How to minimize ATM charges in Italy or elsewhere in Europe

Whenever we go to Europe, we call our bank and get the max increased from $300 to $1000, it has never been a problem.

Get a debit card card that charges no per-use fee at an ATM and a low currency conversion fee. Most credit unions charge no fee to use an ATM in Europe and charge only the 1% visa conversion fee (they pass it on to you). And the ATMs in Europe usually don't charge a fee (exceptions: in Spain now I understand). I've never been charged one.

Yes, increase your maximum withdrawal amount and only use ATMs associated with banks-zero to nominal fees. You can even check with your local bank to see if they have a sister bank in Europe whose ATM you can use for free. Oh, and NEVER opt for dynamic currency conversion! Big ripoff. Always decline.

you have to get one of those Schwab accounts

You don't state if the charges are from your bank or the ATM itself. Here are a few tips to reduce both:

1. Verify what your bank charges for ATM use outside your home country. There are multiple options available charging nothing if you bank in the US. If your bank charges more than the 1% Visa/MasterCard network fee for ATM use, open an account at at bank that doesn't charge to use for foreign trips (not suggesting you close your current accounts if you are happy with your current bank for other services it provides you). Capital One 360 accounts charge no fees, even absorbing the 1% network fee The foreign exchange rate is that what you see on Google -- the best you can ever get. You can open and maintain this account online. They charge no fees for most everything you would want to do. The account has no minimum to open and no minimum to remain open (leave $1 in it), so you can keep it as a travel account putting money in only as needed. (I have had one of these accounts for over 15 years and have ben completely happy -- and have paid exactly ZERO in ATM fee.) Charles Schwab offers accounts with similar no fee conditions. With one of these accounts it doesn't matter how often you get cash from an ATM because it doesn't cost you anything extra to do so.

2. Always use a bank owned and operated ATM. These are the ones usually attached to a wall outside a physical bank or inside the bank lobby. Avoid the ones in restaurants, bars, grocery stores, etc., as these are independently operated and, while you will get the money you ask for and there is no real security issue with using them, they will charge fees.

3. Never allow your ATM withdrawal to be done in your home currency. If the ATM offers this, always choose local. So if you are in Europe and you are from the US, never let the ATM (or any merchant if you are making a purchase) charge you in USD always insist on Euros. If you do allow the charge in USD, they will use their own rate which can be as much as 18% over what the card network will use. And, worst of all, your bank will still charge you foreign exchange fees (if they do so) on the already converted at a bad rate amount so you get hit double. And don't worry, because by the time the amount appears on your statement, it WILL be in dollars anyway nicely converted for your bank by the card networks.

4. If you do run into an ATM that wants to charge a fee directly to you for a withdrawal, simply cancel the transaction and find another bank operated ATM from a different bank and try again. Currently, most ATMs in most European countries still don't charge a fee for withdrawals, except in Spain, so you should be able to find one that doesn't.

Hope this helps. Fee free to ask if anything here was not clear.

Some ATM's have a maximum withdrawal amount. I have hit this in Italy, if you ask for over €250, or €300, it just says "transaction not possible", not very helpful. The solution is easy, multiple smaller withdrawals. But if your bank is charging per transaction, it costs more that way.
No such restriction here in Switzerland.

Have you read the "Cash and Currency Tips" section elsewhere on this web site? It is one of several sections listed along the right hand side of this Travel Forum home page. I have gone to Europe for 16 of the last 18 years. I rarely use a credit card. I use ATMs all the time all over Europe and use a debit card from a local credit union that charges a 1% conversion fee but no charge for using the ATMs in Europe. I get cash in the local currency. I take out as much as I will be needing for a couple of days. If I have a big bill, like from a B&B, I sometimes have to make withdrawals over several days. I always let the B&B owner know of my situation before consummating the reservation. I have never been turned down. I always notify the issuers of whatever cards I am taking of my plans.
I also notify the issuers of any cards that I may be making charges on for Europe prior to my departure so that the charges are not flagged as suspicious. The debit card I use from the credit union is connected to my checking account so I make sure to deposit lots of cash before I leave.

Big banks in Italy, like Unicredit, are starting to charge ATM fees. There are Italian equivalents to savings and loan banks, credit unions, co-op banks that don't charge fees.

Thank you to all. I did read the Rick Cash & Currency Tips, and per suggestions here I called my credit union. I was astonished to learn that they charge me 2% + $3 flat fee for each withdrawal using my debit/ATM card and that the max amount (no exceptions) is $500, which is approx 420 in Euros.

We are a family of 4 so we can run though quite a bit of cash, particularly as our apt rental usually requires some cash payment in addition to city occupancy tax. Our upcoming vacation in Rome/Florence will require 2 cash payments and 2 city tax cash payments. I'll be contacting the landlord to see if I can pay more via credit card upfront.

If I understand this correctly, each time I take out $500, I am paying $ 13 in fees. Over a 2 weeks trip, that may add up to $100.
I'm going to look at Capital One 360 and Charles Schwab. Thanks so much for the recommendations.

Hope you find a bank to your liking. And what your current bank charges is not even close to the worst. The largest US banks charge as much as 5% + $5 per transaction (depending on the account type you have with them [i.e. how much money of yours they are keeping] some do offer lower fees). While I don't feel banking should necessarily be free of charge for the services they provide, in the case of foreign exchange through your ATM or credit card, it is just a pure ripoff what they charge. They do nothing except bill you, all the exchanging is done by the card networks, and then lie to the customers that the charge is to cover their costs. So how can a mom&pop credit union afford to provide foreign card use for basically free yet Chase has to charge $5 plus a percentage? You would think the larger banks would have a lower cost for this service. Oh, well.

/rant.

SuzieeQQ, it would be better if each of you had your own debit card, on different accounts from different banks. That way you are not dependent on one card/account/bank. You can each make max withdrawals at the same time, doubling your take. Note what Chris F said: even if your max limit is raised, the ATM (bankomat, cashpoint) you use may have a limit, or even be limited because its running low on cash.

We use First Republic Bank ATM rebate checking account: no international transaction fees; no ATM fees anywhere in the world. They will rebate any fees charged by the other bank as well.

We have established a relationship with our local bank employees so that we can call (or email) them directly if we have any problems like the time in Paris in 2016 when a ATM withdrawal went through (deducted from our account) except that the €500 never came out. The emloyees at the Paris BNP Paribas were no help. Our account was credited immediately but told us that they will have to look into the matter.