Liberty Reserve: Difference between revisions
→Fees: Add a bit more explanation of the transaction where you bypass your own LR account. |
→Fees: Clarify that this is a bypass. |
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If you are transferring LR from your account with a merchant, that merchant may charge a fee for that withdrawal, however that fee is withdrawn before the merchant sends the funds to your Liberty Reserve account. | If you are transferring LR from your account with a merchant, that merchant may charge a fee for that withdrawal, however that fee is withdrawn before the merchant sends the funds to your Liberty Reserve account. | ||
In some circumstances, if you will be transferring from one merchant to another, you might be able to skip treating LR as the hub and just transfer directly from one merchant to the other and save on the fee that would have been charged on the second transaction<ref>Additional risks may be incurred. For instance, if the destination claims to not have received funds you won't have any way to inquire on the transaction -- your LR account was not involved in the transaction.</ref>. | In some circumstances, if you will be transferring from one merchant to another, you might be able to skip treating LR as the hub and just transfer directly from one merchant to the other and save on the fee that would have been charged on the second transaction<ref>Additional risks may be incurred when bypassing your own account for this type of transaction. For instance, if the destination claims to not have received funds you won't have any way to inquire on the transaction -- your LR account was not involved in the transaction.</ref>. | ||
==External Links== | ==External Links== | ||
Revision as of 22:48, 18 January 2011
Liberty Reserve is a private currency exchange system issued by Liberty Reserve S.A. of San José, Costa Rica.
The two Liberty Reserve currencies are Liberty Reserve USD (LRUSD) and Liberty Reserve EURO (LREUR). Liberty Reserve S.A.'s terms of service reads:
- 1.7. Liberty Reserve (LR): means the digital currency in which the electronic transfer services are provided; backed by United States of America Dollars and Euros; hereinafter for all legal purposes referred to as LR.
Liberty Reserve is a digital currency used frequently for adding funds to and withdrawing funds from Bitcoin exchange markets.
Fees
Transfers charged by Liberty Reserve are a flat 1% to the recipient of the funds. The fee is rounded up to the nearest penny, so the minimum fee is $0.01. The maximum fee is $2.99 so essentially fees are only charged on the first $300 of any transfer.
If you are transferring LR from your account with a merchant, that merchant may charge a fee for that withdrawal, however that fee is withdrawn before the merchant sends the funds to your Liberty Reserve account.
In some circumstances, if you will be transferring from one merchant to another, you might be able to skip treating LR as the hub and just transfer directly from one merchant to the other and save on the fee that would have been charged on the second transaction[1].
External Links
References
- ↑ Additional risks may be incurred when bypassing your own account for this type of transaction. For instance, if the destination claims to not have received funds you won't have any way to inquire on the transaction -- your LR account was not involved in the transaction.