Conversion Rates

When sending payments in different currencies, Pooler handles currency conversion using real-time or quoted exchange rates. This guide explains how conversion rates work and how to manage them effectively.

What are Conversion Rates?

Conversion rates determine how much of one currency you get for another currency. When you send a payment in a different currency, Pooler converts your source currency to the destination currency at the applicable rate.

How Conversion Works

Conversion Process

Payment Initiation

You initiate a payment specifying:

Source amount (in your currency)
Destination currency (recipient’s currency)

Rate Quotation

Pooler provides:

Exchange rate for conversion
Destination amount (converted amount)
Conversion fee (if applicable)

Rate Lock

Rate may be locked for a period (typically 5 minutes for quotes)

Conversion Execution

When payment is confirmed, conversion is executed at the quoted rate.

Rate Components

Exchange Rate Breakdown

Component	Description
Base Rate	Market exchange rate Based on interbank rates Updated regularly
Spread	Margin added to base rate Covers market risk Varies by currency pair
Conversion Fee	Fixed or percentage fee Applied to conversion Separate from spread

Rate Management

Rate Monitoring

Monitor rates to optimize conversions:

Activity	Description
Track Rate Trends	Monitor rate changes over time
Compare Rates	Compare rates across different times
Identify Patterns	Identify favorable rate patterns
Rate Alerts	Set alerts for target rates

Rate Optimization Strategies

Strategy	Description
Strategy 1: Timing Optimization	Time conversions for favorable rates Monitor rate trends Convert during favorable periods Avoid volatile periods
Strategy 2: Bulk Conversion	Convert larger amounts to get better rates Larger amounts may get better rates Reduce per-transaction fees Optimize conversion costs
Strategy 3: Rate Locking	Lock rates when favorable Get quotes for target amounts Lock rates in quotes Confirm payments within lock period

Rate Transparency

Understanding Rate Quotes

Payment quotes include rate information:

{
  "quote_id": "quote_123",
  "source_amount": 1000,
  "source_currency": "USD",
  "destination_amount": 1491000,
  "destination_currency": "KES",
  "exchange_rate": 1491,
  "conversion_fee": 1.5,
  "total_fees": 15,
  "expires_at": "2024-01-15T10:35:00Z"
}

Rate Disclosure

All rates are disclosed in:

Source	Description
Payment Quotes	Rate included in payment quotes
API Responses	Rate details in API responses
Dashboard	Rate information in dashboard
Transaction Records	Rate used in transaction history

Rate Validity

Quote Expiration

Payment quotes expire after a period (typically 5 minutes):

Aspect	Description
Expiration Time	Shown in quote response
Rate Lock	Rate locked until expiration
Re-quote	New quote needed after expiration

Handling Expired Quotes

try {
  await poolerClient.post('/payments/complete', {
    quote_id: expiredQuoteId,
    reference: 'PAY-001'
  });
} catch (error) {
  if (error.response?.data?.message?.includes('expired')) {
    // Get new quote
    const newQuote = await poolerClient.post('/payments/initiate', paymentData);
    // Confirm with new quote
    await poolerClient.post('/payments/complete', {
      quote_id: newQuote.data.data.quote_id,
      reference: 'PAY-001'
    });
  }
}

Supported Currency Pairs

Major Pairs

Pooler supports conversion between major currencies:

Currency Pair	Description
USD ↔ NGN	US Dollar to Nigerian Naira
USD ↔ KES	US Dollar to Kenyan Shilling
USD ↔ GHS	US Dollar to Ghanaian Cedi
USD ↔ ZAR	US Dollar to South African Rand
And more	Check Supported Corridors API for full list

Contact support to request support for additional currency pairs.

Rate Accuracy

Rate Sources

Pooler uses:

Source	Description
Interbank Rates	Market-based rates
Real-Time Data	Updated regularly
Transparent Pricing	All rates disclosed

Rate Guarantees

Guarantee	Description
Quote Rates	Guaranteed for quote validity period
Real-Time Rates	Best available at time of conversion
No Hidden Fees	All fees disclosed upfront

Best Practices

Always review exchange rates in payment quotes before confirming.
Monitor rate trends to identify favorable conversion times.
Lock rates in quotes when rates are favorable.
Implement logic to handle expired quotes and get new ones.
Understand all conversion fees, not just exchange rates.

Getting started

Business

Virtual Accounts

Recipients

Webhooks

Payments

What are Conversion Rates?

How Conversion Works

Conversion Process

Rate Components

Exchange Rate Breakdown

Rate Management

Rate Monitoring

Rate Optimization Strategies

Rate Transparency

Understanding Rate Quotes

Rate Disclosure

Rate Validity

Quote Expiration

Handling Expired Quotes

Supported Currency Pairs

Major Pairs

Rate Accuracy

Rate Sources

Rate Guarantees

Best Practices

​What are Conversion Rates?

​How Conversion Works

​Conversion Process

​Rate Components

​Exchange Rate Breakdown

​Rate Management

​Rate Monitoring

​Rate Optimization Strategies

​Rate Transparency

​Understanding Rate Quotes

​Rate Disclosure

​Rate Validity

​Quote Expiration

​Handling Expired Quotes

​Supported Currency Pairs

​Major Pairs

​Rate Accuracy

​Rate Sources

​Rate Guarantees

​Best Practices

What are Conversion Rates?

How Conversion Works

Conversion Process

Rate Components

Exchange Rate Breakdown

Rate Management

Rate Monitoring

Rate Optimization Strategies

Rate Transparency

Understanding Rate Quotes

Rate Disclosure

Rate Validity

Quote Expiration

Handling Expired Quotes

Supported Currency Pairs

Major Pairs

Rate Accuracy

Rate Sources

Rate Guarantees

Best Practices