Post Office Exchange Rate Scandal

RobinaNicholson

I have just changed £251 into Bulgarian Lev in my local Post Office. I was confident that their 0% Commission would give me great value for money. Little did I realise their exchange rates were much less competitive than many other places!
Where I should have received roughly 585Lev, I only have 530Lev. This means I have taken a loss of £25. I would have understood if they had said, "we're going to take X amount commission from you, if you don't agree then that's fine".

I understand now that the exchange rate is incredibly important when changing money; my advice to others now is not just to go to the Post Office! You may get a better deal somewhere else even if you have to pay commission! £25 is a lot of money and I think more people should be aware of the pitfalls when conducting an exchange.

If I have any more money to change I will do so when I'm in Bulgaria, and I probably won't be using the PO again.

dzug1

RobinaNicholson wrote: »

I have just changed £251 into Bulgarian Lev in my local Post Office. I was confident that their 0% Commission would give me great value for money. Little did I realise their exchange rates were much less competitive than many other places!
Where I should have received roughly 585Lev, I only have 530Lev. This means I have taken a loss of £25. I would have understood if they had said, "we're going to take X amount commission from you, if you don't agree then that's fine".

I understand now that the exchange rate is incredibly important when changing money; my advice to others now is not just to go to the Post Office! You may get a better deal somewhere else even if you have to pay commission! £25 is a lot of money and I think more people should be aware of the pitfalls when conducting an exchange,
If I have any more money to change I will do so when I'm in Bulgaria, and I probably won't be using the PO again.

Whilst I agree with your sentiments, there's no way you were ever going to get 585 lev other than with a no fee debit card from an ATM in Bulgaria. 550 ish looks fairly easily obtainable in the UK. As you say 530 is poor.

You'd be surprised how many oeople just don't understand how exchange rates work though and only look at overt declared charges. Even experts like Simon Calder fall into this trap, advising people just to take cash because of the charges for spending on a CC.

dmg24

Surely the correct advice should be to do your research before entering into a transaction?

ferf1223

agree that the main thing is to do your research...it's not just the PO...loads of exchange places are 'no commission' but terrible exchange rates.

Jeff_Bridges_hair

dmg24 wrote: »

Surely the correct advice should be to do your research before entering into a transaction?

Indeed - especially when you can use a computer

PolishBigSpender

dmg24 wrote: »

Surely the correct advice should be to do your research before entering into a transaction?

God forbid taking personal responsibility.

I'd say the only scandal is that I wasted another few minutes of my time reading yet another SCANDAL RIP OFF SCAM thread that turned out...not to be a scam or rip off at all

To the original poster : you were offered the rate and accepted it. It's not a rip off, a scandal, or a scam if you clearly know what's being offered with no catches. The exchange rate is lousy, but that's the price of not doing research.

ncollier1

"the exchange rate is incredibly important when changing money" - Im glad you finally worked that one out!

babyfruitella

RobinaNicholson wrote: »

I have just changed £251 into Bulgarian Lev in my local Post Office. I was confident that their 0% Commission would give me great value for money. Little did I realise their exchange rates were much less competitive than many other places!
Where I should have received roughly 585Lev, I only have 530Lev. This means I have taken a loss of £25. I would have understood if they had said, "we're going to take X amount commission from you, if you don't agree then that's fine".

I understand now that the exchange rate is incredibly important when changing money; my advice to others now is not just to go to the Post Office! You may get a better deal somewhere else even if you have to pay commission! £25 is a lot of money and I think more people should be aware of the pitfalls when conducting an exchange.

If I have any more money to change I will do so when I'm in Bulgaria, and I probably won't be using the PO again.

Would never go to the post office anyway. In fact I tend not to leave the house at all to get my foreign currency. You clearly have computer access, did you not think to shop around? You've managed to find MSE. If you'd looked a little bit more you'd have come across www.travelmoneymax.com , where you'd easily have got more for your money.

babsonline

I always go to Ramsdens for my exchange currency. Always a very good exchange rate and no commision fees.

boozy_chick

RobinaNicholson wrote: »

I have just changed £251 into Bulgarian Lev in my local Post Office. I was confident that their 0% Commission would give me great value for money. Little did I realise their exchange rates were much less competitive than many other places!
Where I should have received roughly 585Lev, I only have 530Lev. This means I have taken a loss of £25. I would have understood if they had said, "we're going to take X amount commission from you, if you don't agree then that's fine".

I understand now that the exchange rate is incredibly important when changing money; my advice to others now is not just to go to the Post Office! You may get a better deal somewhere else even if you have to pay commission! £25 is a lot of money and I think more people should be aware of the pitfalls when conducting an exchange.

If I have any more money to change I will do so when I'm in Bulgaria, and I probably won't be using the PO again.

I too used the post office for both getting my Bulgarian Lev and selling it back to them. I totally agree with RobinaNicolson that the losses to be incurred should be pointed out. And if you are going to sell it back to them, you should be given an approximate buy back rate at time of purchase. We hadn't realise how cheap Bulgaria was till we got there, so brought back just under £300 (or so it would have been when we bought the Levs). When i took it back to the post office, we lost £60 in the buy back process. The staff were that quick with the transaction, that you hardly had time to think what was happening. In hind sight, we should have changed our money back into sterling while we where still in Bulgaria. The incident with Crown Exchanges is the reason why i am always cautious about using online sites where you have to pay the money up front.

Jeff_Bridges_hair

babsonline wrote: »

I always go to Ramsdens for my exchange currency. Always a very good exchange rate and no commision fees.

Me too!! the other day i handed over £5.95 and got a nice big suasage and chips with mushy peas..


oh sorry, you didnt mean harry ramsdens did you?:o