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How the exchange rate works

The rate decides how many naira your recipient gets for each pound. Here is what goes into it, and how to read what you see before you send.

What the exchange rate tells you

An exchange rate says how much of one currency you get for another. When you send pounds to Nigeria, the rate is how many naira each pound turns into. If the rate is 1 GBP = 1,820 NGN, then £1 becomes 1,820 naira.

The mid-market rate, and our margin

The mid-market rate is the midpoint between the buying and selling prices of a currency pair. It is a useful benchmark for what a rate would look like with nothing added.

The rate you see in GiffyPay includes a margin over the mid-market rate. That margin is already built into the rate on your screen, so you do not pay it as a separate line.

The transfer fee

The transfer fee is separate from the rate. It is currently £0.00. So the cost of a transfer is made up of two things: the transfer fee, and the margin in the exchange rate.

A worked example

These figures are for illustration only, using a rate of 1 GBP = 1,820 NGN:

  • Send £100: 100 × 1,820 = 182,000 NGN
  • Send £250: 250 × 1,820 = 455,000 NGN

The rate can differ from this example, so always use the rate and the amounts shown in the app.

Where to check. The amount screen shows the rate as you type. The review screen shows the rate, the transfer fee and exactly what your recipient gets before you confirm.

Comparing any transfer service

The simplest way to compare services is to look at what your recipient would actually receive for the same amount you send, after any fees. A headline rate on its own does not tell you the whole story.

Start Sending Money the Smart Way

£0.00 transfer fee. Usually arrives within minutes. Rate shown upfront.

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