Large cash withdrawal from inside bank in Italy

Most ATMs in Italy have a transaction limit ( and sometimes per day)of 250 -500 euros and you need to check the limits that apply to your particular card as well. You will need a four digit pin. Don't forget the fees.
Having googled extensively, I can't find anything about withdrawing cash from a teller in the bank using a foreign card.. I should ask your own bank.
When I needed large amounts of cash in Spain some time ago, I was taking out 400 euros a day, the then limit, over several days!

No, you will not be able to withdraw money from your Bank of America account from a teller at the Banco Nazionale de Lavoro in Italy. You would need to have an account at the Banco Nazionale de Lavoro to do this.

The partnership relationship between the two banks allows you to withdraw money from an ATM at a Banco Nazionale de Lavoro without having to pay a few for the cash withdrawal from the ATM.

One option is to get the cash in the US and bring it with you.

Things to consider! Any transaction will be governed by the maximum you can withdraw daily by the owner of the ATM machine and, separately, by your bank. Most likely the easiest way to get that amount in cash would be to withdraw it over 2-3 days. And weigh the inconvenience of getting cash vs. using a credit card and possibly of picking up rewards with it.

BOA allows you to order foreign currency online and you can pickup in your local branch or mailed to you if under $1000. There is a shipping fee if less than $1000. Go online BOA, Help and Support -> Tools & Resources -> Order Foreign Currency..
Yes they make money on the conversion, but that will also be the case overseas, maybe less overseas, but you have the problems and limitations you mention. Since we are overseas a lot, we do this every few years getting the $1000 minimum and pick up at bank. Yes, we use mostly credit cards overseas, but we do tour guide tips (9-12 day tours) and local day guide tips in cash. Easy peesee...

Likewise, my Italian hotel offered a better rate if I paid in Euros. You don't have an account at the Italian Bank, so you can't make a withdrawal over the counter.

Use the ATM inside the branch - I recently took out got €400 - fee-free - dead easy.

As Philip says, if you are willing to do it over the period of multiple days, the ATM is fine.

But, is the need for cash based on a merchant not accepting credit cards, or requiring
cash?

If they accept Wise, then you can xfer the payment electronically, you pay fairly minor
fees, and the merchant (I think) pays no fees.

I would be somewhat hesitant to carry 700+ EUR around, what with the penchant for
petty crime in many larger cities.

This is some upstream advice that I think is misleading at best. To keep it simple ----

1. You don't need a four digit pin.

2. Most ATMs (if not all) will have single transaction withdraw limit per usage. In Italy we have often found that limit to be around 250 euro. Generally you can just do another withdraw after the first one is completed. We once withdrew 750 euro by doing three transactions in a row.

3. Your card issuer or bank will have a limited on the amount that can be withdrawal in a 24 hr period. It is a security measure. Sometimes that limit can be changed. For one credit union card we have it set at a $1000. Also know when the 24 hour period ends. For our bank it is midnight and the credit union is 3 am. That is local US time. It is possible that you might be able to take the max in the morning and again that afternoon depending on your time zone.

4. As stated, unless you have a relationship with the bank they will not cash anything for you or even exchange money.

5. Do not use a credit card for cash withdraw UNLESS it is an absolutely, life or death, emergency. A cash withdraw on a credit card is a loan and all kinds of fees, interest rate, etc., kick in the moment you pull the money from the ATM. We do carry credit card with pins just for that purpose but have never used them in that manner.

   One time we had a similar situation as you have with a discount for cash. We were able to pay about half the first day and the balance the following day. BUT -- make absolutely certain that you get a paper receipt for your cash. In all of our years of travel, one time, on check-out, they said we owed. We had paid cash when we checked in. He claim it was not on the ledger (before computers). I produced the paper receipt and everyone was happy and apologetic so I don't if it was just an error or something else.

Different, but similar. I have used my BoA debit card to withdraw $1500 equivelant in Forints in one day. I did four equal draws from a Raiffeisen Bank. Took 5 minutes.

I guess the first question is what is the difference in hotel cost of charge vs cash? Will you just pay to get cash plus risk of theft or loss, rather than pay the hotel? (That is if we set aside the shady issue of why they want cash)

But, is the need for cash based on a merchant not accepting credit cards, or requiring cash?

shoeflyer, he said in his original post that he gets a better rate from the hotel if he pays in cash.

It is not my job or responsibility to police the Italian tax policies. If the hotel gives a better rate for cash I will do it. So what if he wants to avoid the credit card fee? Why not? It gets silly to question the motivation of the hotel owner. Why is it shady to want cash? He develops his policies to fit his business model. That is fine with me.

Thanks everyone for all the responses. Very informative.

The main thing I learned here is that I can't make a withdrawal over the counter at the bank. So I need to use the ATM. I'll ask my hotel if they'll accept half up front and then half later (just in case I can't make 3 transactions in a row or there's a limit per day... I'll check with my bank beforehand to see if that's the case).

I'd rather not get the 700+ Euros here in the US beforehand and then carry it around for days stressing about pick pocketers. I'll stick with the ATMs.

Frank- lots of great information. Especially the part about getting the paper receipt. Thank you so much.

You would get a better rate from a machine if banks even did currency exchange nowadays. I haven’t seen currency exchange at a bank since the last century.

In fact, in Europe some banks don’t have windows and tellers anymore because all transactions take place at a machine. The currency exchanges around town or at airports are expensive. So a debit card, not a credit card, at BNL is the cheapest and easiest.

I did the same with a hotel in Milan a few months ago, cash not credit and I made sure I got a receipt.