New to cruising - foreign exchange

[Taffy040]

Hi. We have booked a few excursions while on our cruise and just wondering if there are foreign exchange facilities onboard Sapphire Princess (Asia cruise)?  Or should I get currency before I leave UK.  Many thanks for advice received so far

[caribill]

Yes, there will not a currency exchange machine on the ship, but the exchange rate will be poor and the fees to use it will be high.

 

An example:

 

It may be convenient, but using a ship's currency exchange machine (it is not an ATM) is about the most expensive way to exchange currency.
 

You put currency in to get currency out. There is a limit of inserting ten bills per transaction. There is a service fee of $4.50 per transactions. It is obviously better to insert ten $20 bills than twenty $10 bills as the latter transaction would require paying two service fees.

 

The Interbank rate the day I checked for selling Euros was $1.13204 for one Euro.

 

ATM debit cards used on shore will usually have a foreign transaction charge from your bank of from 0% (CapitalOne, for example) to 3% (Bank of America, for example).

 

So if your financial institution charges the full 3% rate, one Euro would cost $1.1660.

 

This compares (as shown below) to the Princess rates: one Euro would cost $1.2046, 6.4% over the Interbank rate. (The Princess service fee is in addition to that.)

 

The Princess currency exchange machines had the following rates that day. (I do not know how often they may change.)

 

To purchase Euros, you will pay $1.2046 for each Euro. Compare this to what using your ATM debit card on shore might cost. To sell Euros back to Princess, the machine will give you $1.0306 for each Euro, 14.44% less than you paid for them. Of course you will pay the $4.50 Princess transaction fee for both buying and selling the Euros. If you converted $100 into Euros and then back into US $, including the transaction fees you would end up with $77.21.

 

To be noted is that the machine does not say you are paying $1.2046 for each Euro. It shows the rate as $1 buys you .83015 of a Euro. Unless you have a calculator with you or are a certified MENSA member, you will not know that .83015 translates to paying $1.2046 for a Euro. Many people see the $1.0306 value for selling Euros to Princess and assume they are getting a great deal on purchasing Euros.

 

Of course you can buy Euros with other currencies. I did not look into those rates, but you should expect a loss of value of 14.44% plus the transaction fees. The machine also accepted the currencies of Canada, Australia, New Zealand, the UK, Switzerland, Denmark, Norway, Sweden and Japan.

[Taffy040]

Thank you.  Looks like it will be better to get before leaving home

[paul929207]

I agree, the exchange rates on the ships are poor.

[BigGuy25]

Carabill provided an excellent overview.  We always plan and using our credit card for most purchases and get a little foreign $$ for small street purchases, guide tips, etc.  And, you’ll find ATM’s all over most (if not all) ports you’ll visit if you need more cash.

[idahospud]

Here is what we had on last week's transatlantic on the Crown.

[Colo Cruiser]

Do it before you board. You can find better rates.

[john watson]

28 minutes ago, idahospud said:

Here is what we had on last week's transatlantic on the Crown.

 On top of this people like Taffy,  who do not bank in US Dollars incur another foreign exchange rate transaction when at the end of the cruise  the whole cruise account gets charged including any foreign exchange undertaken through guest services.

 

Regards John

Edited November 21, 2018 by john watson

[firecrewcapt]

We wait till first port and then find a bank with an ATM and get local currency there, the rates are usually better. But then again we are exchanging USD to Euros.

[mcrcruiser]

All you will need is a relatively small amount of foreign money for tips & things like that . Take  along only visa & or master cards that do NOT have a foreign exchange rate fees  .Those fees can be as much as 3% . We have several of those credit cards . Also make sure that your ATM cards  have a 4 digit pin  only & use the machines on land only for foreign exchange .

Hope this helps you 

[Colo Cruiser]

3 hours ago, john watson said:

 On top of this people like Taffy,  who do not bank in US Dollars incur another foreign exchange rate transaction when at the end of the cruise  the whole cruise account gets charged including any foreign exchange undertaken through guest services.

 

Regards John

Euros for Asia?

[john watson]

5 hours ago, Colo Cruiser said:

Euros for Asia?

 

Obviously not.  The point is that where you need a non-US  Dollar currency and you bank in any currency other than that currency or US Dollars two separate foreign exchange transactions take place compounding how bad the rate of the overall transaction will be.

 

Regards John

[Hlitner]

Since we are talking about Asia, info on Euro's really are not relevant.  Depending on the port the situation can differ.  On our recent Golden Princess in Asia, there were some ports where local officials would come aboard and set-up a small currency exchange table in the Atrium.  But using this meant waiting in line (when you want to get off the ship) and the exchange rates were not idea.  And this is not done in most ports.  In most places the best rates for currency are via local ATMs.  If you are doing things on your own that will usually work....but if you take excursions it can be a problem.    Also be advised that the ability to get currency out of ATMs in Japan is somewhat limited but using ATMs found in 7-Eleven stores (owned by 7 Bank) is always a good option.   There are also ATMs in most post offices that work with foreign ATM/Debit cards.

