Neteller is screwing the Debit Card exchange rates! MUST READ!

[MrFroggyX]

This is very important for the people out there with Neteller Debit Cards.
They have always had quite decent exchange rates when you transferred money from your neteller account to your Debit Card. (The debit card currency is in CAD)
But now they take out an exchange rate fee.


Here are my two last transfers from my account to my debit card:


On my deposit to my Debit card on the May 17:

<font color="green"> Deposited $500 USD -$2 in fee. $498 USD to my debit card.
I got $677.88 CAD on my Debit Card.
Exchange rate applied: $677.88/$498 = 1.3612
True Exchange rate according to www.x-rates.com: 1.3855</font>

I lost $12.09 CAD!!! ($498*1,3855 = $689.98-$677.88 = $12.09).


On my deposit to my Debit card on the May 23:

<font color="green"> Deposited $1000 USD -$2 in fee. $998 USD to my debit card.
I got $1344.71 CAD on my Debit Card.
Exchange rate applied: $1344.71/$998 = 1.3474
True Exchange rate according to www.x-rates.com: 1.3734</font>

I lost $25.94 CAD!!! ($998*1,3734 = $1370.65-$1344.71 = $25.94).



As you can see their exchange rates is around 2% lower than the "true".
That means if I transfer the full amount of $1000 I will lose around $20 USD.
Instead of a $2 USD transfer fee they have a $22 USD fee!! +the ATM fee's. Insane!! [img]/images/graemlins/mad.gif[/img] [img]/images/graemlins/mad.gif[/img] [img]/images/graemlins/mad.gif[/img]

Everybody that are Debit Cards customers, please start and mail bomb neteller and say that they should change there fee's otherwise you stop being there customers.

Here is my e-mail that I sent to neteller.



<font color="blue">
From: Nic******* *********
To: debitcards@neteller.com
Sent: Monday, May 24, 2004 11:34 AM
Subject: Re: Your debit card


Hi!


Thanks for your answer!
But I have still a few questions.
When did you change your exchange rate between the Debit Card and the neteller Account?
Because that is why I'm missing money.


On my deposit to my Debit card on the May 17:

Deposited $500 USD -$2 in fee. $498 USD to my debit card.
I got $677.88 CAD on my Debit Card.
Exchange rate applied: $677.88/$498 = 1.3612
True Exchange rate according to www.x-rates.com: 1.3855

I lost $12.09 CAD!!! ($498*1,3855 = $689.98-$677.88 = $12.09).


On my deposit to my Debit card on the May 23:

Deposited $1000 USD -$2 in fee. $998 USD to my debit card.
I got $1344.71 CAD on my Debit Card.
Exchange rate applied: $1344.71/$998 = 1.3474
True Exchange rate according to www.x-rates.com: 1.3734

I lost $25.94 CAD!!! ($998*1,3734 = $1370.65-$1344.71 = $25.94).


As you can see your exchange rate is way to high!
I have lost over $25+$12 = $37 CAD on my last two transfers!
And if you continue to apply those rates I can't be a neteller costumer anymore.


And to check what your rates used to be I went back to May 3 &amp; May 5 to see your exchange rates.


On my deposit to my Debit Card on the May 3:

Deposited $216.46 USD -$2 in fee. $214.46 USD to my debit card.
I got $305.43 CAD on my Debit Card.
Exchange rate applied: $305.43/216.46 = 1.4110
True Exchange rate according to www.x-rates.com: 1.3740


On my Deposit to my Debit Card on the May 5:


Deposited $263 USD -$2 in fee. $261 USD to my debit card.
I got $370.84 CAD on my Debit Card.
Exchange rate applied: $370.84/$261 = 1.4208
True Exchange rate according to www.x-rates.com: 1.3725


As you can see your exchange rate was much higher on the May 3 &amp; May 5.
But between May 5 and May 17 you lowered your exchange rates. Why?
Are you going to adjust them to the true exchange rates?


I hope you can answer my questions because If am going to lose over $25 CAD when am making a
transfer off $1000 USD to your card it's no point for me to use your service.
Then you don't have a $2 USD transfer fee. You have a $27 transfer fee!!!!!


