Going to Europe. Where to get Euros?

I will be going to Amsterdam in a few weeks. I have found conflicting information on where to get Euros for the trip. I am figuring I need abt $1200 in Euros for the trip. I do not have an ATM card. I found online a place called Travelex. They told me it was cheaper for me to buy here and sell in Rome on the day of my return if I have any Euros left. For me to buy $1200 in Euros today it would cost me $1774. AAA is $1805 and a local travel agency would be $1703. Trying to find a bank in my area that will sell them without me having an account so not sure what their price is yet.

My question. Is the $1703 a good deal or should I get an ATM card and use that? (That included a $10 fee) I am with a credit union that won't have a free ATM in Europe. Is it not that much difference and just easier to get it before I leave?

Just a little reading around the boards would find that an ATM is by far (I mean like 5% or more better in exchange rate) the best place to get foreign money. Just be a little thoughtful about selecting an ATM...prefer one within a bank, or behind security in an airport.

Further reading would reveal ATMs in Europe don't charge fees- it is against the law. Your home band will charge a fee in most cases. 1-3%.

You would probably save about $100 by using the ATM (based on the rate we got in July). Your credit union may charge a couple of bucks per transaction, but check with them to be sure. European ATMs typically do not charge a fee.

The big advantage of an ATM card is that you can withdraw as needed. Even if you decide to buy euros ahead of time, I would get the card. That way, if you run into unexpected expenses, you have an option. Also, if you are going to any non-euro countries, you can get those currencies.

Just tell the bank when/where you will be traveling, and you can get cash as needed, rather than trying to figure out ahead of time what your needs will be. You might decide on the convenience of ordering some currency before your trip, but an ATM card is a good option to have.

Further reading would reveal ATMs in Europe don't charge fees- it is against the law. Your home band will charge a fee in most cases. 1-3%.

I don't know where you read that, but it's not true. There are plenty of pay-to-use ATMs in Europe, typically those in non-bank locations such as stores and 'gas' stations. I don't know if it is true that all bank ATMs are fee-free (to the user - there is always an interchange fee, which is absorbed by the banks), but certainly in the UK I think they are.

Under the Payment Services Directive (EU law), they have to be very clear about the fee if they are charging one, before you start the transaction (typically on the machine housing and certainly on screen).

Edit: I note the OP is going to the Netherlands; we'd need a local or frequent traveller to say if all ATMs are fee free there.

I will be starting in Amsterdam then going to Venice and ending in Rome

What we do is buy a hundred dollars-two hundred of the needed currency at home. Then we use our ATM to buy more as the trip goes on. We mostly use our charge cards when we can. THis will save you tons on conversion fees and poor exchange rates at home. AND then if you over guess and have lots left over, converting it back to dollars will cost you a ton too.

Don't buy that much here at home. Poor financial sense. ATM's are all over the place in Europe. ANd very easy to use with English directions.

I don't know where you read that, but it's not true. There are plenty of pay-to-use ATMs in Europe, typically those in non-bank locations such as stores and 'gas' stations. I don't know if it is true that all bank ATMs are fee-free (to the user - there is always an interchange fee, which is absorbed by the banks), but certainly in the UK I think they are.

 

Under the Payment Services Directive (EU law), they have to be very clear about the fee if they are charging one, before you start the transaction (typically on the machine housing and certainly on screen).

 

Edit: I note the OP is going to the Netherlands; we'd need a local or frequent traveller to say if all ATMs are fee free there.

Funny...have used ATMs all over the EU, and a couple Non-EU countries, and never paid a fee to an European bank. My understanding is EU law forbids fees. Maybe you can't have unannounced fees prior to the transactions.

Funny...have used ATMs all over the EU, and a couple Non-EU countries, and never paid a fee to an European bank. My understanding is EU law forbids fees. Maybe you can't have unannounced fees prior to the transactions.

You say "funny" as if your experience somehow contradicts what I said? Most, if not all, bank ATMs do not charge user fees, so it does not surprise me that you have not paid a (direct) fee to a European bank. Neither have I. Many non-bank ATMs do charge user fees. Of necessity, I have used one or two and paid a fee.

