# Travel >> Travel Preparation >> Currency & Exchange

How to Convert 500 Usd to Gbp

Before exchanging dollars for any foreign currency, it is sensible to know how much foreign currency your dollars will buy. The ration between the value of dollars and a foreign currency is known as the "exchange rate." (Reference 1) Exchange markets are volatile, and relative currency values are constantly shifting so conversions may be of short-lived value. (Reference 2) However, by seeking out the best conversion rates before you need to buy GB pounds, and checking them again before actually exchanging your dollars, you can maximize the chances of securing the best deal.

Calculator

Instructions

- 1
  Establish the best available exchange rate between U.S. dollars and GB pounds. You are buying pounds so monitor the "selling pounds" exchange. This is because although you are buying pounds, the bank, currency exchange or bureau de change is selling them to you.
- 2
  Multiply the sum of 500 dollars by the exchange rate. (Reference 3) The result determines how many pounds you acquire for your dollars. For example, if you exchange $500 when $1 is worth £0.615568 you will receive (500 x 0.615568) GB pounds, or £307.784
- 3
  Round the result to two decimal places. One GB pound is divided into100 pence so, just like dollars and pennies, British currency has two decimal places. (Reference 4) Using the example in Step 2, the value of $500 in GB pounds becomes £307.78