NatWest Exchange Rate Estimator
USD – US Dollar
EUR – Euro
AUD – Australian Dollar
CAD – Canadian Dollar
INR – Indian Rupee
NZD – New Zealand Dollar
Check Google for the current "GBP to [Currency]" rate.
Major UK banks typically charge 3-4% above mid-market.
Enter 0 if using online banking (often free for standard).
Recipient Receives Approximately
0.00 USD
Estimated NatWest Exchange Rate:
1.2255
Real Cost of Transfer (Markup + Fees):
£35.00
Difference vs. Mid-Market:
3.5%
Understanding NatWest Exchange Rates
When sending money abroad using NatWest or other high street banks, it is crucial to understand that the "exchange rate" you see on Google is rarely the rate you get. This tool helps you estimate the actual amount your recipient will receive by factoring in the bank spread and transfer fees.
How NatWest Calculates Exchange Rates
Like most major UK banks, NatWest calculates its retail exchange rate by taking the interbank rate (also known as the mid-market rate) and applying a margin or "spread."
- Mid-Market Rate: The wholesale rate banks use to trade currencies with each other.
- The Spread: A percentage markup added by the bank to cover costs and generate profit.
- Client Rate: The final rate you are quoted for your transfer.
Typically, this margin can range from 2.5% to 4.0% depending on the currency pair and the time of the transfer. This means for every £1,000 you send, £25 to £40 might be lost in the exchange rate difference alone.
Fees vs. Exchange Rate Margins
Key Insight: A "fee-free" transfer doesn't always mean it's free. If a bank advertises £0 transfer fees but offers an exchange rate 3% worse than the market rate, the transfer is actually more expensive than a service charging a £5 fee but offering a perfect market rate.
NatWest typically differentiates fees based on how the transfer is made:
- Online/Mobile Banking: Often has lower or waived upfront transaction fees for standard international payments.
- Branch/Telephone: Usually incurs higher fixed fees (e.g., £20-£30) per transaction.
- Urgent Payments: Faster transfers typically come with higher fixed costs.
How to Use This Calculator
Since bank rates change second-by-second, this calculator serves as an estimator to help you budget. Follow these steps:
- Amount to Send: Enter the GBP amount you wish to transfer.
- Target Currency: Select the currency the recipient needs.
- Mid-Market Rate: Look up the current rate on a search engine (e.g., "GBP to USD") and enter it here.
- Estimated Spread: We default this to 3.5%, a common average for high-street banks, but you can adjust it if you have a specific quote.
Currency Cut-off Times
When sending international payments via NatWest, be aware of cut-off times. Payments instructed after the cut-off time (usually around 3:00 PM or 4:00 PM for major currencies) will typically be processed the next working day, potentially affecting the exchange rate you receive if rates fluctuate overnight.