How Exchange Rates Are Quoted: Bid, Ask and Mid, Explained

You check a rate online, then the bureau or app gives you a different number — and it feels like a trick. It usually isn’t. The gap is just how every currency is quoted: a bid, an ask, and a mid in between.

The three numbers

• Bid — the price someone will buy a currency from you (the lower one).
• Ask (or offer) — the price they will sell it to you (the higher one).
• Mid-market — the midpoint between bid and ask, the “true” reference rate you see on Google.

Why the rate you pay differs

The difference between bid and ask is the spread — the margin the changer keeps. A “no fee” service often just widens the spread instead. So the honest way to compare is the final naira delivered, which is exactly what our send-money calculator shows. The mid you see on our USD to Naira page is the reference, not the dealt price.

Reading a quote in Nigeria

When a bureau quotes “buy / sell”, the buy is their bid and the sell is their ask. A tighter spread is a better deal. See how banks price FX in Nigeria for how banks build theirs.