January 24, 2020 update
Unfortunately the link below no longer works. There is no way to change default currency conversion option.
So you have a credit card that doesn’t charge conversion fees and you’ve added it to your Paypal account. That’s it right? You’re no longer being charged conversion fees when using PayPal! Not quite.
By default Paypal performs its own currency conversion and charges you up to 3.5% on top of the exchange rate. To change this option, log onto your Paypal account and follow the steps below:
1. Log onto your PayPal account
2. Go to this URL: https://www.paypal.com/cgi-bin/webscr?cmd=_profile-merchant-pull-funding
4. Click “Conversion Options” beside the credit card with no currency conversion fee.
6. Select “Bill me in the currency listed on the seller’s invoice.” and click “Submit“.
That’s it! No more currency conversion fees! Please leave a comment below if these steps are out of date.