Why did the amount of my foreign transaction change?
After each Lydia payment, you receive an alert and a payment receipt showing the amount in Euros. However, in the event of foreign transactions, the amount may decrease or increase a few days later.
Why did the amount I paid change? 🤔
When you make a payment, the money is never immediately taken from your account. There are two steps:
- Authorisation: Via Mastercard or Visa, the retailer's bank sends a payment authorisation request to the bank of the payment method’s holder (Lydia card, contactless mobile payment or Internet card). The amount is immediately locked on your account
- Settlement: a few days later (1 to 10 days), your bank and Mastercard or Visa transfer the funds from your account to the retailer’s bank account.
When the amount paid increases 📈
During this time frame of 1 to 10 days, the Mastercard or Visa exchange rate may go up.
For example, for a "fish and chips" that cost you £10 (10 pounds) in London:
- On Monday, day of the authorisation, £1 is worth €1.13. You pay €11.3
- On Thursday, day of the settlement, £1 is worth €1.15. It means your "fish and chips" is now worth €11.5.
20 cents will be charged directly on your Lydia account. The payment receipt will show the updated amount.
When the amount paid decreases 📉
During this time frame of 1 to 10 days, the Mastercard or Visa exchange rate may go down.
For example, for a night in a hotel paid 2,000 baht in Bangkok:
- On Monday, day of the authorisation, 1 baht is worth €0.028 Euros. You pay your night €56.
- On Thursday, day of the settlement, 1 baht is worth €0.027 Euros. The hotel night is now worth €54.
€2 will be credited to your Lydia account. The payment receipt will show the updated amount.