Overview
FX risk affects every business that sends or receives money in multiple currencies.
Exchange rates move constantly, which can impact profit margins, vendor payments, and revenue forecasts.
Loop makes it easy to manage that risk with:
Low, transparent FX fees (0.1%–0.5%)
Real-time rates that reflect true market value
Flexible conversion and payment tools in one platform
You can view current rates anytime using the Loop FX Calculator or compare pricing by plan at Loop Pricing.
Why managing FX risk matters
Unmanaged FX exposure can lead to unpredictable costs.
Even small currency swings can make international transactions more expensive — especially when banks add hidden markups or fees.
By planning conversions and payments strategically, you can:
Lock in favorable rates
Avoid unexpected losses from market fluctuations
Improve cash flow predictability
Protect profit margins across borders
Best practices for managing FX risk
1. Convert currencies strategically
Convert funds when market conditions are favourable instead of waiting until payments are due.
Loop’s live market rates let you see the true cost of conversion before you act — without inflated bank margins.
To convert currencies through Loop:
Go to the Accounts page.
Select the currency you want to convert from.
Click Convert.
Choose the “To” currency, review the live rate, as well as the Amount you will receive, and complete the transaction.
2. Avoid unnecessary double conversions
Always pay and receive funds in the same currency whenever possible.
For example:
Pay U.S. vendors from your USD Loop account.
Receive European sales revenue directly into your EUR Loop account.
This minimizes conversion costs and protects against currency volatility.
3. Use Loop’s FX rates for global payments
When you need to pay suppliers, contractors, or vendors internationally, use Loop’s Send Payments feature to access the same competitive FX rates available for currency conversions.
To send an international payment through Loop:
Go to Send Payments in your Dashboard.
Click Add Payee and enter recipient details.
Choose the currency for your payment.
Review the rate and confirm the transaction.
Loop handles both the FX conversion and the transfer, ensuring your funds reach their destination quickly and cost-effectively.
4. Take advantage of Loop’s transparent pricing
Loop offers consistent FX markups that scale with your business:
No hidden fees or inflated base rates.
Same low rates for all transaction sizes.
Instant access to rate comparisons for every plan.
You can always verify current rates using the FX Calculator.
Example
Scenario:
Your company operates in Canada but pays suppliers in the U.S.
If you convert $50,000 CAD to USD through a bank, you could lose up to $1,500–$2,000 in hidden FX markups (3–4%).
With Loop, your markup would be only 0.1%–0.5%, saving your business hundreds — and sometimes thousands — per transaction.
FAQs
How often do FX rates change?
Rates update in real time. The rate you see in Loop is locked for about 30 seconds before refreshing automatically.
Do Loop’s FX rates differ by plan?
Yes — higher-tier plans like Loop Plus and Loop Power offer lower FX markups.
Can I use Loop FX for all currencies?
Loop currently supports CAD, USD, EUR, and GBP, with additional currencies being added.