You come out with these blatant accusations which most of the time are incorrect.
Financial institutions have different rates for many reasons and PayPal's rate of exhange is often very competitive.
Currencies are traded over the counter and primarily between banks. There are various sources, XE, Reuters, Bloomberg, Central bank official rates that will show minute variations in the exchange rate (especially the 3rd and 4th decimal).
Banks usually have a higher rate than what you see on the Internet. This is because they add a mark up to the bid and ask (buying and selling) prices. The mark up is their profit (and also a marketing tool telling you that currency conversion is free).
With Banks, typically the longer you bank with them, and the more currency transactions you make, you might be in a position to get a better deal. But having said that, bank rates are generally higher than the high street money changers (who have higher volumes and thus are able to discount their mark ups).
