Incorrect exchange rate?

[DML73]

I have multiple currencies in my shop. It seems like the exchange rate when clicking the Update button in "Localization -> Currencies" updates the currencies with incorrect values. For example todays exchange rate for EUR to USD is 1.11495495 but when I click the Update button the rate is 1.17757499.

Am I doing something wrong?

[lat9]

Check your setting in Configuration->My Store->Currency Conversion Ratio. It looks like yours might still be set to the default of 1.05.

[DML73]

Great, thanks! That solved the problem.

[lat9]

Most excellent! I'm glad that that little tidbit helped.

[RixStix]

Just so you do not get shorted in the conversion process.... many merchants do not actually receive the conversion at the rate published, so the uplift is intended to compensate for the extra charges. PayPal and our credit card processor charges a "Fee" over and above the downloaded conversion rate.

Currency Conversion Ratio
When auto-updating currencies, what "uplift" ratio should be used to calculate the exchange rate used by your store?
ie: the bank rate is obtained from the currency-exchange servers; how much extra do you want to charge in order to make up the difference between the bank rate and the consumer rate?