Hi,
I/m in Australia and currently use PayPal and Shopify Payments as payment gateways for my store. Latest data for last 3 years shows they are used almost equally (51% PayPal, 49% Shopify). My PayPal is in USD as is my store as most of my customers are in the US. All of my product vendors charge in USD. However Shopify payments convert to AUD when depositing into my Australian (AUD) account which subjects me to multiple currency exchange rate fluctuations, and conversion fees.
So I have a couple of questions:
- if i open a Foreign (USD) currency account with my local Australian bank, can Shopify payments deposit the payouts as USD into this account? This assists by removing the need to convert currency (no exchange rate risks) and also then not subject to the Shopify currency conversion fees (2%),
- There are times where a product vendor does not accept PayPal ā for me about half of all my product costs. This means that I need to pay via an Australian credit card resulting in the following:
- Iām subject to two sets of currency conversion fluctuations when I then need to convert from AUD to USD pay the vendor via credit card (and incur other bank exchange fees) and also the source of those AUD funds which are from Shopify payouts which are converted from USD to AUD to deposit in my Australian bank account (which is the account my credit card is associated with) - so USD to AUD from Shopify Payments , then AUD to USD to pay vendor.
- Shopify charge a currency conversion fees (2%)
If I can keep all the currency as USD then this avoids significant fees and currency conversion risks. For example, if I can pay a product vendor via PayPal its all in USD and avoids all this. However I would like an second payment gateway like Shopify Payments I already use - but its just soooooo expensive to use because of the multiple conversion and fees.
Hope this makes sense!
Cheers