Exchanging $US for Euro

ATMs are the cheapest way for you to get money out while you're over there. Exchange a bit back in the states to start out with, a few hundred, and then use ATMs the rest of the time. Much better than bringing US$ over there and exchanging while you're there. Then you also do not have to worry about old or damaged bills.

Exactly - I can't see any reason for a tourist to exchange US cash. And if you have extra Swiss francs to exhange, any bank or exchange agency will charge a fee on top of their going exchange rate. Sometimes you might find agencies that claim "no fee" but then their rates are really bad to make up the difference. Your local back will also typically charge you a fee for using a foreign ATM. You're best to withdraw as much as you can each time (confirm your daily limit and account for the exchange rate). BTW - European banks cannot charge fees at ATM's. Also be aware that credit cards typically charge a "foreign transaction fee" for using it outside the US. Typically it's 3% of the purchase. A few cards do not, such as credit unions and Capital One.

Why exchange $US? The absolute best way to get cash in Europe is at the ATM. The last time I exchanged USD Travelers Cheques at a bank in Germany I was charged 6% (4% for currency exchange and a fee equal to 2%). I get charged 1.4% at the ATMs in Europe (1% for currency exchange and a $2 fee for $500 in Euro.

The fee is because you do not have an account at that bank. If I go to my regular bank and exhange Christmas dollars that I received, I don't have to pay any fees. If I go to a different bank, then it costs me. Someone has to pay the cashier for taking the time to exchange this. Yes, you are correct about having damaged, or old money bills not being taken. They can refuse them.

Jon, foreign banks have always charged a fee to exchange dollars for their currency. This is not a new thing.

In Aug of 09, we took cash (50 dollar bills ONLY, and only those with a pinkish red color printed after 2004). We had no trouble exchanging them at 3 major Ireland banks. In the same time period we used the ATM to get about 400 Euros. I dug up the receipts the other day to compare. The cash into Euros ended up costing us $1.459 per Euro, after all fees. The ATM Euros cost us $1.437 per Euro after all fees....about 2.2 cents more for each Euro. In exchanging around $1395.00 cash to Euros, this figured out to be right at $20.00 total extra in exchange fees for using cash instead of ATM. 20 bucks is 20 bucks....but if you really want to take cash (safely in your money belt) it is no big deal.
Dan

use the ATM!

I will chime in with the ATM chorus. Rather than bring large sums of US dollars with you, bring some USD for absolute emergencies and your debit card for regular cash withdrawals. Check with your bank re foreign transaction fees and any other fees you may incur by withdrawing money abroad.

Use the ATM's! Who wants to carry wads of cash?

Daniel speaks about the small difference in cost between exchanging dollars for euros and taking euros out of an ATM, after all fees. The difference could have been greater if he used an ATM card that carried no fees. Credit unions often offer no-fee ATM cards (neither of my credit unions charge fees OR currency conversion fees). It's worth shopping around to see what your local credit unions' policies are.

I must admit that this is the first time I can remember reading about someone considering taking lots of US $ to Europe to exchange for local currency over there. Then again I am getting older and my memory is not what it use to be.
However, that does not stop me from going to Europe every summer and using ATMs to get my local currency with my credit union DEBIT CARD with no credit union fees. Happy travels.

$1,000 worth (20 bills) of new, crisp reddish 50's is a very thin wad of cash. Risk? maybe-maybe not....how many people have you heard of getting their passport stolen out of their money belt? As for volume, you aren't even aware the cash is in there along with the Passport. Risk for ATM use? Sure...Card can get eaten by the machine, a theif could be hiding and watching you withdraw cash and steal it from you after leaving the ATM, electronic card readers can be affixed to ATMs to get your account number AND pin. In this day and age of hackers, you'ld never know until your account was drained. With ATM....your bank in most cases is not obligated to give your money back in the event of ATM fraud....like the credit cards companies do. Having used the ATM exclusively the first trip, and Cash almost exclusively the 2nd, I will elect to take mostly cash again and I feel less stress and anxiety, and very secure INSIDE the bank, taking my Euros and securing them discretely before venturing back out onto the busy street! Different strokes.....for different folks, I guess! Dan

Then use an indoor ATM? By the way, could be a difference between US and EU, but over here, banks will always refund any losses incurred through skimming. Has something to do with trusting the system - if the banks don't pay out, they fear that people will no longer use ATM's and payment terminals, to avoid risks. That is why banks keep on developing better systems and, for instance, have made sure in the Netherlands that magnetic cards can no longer be used in any payment terminal as from 2012 - only chip & pin cards.

Banks refund losses from fraudulent transactions on ATM/debit cards here, too, as long as the loss is reported timely (either when the card is lost or stolen, or when you see fraudulent activity on your statement).

Daniel was fortunate that his currency exchanges were not much worse. I have been quoted currency exchange markups of over 20%. Travelex regularly charges over 13%. Use your ATM card to withdraw foreign cash and your credit card to purchase goods and services. Study these two links to save more: http://www.ricksteves.com/plan/tips/moneytip.htm http://flyerguide.com/wiki/index.php/Credit/Debit/ATM_Cards_and_Foreign_Exchange