The two major shared teller networks, cirrus (mastercard) and plus (visa) indeed prohibit banks from charging a fee on cards from outside the country of the machine for having the audacity to use their machines to withdraw local currency. I've always wondered how some ATM's in non bank situations get away with charging fees but indeed some do. Of course the solution for Americans, at least, is to use an ATM card from a bank such as USAA or Charles Schwab that reimburses this fee up to a certain amount each billing cycle

The exchange rate as shown at http://www.oanda.com at the moment is $1.32831/€. With no markup, €1200 would cost you $1593.97. This no markup rate is obtainable with some debit cards and credit cards.

But:

At $1774, Travelex marks up euros by 11.3%.

At $1805, AAA marks up euros by 13.2%.

AT $1703, a local travel agency marks up euros by 6.8%.

Note that any of these may advertise "NO FEE!" Their markup is hidden in an unfavorable exchange rate. None of these are good deals and they may be worse if there are additional delivery or other fees. Don't be surprised if Travelex tacks on a $9.99 fee.

Will your credit union provide an ATM or debit card that will work in Europe? If so, ask what fees there will be. If your credit union is like most banks and credit unions in the US, staff will have no clue and give you the wrong information. Get the information in writing. Your credit union should charge between 0% and 3% plus $0 to $5. If so, you will save big by using your ATM card over the other options you list.

Frankly, you may have trouble obtaining and familiarizing yourself with an ATM card before your travels. Your card issuer may find foreign use suspicious on a newly issued card and block it. I suggest you buy €1200 before you go, from the travel agency if you can't beat their rate at a local bank.

Read and understand these links before you depart: http://flyerguide.com/wiki/index.php/Credit/Debit/ATM_Cards_and_Foreign_Exchange

And the first 8 links under "Money Matters": http://www.ricksteves.com/plan/tips/tips_menu.htm

You will be quizzed on dynamic currency conversion and withdrawal limits. Good luck.

The two major shared teller networks, cirrus (mastercard) and plus (visa) indeed prohibit banks from charging a fee on cards from outside the country of the machine for having the audacity to use their machines to withdraw local currency. I've always wondered how some ATM's in non bank situations get away with charging fees but indeed some do.

Primarily when the national laws of the country concerned (e.g. Competition laws or local implementation of the PSD) conflict with their rules. This much-quoted idea that it is against European law to charge fees must be a misunderstanding of the SEPA Card Framework, I suspect.

But for the OP, the bottom line is that many ATMs in Europe do not charge user fees and those that do will identify themselves :)

Why not get a preloaded Visa card (or something similar) that you load in dollars, then spend abroad? If you don't spend everything, then you can spend the balance when you get home, and if you get stuck you could ask someone at home to add some more cash to it for you. Saves you carrying wads of cash around.

Something like this:

http://usa.visa.com/personal/cards/prepaid/visa_travel_money_faq.html

I will be going to Amsterdam in a few weeks. I have found conflicting information on where to get Euros for the trip. I am figuring I need abt $1200 in Euros for the trip. I do not have an ATM card. I found online a place called Travelex. They told me it was cheaper for me to buy here and sell in Rome on the day of my return if I have any Euros left. For me to buy $1200 in Euros today it would cost me $1774. AAA is $1805 and a local travel agency would be $1703. Trying to find a bank in my area that will sell them without me having an account so not sure what their price is yet.

 

My question. Is the $1703 a good deal or should I get an ATM card and use that? (That included a $10 fee) I am with a credit union that won't have a free ATM in Europe. Is it not that much difference and just easier to get it before I leave?

Some good advice, do not go around Europe with that much money in your pocket. I know people think they are careful, but pick pockets galore roam around looking for tourists.

I would get the debit card and withdraw money as needed. So what if it costs you a few euros more or less, just the safety factor alone is worth it. ATM's are everywhere, so why bother traveling with a wad of money when you can get it as needed.

Personally I would get a non fee credit card and charge as much as possible. You will get the best exchange rate and not have to worry about that money factor.

Cheers

Len

The exchange rate as shown at http://www.oanda.com at the moment is $1.32831/€. With no markup, €1200 would cost you $1593.97. This no markup rate is obtainable with some debit cards and credit cards.

