# How It Works

## Let’s use an example:

‘Carla lives and works in the UK and has a house in France, she converts approximately £10,000 into Euros per year to cover expenses’

‘Matteo is studying for his MBA in the UK, in order to pay for fees and living expenses he converts approximately €20,000 in a year to send from Italy to the UK’

With Dualitybanx both Carla and Matteo can convert their GBP or EUROs at the ‘real’ exchange rate, normally referred to as the ‘interbank rate’. They can choose the rate that they would like to convert at and earn bank-beating rates of return.

Carla has pounds and needs euros throughout the year. Using an example, the current GBPEUR exchange rate is 1.15 Euros for GBP. Carla doesn’t need the Euros urgently and is happy to wait in order to get a better exchange rate and earn a return on her pounds that are normally just sitting in a bank account earning little or no interest.

So let’s say that Carla would like 1.17 EUR for her GBP (more Euros for her pound) and is happy to wait for one month. Through our solution, she can earn 8.10% AER or £67.50 in one month on her money. At the end of the month there are two scenarios:
Scenario 1: If GBPEUR stays below 1.17 EUR, Carla will remain in pounds and earn 8.10% AER or £67.50 over one month. The balance of her account will be £10,067.50.

Scenario 2: If after one month GBPEUR is at 1.17 EUR or above, Carla still earns 8.10% AER or £67.50. However, now the whole £10,067.50 is
converted at 1.17 EUR. Carla will now have 11,778.98 EUROs in her account.

Carla converted at a rate she was comfortable with and earned a bank-beating return. She can also roll her placement for another month and earn more.

Carla can load her Mastercard/Visa card and spend or send globally.

Play around with our calculators to see how much you could earn.

We use a Dual Currency Placement (DCP) methodology popular in banking, but normally reserved for private banking clients. A DCP is the combination of a money market deposit and a fully covered foreign exchange option. There isn’t any leverage involved, so you only convert the money that you have deposited at the rate you decided on.