irnsd

Hi,

Next month I'm going to be in Sarajevo for a day and a half and Istanbul for eight days. I'm trying to decide how much of each currency to withdraw for the trip, and there are already a couple of expenses (transport, hostel, tour) for which I know I'll need to pay in euros.

I realize it's ideal to pay in local currency because of exchange rates, but how widely are euros accepted in both cities? If possible, I'd like to avoid using my credit card or going to an ATM in both cities.

Thanks.

janisj

>>If possible, I'd like to avoid using my credit card or going to an ATM in both cities.<<

That is too bad since credit cards and ATMs will give you the best exchange rates and would be easiest.

Andrew

Why fear an ATM in Sarajevo? I used ATMs in Bosnia without any issue, any more than in any other European city. I guess the biggest issue is getting extra BAM, more than you need, after such a short visit, or needing to visit the ATM more often to take out small amounts and being charged per use or something. My credit union doesn't charge anything to use an ATM, so if I were going to Sarajevo for a short time, I'd take out tiny amounts of BAM at a time. Perhaps you have to pay a per-use fee. (The ATMs in Sarajevo won't charge you anything, but your bank might.)

I used my Visa credit card in many places without issue all over Bosnia. I wouldn't fear using it there more than any other country in Europe.

Andrew

I will say that you are more likely to be able to use Euros in Bosnia more freely than you might in say neighboring Croatia, where you'd almost always be expected to pay for things in Kuna. You could try using Euros - not sure what kind of exchange rate you might get. And use your credit cards as much as possible.

WoinParis

You don't say where you are from because you didn't bother filling in your profile but ask the question about how widely Mexican pesos would be accepted in New York.
Same about euro or dollars or roubles in turkey.

BigRuss

<< If possible, I'd like to avoid using my credit card or going to an ATM in both cities. >>


In other words, you'd rather waste money instead using the two options that would cost less than using Euros?

Act against your instincts because they are wrong here.

irnsd

I'm from the United States -- sorry my profile isn't complete.

My thoughts about ATM/credit card have to do with not wanting to incur a fee. There's a $3/per use fee at TEB in Turkey. None of the banks in Bosnia are associated with my bank in the US.

This is my first time traveling outside of the US alone, and the first time I've really had to make these financial decisions (I was last abroad when I was much younger). Advice -- such as using my credit card more than withdrawing cash -- is greatly appreciated. That's why I posted here requesting advice instead of blindly trusting my own instincts.

Andrew

I haven't been to Turkey, but the ATMs in Bosnia didn't charge me anything. Your bank might. My credit union didn't charge me anything to use the ATMs, either, and I never had to worry about finding one associated with my credit union; any ATM owned by a bank would be free for me to use. I'd be surprised if the ATMs in Turkey are much different.

Maybe it's too late for this trip, but if you plan to travel outside the US more, you might look at getting a credit union account just for travel. (I would encourage anyone to dump their corporate bank for a credit union for everything, actually. In my experience, a good credit union beats any bank.) I have two accounts; one charges a 1% currency conversion fee and no per-use ATM fee up to several a month; my other account (for travel only) has no fees at all.

janisj

>>My thoughts about ATM/credit card have to do with not wanting to incur a fee. There's a $3/per use fee at TEB in Turkey. None of the banks in Bosnia are associated with my bank in the US.<<

$3 isn't a very big charge. Some banks charge nothing, some as much as $5. Using currency from a different country will cost you a more that three measly dollars.

sparkchaser

<i>Using currency from a different country will cost you a more that three measly dollars.</i>

This.

WoinParis

Ah.
If you use a credit card, REFUSE to pay in dollars (for your convenience' the seller will then convert at a rate beneficiary to him - also in the range of 3%.

BigRuss

Two follow-ups:

(1) the $3 fee is far less than what you'll lose at an exchange rate by trying to pay in foreign currency. No one will give you the actual exchange rate because it costs time and effort for the merchants or hotels to exchange foreign wampum to local scrip. Your $3 fee is minimal. Even a $3 withdrawal fee plus a foreign exchange fee that is a % of the withdrawal (usually 3-3.5% on a debit card) will actually be less of a hit. To avoid those fees, look into an account that won't charge them or will charge less - like setting up a credit union account or Capital One online account just for travel.

(2) WoinParis is discussing the "convenience" of Dynamic Currency Conversion. In such a case, the merchant charges you in dollars and receives payment from the credit card company in local cash. This is NEVER beneficial for you. Merchants use it because they charge you more than the actual exchange rate would and pocket the difference (which offsets the credit card charges they pay). To avoid it, insist upon paying in the local Monopoly money.

In addition, check your credit card. There are enough varieties that do not charge foreign exchange fees that you should be able to obtain one easily whether the issuer is a bank (Barclays, Chase, Citibank, Wells Fargo, Cap One) or a credit union (Navy Federal or a local concern). If your card charges a lot for foreign exchanges, get a new one (and one that gives you miles or hotel points or similar).

bilboburgler

"None of the banks in Bosnia are associated with my bank in the US."

really not relevant, virtually all banks are linked world wide through a series of linking portals, unless you live in some ? of a backward country you will not have a problem using ATMs

irnsd

Thank you for the advice, everyone. It sounds like the best route is to withdraw cash for payments I know I need to make in cash, withdraw some extra in local currency, and try to pay with a credit card (allow the card to convert to local currency automatically) as much as possible. I already was considering getting a Capital One card, so I'll just go ahead and do that.

ssander

The CapOne card is a good choice, but there are many others, as suggested above. And even if there is a small ATM fee, it's insignificant. Think about it. On a 450€ withdrawal (Many cards have a $500 daily limit, but you can get that waived if necessary.), a $3 charge is less than 1%, compared to the lousy exchange rate you would get in banks, exchange kiosks and other similar places...10 to 15 percent worse.

ssander

Andrew

On the other hand, if you will be in Sajajevo for 36 hours, you won't be withdrawing 450 euros worth of BAM - maybe what 30 or 40 euros equivalent at most? A $3 USD fee on say $30 USD is 10%.

janisj

. . . but it is still only 3 bucks.

Andrew

Yeah, but how much do you take out at once? How many BAM will you need for 36 hours? Take out too much and you are stuck with BAM you'll probably never use and have to exchange at a big loss. Take out not enough and you need to use the ATM again for another $3. It adds up. If you are somewhere for a week, it's easier to take out a lot at once and not need to keep re-visiting the ATM.

That's why I like having an ATM card I can use for free: I take out the small amounts I need as I need cash, without worrying about having too much left over at the end.

Mimar

<< (allow the card to convert to local currency automatically) as much as possible. >>

DCC will convert the charge automatically to your home currency with a conversion surcharge, part of which goes to the merchant. You will have to ask/insist that the charge be voided and recharged in local currency. Which leaves the conversion to your home bank and whatever they charge.

GinnyJo

I like the capital one credit card (they offer a card with a 1.5% cash back).

I also opened a capital one 360 checking account solely for ATM withdrawals overseas; it uses a mastercard debit card, not a Visa debit card. The mastercard debit card does not charge withdrawal fees, although the overseas bank who owns the ATM might assess something (like the $3 mentioned already).