A currency converter is a computer code which is specifically designed to conveniently convert one currency to another so as to check its equivalent value against another. The converter uses a base rate established by the country whose currency is being converted. The code is typically a small portion of an application or it forms part of a mobile application and it relies on current international market price or exchange rates. This is useful for people traveling from one country to another to take advantage of cheaper travelling. It can also be useful for students going abroad to take advantage of lower tuition. A third type of currency converter is an auto currency swapper. This is basically a program which automatically opens and closes trades on your behalf. This can be useful when you're investing money abroad in a foreign currency. It is essentially a plug and play device that you install to your system and it then continuously performs currency exchanges on your behalf. The auto currency swapper essentially takes care of everything for you! Although there are many currency converters on the market, the importance of each type is important to know. The importance of an exchange rate calculator is to provide accurate information about the exchange rate required between two currencies. If the value of the second currency is higher than the value of the first, this will result in a positive return and if the value of the first currency is lower than the second, it will result in a negative return. The importance of an auto currency swapper lies in the fact that it's essentially a plug and play device. All you have to do is install it to your computer, activate it does all the work for you. The great thing about it is that it provides real-time exchange rates and this ensures you are able to perform currency conversions whenever you're out of the country. Another good use for it is when you are traveling from one country to another. A simple click of the mouse and you are able to convert from one currency to another. There are numerous reasons why you may need to convert currencies. You may be going to another country and require money for the purchases you make. In this case, you would want to exchange the money at the correct rate. Another reason for using a foreign currency converter such as this is when you want to purchase a gift for a loved one overseas. You would obviously want to ensure they receive the correct amount of money. If you want to convert currencies on a regular basis, you should always use the most common currency converters. These are available on the internet and can easily be found by doing a simple search. There is even a currency conversion app for iPhones. This allows the use of the currency converter on the go. Just download the app, sign up and in seconds you can have your conversions done for hundreds of currencies. There are various other types of currency converters that are useful as well. They give you the ability to choose the currencies that you wish to convert. You are also given the option of choosing the rates for a given date in the future. This will help you plan your purchases and repayments easier. If you are travelling around the world, then you should always carry a currency converter. It can help you decide on which currency to convert to. This can be crucial when travelling in other countries because you will not always get the correct exchange rate. Without a currency converter, you could exchange dollars one day and pay much more than the actual worth in pounds. It is therefore essential that you are aware of which currency converters to use before making transactions abroad.