Currency Conversion

The Thredd Foreign Exchange (FX) service enables you to deploy seamless currency conversion solutions quickly and easily, avoid complexity, and reduce your operational costs and risks. Thredd offers the following currency conversion:

  • POSFX - makes spending abroad easy with real-time and transparent point-of-sale foreign exchange (FX) rates.

The solution support Visa and Mastercard and integrate with leading FX rate providers to provide a shorter time to market, allowing you to focus on delivering the right customer experience and propositions.

Currently, Thredd has partnered with Currencycloud, a cross-currency and international payments management platform, to bring significant benefits and cost reductions for currency conversion.

Competitive, transparent and real-time FX rates

Currently, Thredd receives a static currency exchange day rate from Mastercard and Visa. This rate persists for 24-hours and is typically more expensive than a real-time rate because margins are built in to cover variants.

By integrating directly with leading FX rate providers, Thredd provides you with more competitive real-time currency rates from the market than the static day rate, which you can offer to your customers. This enables you to increase customer adoption, improve your offering, and gain a competitive edge. With Currencycloud’s ability to convert multiple currencies globally, there are few limits on the number of currencies supported.

Seamless integration, reducing the cost and complexity

Building a multi-currency solution is complex as the solution requires effort across several functional and regulatory domains, including multi-wallets, ledgers, fraud mitigation, authorisation, licensing, and FX infrastructure.

Thredd provides a pre-integrated model which combines the Thredd Apex card processing platform with Currencycloud’s leading cross-currency platform to reduce the complexity and costs involved. This enables you to focus on providing a great customer experience, leaving the complex processing to Thredd and Currencycloud.

If you want to use your own FX solution, our implementation allows easy integration with other products. For example, an FX broker may want to handle currency rates themselves but integrate their solution seamlessly with Thredd in the same way we integrate with Currencycloud. The Thredd wallet structure enables you to swap in your own solution easily to import FX rates into Thredd .

Access to Weekend FX rates

The foreign exchange markets do not operate at weekends. Current solutions typically store the last prices on a Friday evening, add a significant risk premium to these, and execute on a Sunday evening when the Asian markets open.

Currencycloud have built a weekend FX solution as a service. This enables Program Managers to transact in different currencies on the weekend through the Thredd platform, just as they’d do on a weekday, despite the FX markets being closed. Weekend FX provides a better experience for Program Managers building a product, and dramatically reduces the operational costs and market risks.

Direct settlement (Visa only)

If you want to control your own FX, rather than having the scheme do this, it is complex and costly to establish and maintain the multi-currency accounts needed, and then settle FX transactions in the individual currencies to the scheme.

Using Currencycloud, clients of Visa can benefit from direct settlement with the scheme. Because of their integration with Visa, Currencycloud can manage the settlement of multi-currency transactions directly with Visa on behalf of clients. For Program Managers, this means they need only deal in the base currency, which significantly reduces operational costs and risk.

 

For more information, see the Currency Conversion Guide.