Take Care.
-Nic******

</font>

[El Barto]

I lose a similar amount when I cash out from TotalBet to neteller (I keep TotalBet balance in pounds for the bonus).

[1800GAMBLER]

Moreso, it's been unavailable to cash out in England for the last week.

[Thythe]

I also seem to lose when I cash out of Totalbet. The exchange rate when I withdraw to Totalbet always seems to be more than when I return. Doing the math it seems like I lose $10 or so everytime. Since it's a decent bonus over at Totalbet and the players are pretty bad I've never really paid too much attention to it...but it is annoying.

[Audi]

You will get screwed wherever currency exchange is involved. Fact of life I'm afraid.

Having said that voicing your concerns to Neteller is a good idea, I e-mailed them last week and have yet to receive a reply.

[GrannyMae]

True Exchange rate according to www.x-rates.com: 1.3855

froggy,

i don't profess to know how the exchange rate is derived by NETeller. howver, i spend a ton of time in montreal. exchange rates at ATM's can vary from street corner to street corner. they can vary from the ATM on the street to the exchange desk inside the bank. the only fast and true rule is that using atm machines linked to the biggest banks is the only way NOT to get screwed.

many a trip i have returned to look at my ATM bills and see that the rates even vary from morning to afternoon at the same bank. i believe it IS a function of the global markets, and the largest banks come pretty close to the canadian "fed rate".

my point is that this is likely not a NETeller issue, but one caused by the declining dollar. also, to expect the absolute highest exchange quoted does not seem realistic from my experience. the international currency markets are very volatile now, and i think you are a victim of movements in these markets and not a victim of a NETeller fleecing.

jmo

i do understand that $25 is a stiff fee tho. that's why i don't/won't activate my card. in connecticut you can't even use it at the "real" atms. had i activated it and not used it, i would be moaning about the inactivity fee. if you stop using your card, that's your next gripe btw.

[Audi]

[ QUOTE ]
my point is that this is likely not a NETeller issue, but one caused by the declining dollar.

[/ QUOTE ]

Sadly this isn't true. Neteller exchange rates are consistently around 2% less than that actually quoted live. In their defence maybe they are just passing on someone elses fees?

At least they now quote their rates - up until recently noone really had a clue what they offered.

[El Barto]

[ QUOTE ]
my point is that this is likely not a NETeller issue, but one caused by the declining dollar.

[/ QUOTE ]

Neteller always has a good current rate of exchange when depositing dollars into pounds, and a terrible rate when going out from pounds to dollars (at least in relation to TotalBet). I doubt this is a coincidence. I figure I lose 3% every cash out.

[GrannyMae]

Neteller exchange rates are consistently around 2% less than that actually quoted live. In their defence maybe they are just passing on someone elses fees?

i know this. however, the 2% difference is not necessarily a profit for NETeler. that's my point. the "live" exchange rates posted are usually fed rates (the amounts banks charge each other). a clearing house like NETeller will never get a rate that approaches the true rate. if there is a bigger differnce in the NETeller spread this week from last week, it simply can be due to the ever changing market.

i will be interested to see NETellers response to froggy's email. i've always gotten replies from them right away, so hopefully he won't have to wait like you did. also, if i were you i would resend your question or call them. a weeks delay is something i have never heard of from them unless they are in the middle of a crash. i know i read something here over the weekend about them having to do manual postings. i'll bet your email got lost in that confusion audi.

[Oski]

This is quite a problem. One solution may be to cut out the middle man when it comes to the conversion.

For example: Say you want to play on Party, but you are depositing in CAD. Ok. You should be able to "agree" to the exchange rate up front

Once you "lock in" that price, you can send your funds through NETELLER and the host site makes the exchange at the agreed upon price. (of course you would be given a 5-minute window or so to make this transaction, to protect the host).

For cashouts, you should keep everything in USD, send it to NETELLER, send it to your bank (or ATM), and convert when you get a favorable rate.

Pain in the butt? Perhaps, but you pay for the convenience, apparently.