S. dollars to pounds, euros, yen, or more. An easily accessible online currency converter is very useful to show travelers how their own currencies will fare when exchanged with other foreign currency.
Moreover, currency converters help international import and export businesses by helping them determine the selling and buying profits of different products. Currency conversion is also useful for forex traders, offering the ability to track changes in exchange rate valuations in real time. even when not at the trading desk. Some of the more commonly used online currency converters are offered by XE, Oanda, Yahoo! Finance, and several others.
A universal currency converter is "universal" in the sense that you can not only convert your home currency into any other, but also any foreign currency for any other as well.
Currency convertibility is essential in a global economy and critical for international commerce and finance. A currency that is inconvertible poses big barriers to trade, foreign investment, and tourism.
Currency Converters and Currency Exchanges
While travelers might use online currency converters to determine how much of their home currency they should travel with, the actual exchange of currencies will generally happen at a currency exchange, which could differ. Currency converters generally use recent prices on the foreign exchange market. A currency exchange, or bureau de change, however often adjusts the exchange rate a little or takes a commission so that it can make a profit from travelers.
Because airports are the last port of call for travelers, the exchange rates at these currency exchanges are often more expensive for individuals than those at banks or exchange counters not located within. Online currency exchanges, while they do exist, are primarily for forex brokers. The different websites and apps that serve this purpose generally charge a fee.