 

But:

At $1774, Travelex marks up euros by 11.3%.

At $1805, AAA marks up euros by 13.2%.

AT $1703, a local travel agency marks up euros by 6.8%.

Note that any of these may advertise "NO FEE!" Their markup is hidden in an unfavorable exchange rate. None of these are good deals and they may be worse if there are additional delivery or other fees. Don't be surprised if Travelex tacks on a $9.99 fee.

 

Will your credit union provide an ATM or debit card that will work in Europe? If so, ask what fees there will be. If your credit union is like most banks and credit unions in the US, staff will have no clue and give you the wrong information. Get the information in writing. Your credit union should charge between 0% and 3% plus $0 to $5. If so, you will save big by using your ATM card over the other options you list.

 

Frankly, you may have trouble obtaining and familiarizing yourself with an ATM card before your travels. Your card issuer may find foreign use suspicious on a newly issued card and block it. I suggest you buy €1200 before you go, from the travel agency if you can't beat their rate at a local bank.

 

Read and understand these links before you depart: http://flyerguide.com/wiki/index.php/Credit/Debit/ATM_Cards_and_Foreign_Exchange

And the first 8 links under "Money Matters": http://www.ricksteves.com/plan/tips/tips_menu.htm

 

You will be quizzed on dynamic currency conversion and withdrawal limits. Good luck.

Rick Steves is a strong proponent of using cash as much as possible and getting from an ATM in Europe when you arrive. He encourages people to make "large" withdrawals as opposed to lots of smaller ones.

For one, he feel cash is preferred by merchants. I suppose this may be true based on his travel philosophy plus cultural differences between Europe and the plastic mad USA (though I understand the UK is pretty plastic mad too). He also likes cash because he feels it's the best way to avoid extra fees. ATMs typically get you a very good exchange rates. Credit Cards can have extra fees (unless you seek out a no foreign transaction fee card, which really isn't too hard to get these days. Many banks issue them) Using hard cash also avoids any possibility of dynamic currency conversion shenanigans. He also recommends carrying a decent amount of US currency with you just in case.

Lots of merit to this, really. For the most part, cash is the lowest common denominator. But it does mean you have to be comfortable with toting around a decent amount of cash with you. Several hundred dollars worth. Not everyone is comfortable with this, even if they do use his money belt suggestion. Also, I suppose there can be some issues with automated kiosks that don't even take cash. Plastic only. And then there is booking and buying stuff on-line. Something that's more and more common these days. Cash doesn't typically work in that scenario.

Curious, can you not get Foreign currency from American banks ? We can at Canadian banks as long as they have enough notice beforehand. I don't understand the problem you all seem to be having with getting a few euros or GBP from your banks.

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Primarily when the national laws of the country concerned (e.g. Competition laws or local implementation of the PSD) conflict with their rules. This much-quoted idea that it is against European law to charge fees must be a misunderstanding of the SEPA Card Framework, I suspect.

 

But for the OP, the bottom line is that many ATMs in Europe do not charge user fees and those that do will identify themselves :)

Also there are some very benevolent banks that rebate these fees up to a certain amount each statement period such as USAA, Charles Schwab Bank.

Rick Steves is a strong proponent of using cash as much as possible and getting from an ATM in Europe when you arrive. He encourages people to make "large" withdrawals as opposed to lots of smaller ones.

 

For one, he feel cash is preferred by merchants. I suppose this may be true based on his travel philosophy plus cultural differences between Europe and the plastic mad USA (though I understand the UK is pretty plastic mad too). He also likes cash because he feels it's the best way to avoid extra fees. ATMs typically get you a very good exchange rates. Credit Cards can have extra fees (unless you seek out a no foreign transaction fee card, which really isn't too hard to get these days. Many banks issue them) Using hard cash also avoids any possibility of dynamic currency conversion shenanigans. He also recommends carrying a decent amount of US currency with you just in case.

 

 

Lots of merit to this, really. For the most part, cash is the lowest common denominator. But it does mean you have to be comfortable with toting around a decent amount of cash with you. Several hundred dollars worth. Not everyone is comfortable with this, even if they do use his money belt suggestion. Also, I suppose there can be some issues with automated kiosks that don't even take cash. Plastic only. And then there is booking and buying stuff on-line. Something that's more and more common these days. Cash doesn't typically work in that scenario.

