Monzo rate inconsistent with Mastercard rate

Revolut uses the interbank rate, Monzo uses the Mastercard rate, so it’s not apples-to-apples.

Sometimes the Mastercard rate is better. Sometimes the Interbank rate is better. It all fluctuates.

For example, here’s a thread where someone found the Mastercard rate to be better on that particular day.

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Ok so Mastercard have sort of fixed their foreign transaction calculator now for the VES/GBP pair but they need to use scientific notation to do it.

2e-7

This works out to be 1 VES = 0.0000002 GBP

From this I could work out that Monzo is just using the Mastercard rate.

So my issue is with Mastercard, not with Monzo.
This currency pair has remained the same ever since 14th May 2021 yet during that time the VES has devalued more than 100%.

I think what Mastercard does is change the rate in “blocks” spanning several months so early after the change things are really cheap but as the weeks pass by due to hyperinflation factors things gradually become more and more expensive.

Don’t have the same problem with Visa. In fact the Visa rate as of today is about 12% better than the Mastercard one.

I’ll be off topic, but this made me realise that I’m a billionaire in Venezuela :moneybag::moneybag:

image

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This is a funny one, and the reason is specific to VES: The currency has devalued so much the exchange rate is pretty much at Mastercard’s limits. Their exchange rate data format is 8 digits before the decimal, 7 digits after, and for the VESGBP pair its currently 00000000.0000002

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Had to recently change the DB schema of a MySQL database that held exchange rates because of that. I remember that sending down the really deep rabbit hole of live in Venezuela with hyperinflation. Really fascinating and terrifying at the same time.

Only a temporary necessity.

Next month the government will slash 6 zeros off the currency with the new currency called Bolivar digital.

Then it all starts again

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