The US Dollar and the British Pound are two of the most commonly traded currencies. We want to help our users gain a better understanding of the exchange rate for USD/GBP by providing further information on both currencies. Whether you are paying for British goods or services, sending money to family members overseas, or travelling from the US to the UK on vacation, helping you get the best available exchange rate when converting your hard-earned Dollars into Pounds is important to us.
In the United States of America, the US Dollar is used in all 50 states, but what some people don’t know is that it is also used in over 60 other countries outside of the US. These include Central and South American countries like Ecuador, El Salvador and Puerto Rico. Due to its stability and widespread use, the demand for the US Dollar has been strong and steady for the most part. The biggest highs and lows in USD value on record came as a result of major global events such as the Gulf War, the Global Financial Crisis and during Presidential Elections.
Over the course of history, when converting US Dollars into Pound Sterling, one Dollar has always amounted to less than one Pound. When people refer to the British Pound being stronger than the US Dollar, they are referring to the amount of Dollars which equate to one Pound. In the last year, this difference has averaged out at approximately 1 USD/0.74 GBP. At the time of writing, the USD/GBP rate is 1 USD/0.71 GBP.
Conversely, the GBP/USD rate, which refers to the Pound sterling as the base currency and the US dollar as the quote currency, is the third most traded major currency pair globally.
We do our best to present the best available currency rates and service providers for every feasible foreign exchange scenario. To find the best USD/GBP rate we conducted a case study, using our comparison table, to discover which companies offered the rate closest to the mid-market rate.
As you can see from this case study, the best exchange rates on offer are provided by international money transfer specialists, as opposed to banks. In this instance, the markups incurred for services provided by a specialist money transfer company ranged from 1.7 – 2.4% compared to international bank transfer markups of 7 – 8%.
April is a trained journalist and full-time content writer for MoneyTransfers.com, and over the last decade she has produced content for a range of online and print media. April has lived overseas in Canada and SE Asia, and hopes to see more of the world, with Japan at the top of her travel list. Having lived and worked abroad, April has first-hand experience as an expat sending money transfers and managing finances overseas. She particularly enjoys writing about forex trends and the future of banking.