 

Asia does require some planning because every country has their own currency.  Since DW and I generally prefer doing our own thing (independent travel) it is something we always consider when planning our days.  Fortunately, both MC and Visa are widely accepted in Asia....so that is a great option...especially if you have cards that do not assess any foreign exchange fees.  There are some countries where the US Dollar is still widely accepted and the Euro is also OK in some venues.  For example, in Vietnam we were easily able to manage with US Dollars (it is wise to have small bills that are very clean and near new).

 

Hank

 

Hank

[mexicobob]

11 hours ago, mcrcruiser said:

All you will need is a relatively small amount of foreign money for tips & things like that . Take  along only visa & or master cards that do NOT have a foreign exchange rate fees  .Those fees can be as much as 3% . We have several of those credit cards . Also make sure that your ATM cards  have a 4 digit pin  only & use the machines on land only for foreign exchange .

Hope this helps you 

My credit cards do not have 4 digit pin #s.  Only 3.  Probably show my ignorance, but what is the difference?

[Ep010835]

10 hours ago, Colo Cruiser said:

Euros for Asia?

 

🙄

[tanyaewa]

Sometimes going with whatever’s easiest is the best route. Ie the exchange on the ship

Unless you are changing 1000s of dollars, the cost is relatively nominal. Even a few percent is only a few dollars 

[firecrewcapt]

58 minutes ago, mexicobob said:

My credit cards do not have 4 digit pin #s.  Only 3.  Probably show my ignorance, but what is the difference?

 

One word, security, harder to hack because the simple fact of more combinations needed to break open your credit card.

 

[caribill]

3 hours ago, mexicobob said:

My credit cards do not have 4 digit pin #s.  Only 3.  Probably show my ignorance, but what is the difference?

 

I think you are referring to the 3-digit security code on the back of the credit card following the credit card number. This is not a PIN. This is called a Card Verification Code, or CVC. (For American Express cards this is a 4-digit code and is on the front of the credit card.)

 

A PIN is a 4 (or more) digit code that you have set up in order to use the card at an ATM or in some cases with a debit card with merchants. Most USA PINs are four digit codes, but some can be longer. The reason to be sure yours is not longer than 4 digits is that foreign ATMs are often not able to accept the longer PINs.

[ukestrummer]

On 11/21/2018 at 6:22 AM, BigGuy25 said:

Carabill provided an excellent overview.  We always plan and using our credit card for most purchases and get a little foreign $$ for small street purchases, guide tips, etc.  And, you’ll find ATM’s all over most (if not all) ports you’ll visit if you need more cash.

BigGuy is right, this is what we have done in past

[frugaltravel]

On 11/21/2018 at 10:06 AM, firecrewcapt said:

We wait till first port and then find a bank with an ATM and get local currency there, the rates are usually better. But then again we are exchanging USD to Euros.

 

I have not gotten foreign currency in advance in years.  Local ATM machines are by far the easiest and least expensive way to obtain local currency.  ATM machines seem to be everywhere.  I have a card that doesn't charge me a fee at any ATM and also reimburses any ATM fees that the local bank might impose.

 

[Ep010835]

1 hour ago, frugaltravel said:

I have a card that doesn't charge me a fee at any ATM and also reimburses any ATM fees that the local bank might impose.

 

 

Mine too. One of my fav benefits at my bank. We can come back from a trip anywhere in the world with a handful of receipts and get credit for ALL of the fees. Sometimes a pretty healthy $. 

[frugaltravel]

11 minutes ago, Ep010835 said:

 

Mine too. One of my fav benefits at my bank. We can come back from a trip anywhere in the world with a handful of receipts and get credit for ALL of the fees. Sometimes a pretty healthy $. 

I am so glad that mine is much easier.  They automatically credit any fees from other banks.  No receipts to hang on to and get credit for.  It is all automatic.

[DrivesLikeMario]

The OP is in the UK so the rates quoted won't apply.  Taffy is most likely converting GBP, not USD. 

Taffy-Get what you need at a local bank beforehand.  Sometimes you have to order it if they don't have what you need in advance.  Get small bills if possible.

[TheRabbit]

Just off the Coral from Asia and purser's desk had currency for most of the countries we visited (about 6). As stated above, rates were not great and there were fees. We used a local agency to do all of our currency purchase before leaving.

As another cruiser pointed out, use an ATM. We have found over the years doing tours, this is not always accessible unless planned ahead as part of the tour itself sometimes. As DrivesLikeMario pointed out, do shop ahead. Certain currencies took a few days to get. Not something you can do the day before leaving. Also shop around for rates and fees. In our case the best rate was a check cashing business that did currency exchanges on the side as we have a University near us with numerous foreign students. Buying the currency there had better rates than any bank or other agency and no fees, selling currency did have fees. 

Edited November 22, 2018 by TheRabbit

[Ep010835]

1 hour ago, frugaltravel said:

I am so glad that mine is much easier.  They automatically credit any fees from other banks.  No receipts to hang on to and get credit for.  It is all automatic.

 

I’m so very happy for you and delighted that you let me know.