# What is the mid-market rate?

The mid-market rate is the midpoint between the price at which traders buy a currency and the price at which they sell it. It is the reference number before anyone adds a margin.

## The short answer

When you search "dollars to euros" online, the number you see is almost always a mid-market rate. It sits halfway between the buy price and the sell price on the wholesale currency market.

It is a fair reference because it contains no fee and no margin. It is also not a price you can usually get as a customer.

## Why you rarely get it

Banks, card networks, exchange offices and transfer services earn money by changing the rate, charging a fee, or both. A desk that advertises no commission may still quote a rate well below the mid-market one.

The gap tends to be widest where customers have the fewest alternatives, such as airport exchange desks and tourist areas.

## How to measure the markup

Compare the rate you are offered with the mid-market rate on the same day. The markup is the difference, as a share of the mid-market rate.

- Look up today's mid-market rate for the pair.
- Find the rate you are offered, or divide the amount you would receive by the amount you give.
- Subtract the offered rate from the mid-market rate, then divide by the mid-market rate.

Example: if the mid-market rate is 1 euro = 1.10 US dollars and a counter offers 1.04, you receive about 5.5 percent less than the reference. The numbers here are an illustration, not a live quote.

## What to do about it

- Ask for the total you will receive, not the rate alone, and compare totals.
- Check any fixed fee against the size of the transaction. A flat fee weighs more on a small amount.
- Compare two or three options before you commit, especially for larger sums.

## Where Divix fits

Divix shows the mid-market rate with a freshness label, so you can see how far an offer sits from the reference. It is a calculator, not an exchange, and it adds no markup of its own.

## FAQ

### Is the mid-market rate the same as the interbank rate?

They are close. The interbank rate is what large banks use between themselves. Public mid-market rates are a published midpoint that approximates it.

### Can I get the mid-market rate as a customer?

Rarely at the exact number. Some providers come close and say so openly. Measuring the markup shows how close.