We're planning a two week trip to France in July and I've been looking into the best (least expensive) way to handle money over there, and I think I found the answer, but I thought I'd run it by the experts. Just about all credit cards, with the exception of Capital One, charge a foreign transaction fee and/or a currency conversion fee that ranges anywhere from 1 - 3% for each. This is also almost always the case when taking money with your ATM card, in addition, often times, of an ATM surcharge.

So what I want (and don't we all) is one card that does not charge FTFs or CCFs or ATM fees that I can use to withdraw cash and use at point of service. And while the Capital One Mastercard satisfies the first criteria, it fails the second, charging exorbitant interest on cash advances.

However, Capital One Direct Banking offers an interest bearing checking account that comes with a fee free debit Mastercard, no FTFs, no CCFs and no ATM charges (on their side) and will reimburse up to $10 in ATM fees per month levied by other banks. I've looked at this very carefully, and other than needing to have enough money in the account before you go, I don't see a down side. What do you think?

Anne,

>the Capital One Mastercard satisfies the first criteria, it fails the second, charging exorbitant interest on cash advances. <

Why do you want a cash advance?

You want a card that can be used as a CC and a card that is for ATM.

Many firms, including CapitalObe, have a CC/ATM card.

I prefer to have two separate cards.

I prefer using a cc over a debit card, so I can't comment on that specifically, but it sounds like you've done your homework and that card will work for you.

Capital One and Schwab are most often recommended for travel because they don't charge the high fees other banks charge for foreign exchange fees. I use a Capital One ATM card linked to my mm account, AND a Capital One visa and those are my preferred cards for travel for all the reasons you have described.

The only questions I would have are -- is there a daily limit for withdrawals, or debits with this card? And 2 - do you have a backup card if that one doesn't work for whatever reason? I would never rely on one card only b/c many times people have trouble getting money from an ATM in foreign countries for whatever reason.

Most ATMs 250e per day on card which is why I take 3. I have gotten 500e but I had to go into the bank to do it.

You can use a debit card or whatever card you use at home to get cash from an ATM. I don't know of any bankls which aren't going to charge you something for using an out-of-network cash machine but perhaps there are some around.

You will get much better exchange rates than you would anywhere else. Do you honestly think ANY financial entity is going to change money for you FOR FREE??????

My credit union charges neither for the credit card usage nor the ATM card usage. Visa charges 1% as a conversion fee on the credit card.

you simply need two cards. One credit card and one ATM/debit card. One is for charging things and one is for getting cash. That is the cheapest/most convenient plan. Of course 2 credit cards and 2 ATM cards is even better for back up.

But don't try to get cash w/ any credit card.

Anne, if you have enough capital in the bank to handle the expenses of your trip without putting them on a credit card in order to stretching out the payments --- then your best bet is to find & use an ATM Card(s) that have no or minimal fees.. and use Credit Card only for outlays that you want some protection on -- i.e. expensive gifts that may be flawed, or get broken/stolen.

Here are the facts (obscured & misunderstood):

(1) Use of all LL Credit Cards AND Debit/ATM cards incurs a "currency-conversion fee" of 1% -- this is the fee that Cirrus/Plus Systems & Mastercard-Visa charges for changing the $$ in your home bank account to Euros at the spending end. This is usually "built in" to the exchange rate, so you don't even see it. I think Capital 1 "eats" that fee. Schwab may also, but may require a certain level of $$ maintained in your account -- which is a charge of sorts.
This Cur-Con fee is widespread, minimal, live with it.

(2) ATM CARDS -- Costs for use of these has gone WAY up. Used to be, a per-transaction rate of $3 at Wachovia. Typical. Then Wells-fargo bought them and now - $5 per transaction AND 3% of total amount. Thus, to get $300 = $5 + 9 = $14. Highway robbery.

Solution = find banks that charge NO percentage, and small or no per-transaction charge. If PA in your name means Pennsylvania you're in luck. TD Bank charges NO percentage, and no transaction fee for up to 10 withdrawals per month abroad ... If you draw out $750 per transaction x 10 = $7,500. Hope u are not spending more than that for 2 weeks in France.

To find other banks with decent charges, here's a master list: http://www.flyerguide.com/wiki/index...d_Credit_Cards

Another answer = Credit Unions. Almost none charge % or trans-fees. Today many CU's are open to the public.

NOTE: Before your trip, go in person to your bank/CU and (a) request a raising of the per-day limit. Usually this is $500 ... but almost all banks will raise this on request. TD bank will and so will my credit union. (b) have them put in the computer that you will be withdrawing money in Europe, so they won't freeze your account for fear of theft. WATCH the person enter both these items in the computer.

(2) CREDIT CARDS -- Almost ALL "ordinary" credit cards will at least charge 3% of any purchase. If you have one of those Big Spendah CCs (Platinum, Diamond whatever), maybe not, but the rest of us hoi polloi get stung with 3%. You may tell yourself, well I get Reward Points, but those are worth 1% -- so you are still 2% behind. So save the Credit Card use , as I noted, for the purchases you want a safeguard for, not use for every meal. Besides, many of the small, inexpensive but wonderful restaurants don't take credit cards anyway.

FINALLY..... ATM Tips

• Good to have a back-up card on a different account -- just in case of some calamity/ loss/ card damage. I have my Wachovia/Wells Fargo Card but have never used it.
• Prudent to use an ATM attached to a bank, and during bank hours. Thus if there's any glitch, you can go inside bank immediately for help. Again, never happened to me, but better safe than sorry.
• IF you are a couple, Mom should have a card as well as Dad. It's not 1950 any more... but I was surprised a couple years back to hear a woman ask her husband for "the" ATM card.

Thanks for all the feedback. I really appreciate it. Just to clarify, since the point is to keep the fees down, I was originally looking for a cc w/o a ftf, since my BOA cc charges the standard 3% plus 1% conversion. Capital One gets mentioned a lot, and they seem to offer a good deal. But, we'll also need a way to get cash. We bank with PNC, so I asked them what fees are are associated with my ATM/debit card. Same thing - 2.5% +. SO, now I'm thinking: do I really need a credit card? What if there was an account with a debit/ATM card on the Visa/Mastercard network that didn't incur fees? If so, I can withdraw cash at an ATM, AND use it at POS, right? I 'think' Capital One has such an account, but I wondered if I was missing something. Cheryllj poses a good question though: is there a limit to the number of transactions I can make per day and/or a limit, besides the max ATM? That would be a deal breaker.

I don't belong to a credit union, but I do live in PA, so I'll look at TD Bank. Thanks for that. If anyone else has figured out the perfect solution, I'm open.

I bank with PNC, and they reimburse me for any out-of-network ATM fees I incur. That said, I've never incurred such a fee anywhere in France. I've never encountered a limit on the number of withdrawals I can make per day in France. The only oddity I've encountered is that sometimes on Sundays, particularly in the morning in France, the ATMs won't dispense cash. I figure it has something to do with weekly servicing or something. By afternoon it's rarely a problem.

Don't bother with a different ATM card. You have a BofA account. You can withdraw money from any BNP-Paribas ATM with no fee, and that bank is ubiquitous in France.