He is wrong. Period. Although I can understand that the types of hotels and restaurants he pushes might not take credit cards but not everybody wants to travel his way (although there's nothing wrong with the types of hotels he suggests; they're just not my cup of tea).

I find the easiest and best way is to credit card everything, everywhere credit cards are taken. That way you don't have to worry about running out of local cash or have to make arrangements to get the appropriate cash in advance.

I do understand some of this is very country related. Holland and Germany really still operate the way they did in the early 20th century, cash only please for the most part at everyday places. The UK and Ireland and to a slightly lesser degree France and Italy credit cards are usualy accepted.

I just took a European trip through most of June that included London, a trip to Barcelona for a cruise, a flight from Venice to Paris, Eurostar to London and home. Other than the taxi from my airport hotel in Barcelona to the cruise terminal (about €20) (and even then although I didn't ask I think the cab might have accepted credit cards) I spent next to no cash and believe me I don't just go to high end places. Almost everything else was a credit card and I just can't imagine in the 21st century not being able to do it that way. But then again, to each his or her own.

He is wrong. Period. Although I can understand that the types of hotels and restaurants he pushes might not take credit cards but not everybody wants to travel his way (although there's nothing wrong with the types of hotels he suggests; they're just not my cup of tea).

 

I find the easiest and best way is to credit card everything, everywhere credit cards are taken. That way you don't have to worry about running out of local cash or have to make arrangements to get the appropriate cash in advance.

 

I do understand some of this is very country related. Holland and Germany really still operate the way they did in the early 20th century, cash only please for the most part at everyday places. The UK and Ireland and to a slightly lesser degree France and Italy credit cards are usualy accepted.

 

I just took a European trip through most of June that included London, a trip to Barcelona for a cruise, a flight from Venice to Paris, Eurostar to London and home. Other than the taxi from my airport hotel in Barcelona to the cruise terminal (about €20) (and even then although I didn't ask I think the cab might have accepted credit cards) I spent next to no cash and believe me I don't just go to high end places. Almost everything else was a credit card and I just can't imagine in the 21st century not being able to do it that way. But then again, to each his or her own.

Thanks for the insight. I wondered how right he was about merchants not liking credit cards. I suppose maybe it's old school thinking that may have been true at one point throughout Europe (and even in the USA) but may not longer apply in 2013? I mean, in the USA, "cash only" places are pretty rare. They are the odd ball exception. Heck, even little food carts take credit cards here.

Oh, and I agree about the hotel thing. But that's a whole totally different discussion. :)

Curious, can you not get Foreign currency from American banks ? We can at Canadian banks as long as they have enough notice beforehand. I don't understand the problem you all seem to be having with getting a few euros or GBP from your banks.

 

 

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You can. But the question is are you getting a good deal? Many feel the answer is no, you don't. You get a better deal in the foreign land via an ATM.

It's really like buying anything else. You want a good price. And you don't want to spend more than you need to.

Curious, can you not get Foreign currency from American banks ? We can at Canadian banks as long as they have enough notice beforehand. I don't understand the problem you all seem to be having with getting a few euros or GBP from your banks.

 

 

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Yes you can get foreign currencies at US banks. However, as has been discussed, the best exchange rates, by sometimes over 5% difference, is at an ATM in the country you are visiting.

I do understand some of this is very country related. Holland and Germany really still operate the way they did in the early 20th century, cash only please for the most part at everyday places. The UK and Ireland and to a slightly lesser degree France and Italy credit cards are usually accepted.

I was surprised recently when shopping in an organic food supermarket in The Hague to discover that it refused to accept cash. It was payment by card only. I assume this was for security reasons. But, in general, I agree that credit cards are not widely accepted in the Netherlands, even in upmarket stores such as jewellers. Debit cards are more commonly used by Dutch people. Whereas in Dublin supermarkets, I regularly see people paying for a bar of chocolate or a carton of milk by credit card.

