I'm confused! I have researched the issue of how to get cash in France and Italy. I have three different acounts I could use, and as predicted, my Credit Union is the best - they only add the 1% that Visa charges. My question is how do I know what conversion rate will be applied to the withdrawal. Is that deteremined by the Bank whose ATM I am using, based on that day's market rate? Is there any way to know that, or does it even matter, because it is something I have no control over? Any suggestions on which banks in Paris and Rome are the best to seek out when looking for an ATM? Thanks! Riley
Posted by
Wichita
831 posts
Riley, The exchange rates are set by the networks (Visa/Plus, MasterCard/Cirrus),
see http://usa.visa.com/personal/using_visa/exchange_rates_faq.html
Posted by
Lakewood, Colorado
19272 posts
The exchange rate varies throughout the day. It might be higher at some point than the rates posted at the beginning and end of the day. I think you can expect the bank to use the most favorable (to them) rate during the period, which might extend over several days.
Posted by
Tresana, Highlands Ranch, CO, USA
23619 posts
Makes absolutely no difference for ATMs as long as it is a bank owned ATM. There are private ATMs, Travelex is one, that can charge anything they want. The exchange rate always will be within 1% of the interbank rate and is set as Harry referenced. The rate that you see published in the paper or other sources almost always is an average of the rate for the day. The rate is constantly changing (within a narrow range) as banks exchange funds. A little like the stock market with the hourly changes of a penny or so. I never worry about the exchange as I know the debit will give the best rate available at that time.
Posted by
Green Bay
21118 posts
Not only does change day by day, it changes second to second. Just turn on CNBC or go to a site like Yahoo Finance and you can watch it move. That's why you can get several ATM or credit card transactions on the same day that all cross at slightly different rates. The only way to really know what the exchange rate is after the fact, is to log into your bank or credit card website and check your account. I don't like to do that on the road because who knows whose wifi site you are actually on? So I just have to trust that the banks are doing their job. Its too late to do anything about, you're on vacation.
Posted by
New York, NY, USA
11294 posts
Yes, for the rough rate, use a site like http://www.oanda.com/currency/converter/ or http://www.xe.com/. The exact rate, as said above, will vary constantly, and you have no control over it, so don't sweat it. Take comfort in the fact that by using your credit union card, you are getting the best possible rate compared with other alternatives, and then forget about it. As said above, which bank you use doesn't matter, as long as it is a real bank and not a Travelex type machine. The rate is set by your home credit union at the time it processes the transaction. However, sometimes one bank will have a higher amount that can be taken out from their machines. And, some ATM's will favor big bills, while others will give smaller bills. So, if you find one that gives you the amount you want in one transaction (rather than having to do two) and gives you the denominations you like, you can stick with it (unless, like me, you keep forgetting which one that is <g>). To be sure of getting at least some smaller bills, ask for an odd amount on your first withdrawal (like 430 euros instead of 450).
Posted by
New York, NY, USA
11294 posts
One exception to the "bank doesn't matter" principle: if you're using a Bank of America debit card, they waive the $5 transaction fee if you use a partner bank, like BNP Paribas in France. However, for most cards, this is not an issue; the fees are the same, regardless of which European bank's ATM you use.