MasterCard estimated exchange rate when traveling

[alexs (Alex Sherwood)]

Here’s your answer

How Does the Wholesale Foreign Exchange Market Work?

Hi @alexs! MasterCard authorisations do indeed use a live bid rate which is frequently updated throughout the day. Settlements are processed together in batches. There are several clearing cycle batches each week day. A transaction normally settles a few days after the original authorisation, during which time the exchange rate can change. This is why Monzo shows the exchange rate as pending. Each clearing cycle uses a single exchange rate determined by …