Thanks for the insight. I wondered how right he was about merchants not liking credit cards. I suppose maybe it's old school thinking that may have been true at one point throughout Europe (and even in the USA) but may not longer apply in 2013? I mean, in the USA, "cash only" places are pretty rare. They are the odd ball exception. Heck, even little food carts take credit cards here.

 

 

Oh, and I agree about the hotel thing. But that's a whole totally different discussion. :)

Just about anybody can take credit cards today and at a very low (2.5%) discount rate. Go to square.com, open an account and they will send you a little credit card reader which goes into the headphone port of your smart phone, download the app and voila swipe the card and you're accepting credit cards! Even the Chinese take out place down the street now takes credit cards. After all, this is the 21st century, isn't it?

I was surprised recently when shopping in an organic food supermarket in The Hague to discover that it refused to accept cash. It was payment by card only. I assume this was for security reasons. But, in general, I agree that credit cards are not widely accepted in the Netherlands, even in upmarket stores such as jewellers. Debit cards are more commonly used by Dutch people. Whereas in Dublin supermarkets, I regularly see people paying for a bar of chocolate or a carton of milk by credit card.

...although one should be aware that many Dutch merchants only accept credit cards with an emv chip and may not even accept chip and signature cards; but that's a whole other discussion.

Just about anybody can take credit cards today and at a very low (2.5%) discount rate. Go to square.com, open an account and they will send you a little credit card reader which goes into the headphone port of your smart phone, download the app and voila swipe the card and you're accepting credit cards! Even the Chinese take out place down the street now takes credit cards. After all, this is the 21st century, isn't it?

Yup.. That's what they typically use. The square reader in an iPad or iPhone.

It's convenient. And modern.

That said, I always travel throughout the USA with some amount of cash on me. I wouldn't ever show up in say Boston or San Francisco or wherever with zero dollars (none. zilch. nada) on me. I try to figure out when I might need to spend money after arriving. Usually, that would be transportation. If I am taking a cab, I want cash. Even in 2013, every cab don't always take them in every city. And when they do, sometimes the process is a little time consuming . cash is fast. Especially if you can give the driver exactly what you want to and don't need change. For public transport, I might want cash too. But that kind of depends.

Of course, it's easy to have cash on me for travel in the USA. The cash I use in Boston or San Francisco is the same as I use in Dallas. I can certainly understand why someone might not want to arrive in a foreign land without having usable cash.

Yup.. That's what they typically use. The square reader in an iPad or iPhone.

 

It's convenient. And modern.

 

 

That said, I always travel throughout the USA with some amount of cash on me. I wouldn't ever show up in say Boston or San Francisco or wherever with zero dollars (none. zilch. nada) on me. I try to figure out when I might need to spend money after arriving. Usually, that would be transportation. If I am taking a cab, I want cash. Even in 2013, every cab don't always take them in every city. And when they do, sometimes the process is a little time consuming . cash is fast. Especially if you can give the driver exactly what you want to and don't need change. For public transport, I might want cash too. But that kind of depends.

 

Of course, it's easy to have cash on me for travel in the USA. The cash I use in Boston or San Francisco is the same as I use in Dallas. I can certainly understand why someone might not want to arrive in a foreign land without having usable cash.

I have about $25 on me at all times. My holiday last December (I live in NYC) was on the left coast in southern California. I spent 7 days, rented a car, and visited all the typical Socal attractions such as Universal City, Disneyland, Knotts Berry Farm, Sea World, the San Diego Wild Animal Park. Car rental..credit card. Hotels...credit cards. Gas...credit card. Parking at the parks...credit card. Admission to the parks...credit card. Lunches at the parks...credit cards. Restaurants for dinner...credit cards. I did spend $2.95 in cash...for a Mickey bar from a cart at Disneyland. That's it.

I'm home from a recent crujise and the last time I spent cash for anything was for a haircut on 15 July now that as I said the Chinese take out place down the street takes cards. When I left for the cruise, I took the subway using my metrocard filled up with a credit card to Penn Station and took a cab from Penn Station to Pier 90 and used a credit card...same was true for the reverse trip.

Like I said I can't imagine living in a world where you have to pay cash for anything but then again as I said, to each his or her own.