Buying Euros in Germany with U.S. $'s, cheapest route?
Aug 29th, 2009, 05:36 AM
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Buying Euros in Germany with U.S. $'s, cheapest route?
Hi all, I've got plans in place to take my Mom, Sister, Brother-in-Law and my Niece touring Germany next month. Most of the B&Bs that we will be staying at want to be paid in local currency (cash).
I've checked numerous banks here in the U.S. and they charge anywhere from 6-10% over the exchange rate to exchange my US$ to Euros. And my Credit Card provider has stated that if I use my credit card to withdraw Euros from ATM's I not only will incur a transaction fee but will also be charged interest at the Cash Advance rate (for all purchases on the card). Therefore, I have no plans to use my card to purchase Euros but will be using it for other transactions.
I do intend to bring $'s with me from the U.S. and exchange them for Euros at a bank (Deutche Bank?), can anyone tell me if this would be the cheapest option with regard to the best exchange rate?
Thanks, Jim
I've checked numerous banks here in the U.S. and they charge anywhere from 6-10% over the exchange rate to exchange my US$ to Euros. And my Credit Card provider has stated that if I use my credit card to withdraw Euros from ATM's I not only will incur a transaction fee but will also be charged interest at the Cash Advance rate (for all purchases on the card). Therefore, I have no plans to use my card to purchase Euros but will be using it for other transactions.
I do intend to bring $'s with me from the U.S. and exchange them for Euros at a bank (Deutche Bank?), can anyone tell me if this would be the cheapest option with regard to the best exchange rate?
Thanks, Jim
Aug 29th, 2009, 05:51 AM
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NOGvmnt,
ATM is the best way to go, though I have found currency traders in Germany offering reasonable conversion rates(4% markdowns).
Call your bank and open a 'Travel Account' with an ATM. The account wont be linked to your other accts and the loss is minimal. Further, your bank will compensate you if its taken by fraud.
ATM is the best way to go, though I have found currency traders in Germany offering reasonable conversion rates(4% markdowns).
Call your bank and open a 'Travel Account' with an ATM. The account wont be linked to your other accts and the loss is minimal. Further, your bank will compensate you if its taken by fraud.
Aug 29th, 2009, 05:55 AM
#5
Go to your bank and get an ATM card. It's the best, safest, cheapest way to get money while traveling. If you take cash to exchange, you will get lousy rates.
You can open an account at your bank for just travel that isn't tied to your other accounts and put your travel money in it. No one will be able to wipe out your account. There is no more risk of losing your ATM card or having it stolen than there is of losing the cash you plan to carry or your credit card. To use your ATM card the person would have to know your pin #.
You can open an account at your bank for just travel that isn't tied to your other accounts and put your travel money in it. No one will be able to wipe out your account. There is no more risk of losing your ATM card or having it stolen than there is of losing the cash you plan to carry or your credit card. To use your ATM card the person would have to know your pin #.
Aug 29th, 2009, 06:06 AM
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My banks (BofA & CU) both offer ATM card fraud protection on my bank account, so there I don't have a financial risk of someone wiping out my account even if they could.
If your bank doesn't offer that protection on your account perhaps it's time to find a new bank.
If your bank doesn't offer that protection on your account perhaps it's time to find a new bank.
Aug 29th, 2009, 06:08 AM
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http://www.finanz-links.de/waehrung/sortenkurse.htm
Banknotes are called "Sorten", when you're looking for the exchange rate ("kurs"), you're looking for the "Sortenkurs" of the USD. "Verkauf" means the bank sells at ths rate, "Ankauf" means it's buying at that rate.
The Deutsche Bank "Sortenkurs" for the 26th can be found here
Ankauf: 1.4976
Verkauf: 1.3676
You're losing about 4% compared to the median.
Since the banks have been bashed quite frequently for this policy many refrain from taking overly excessive surcharges.
But it totally depends on the bank. I would avoid the Reisebank in that respect.
https://www.db-markets.com/portal/me...RT27.08.09.pdf
Banknotes are called "Sorten", when you're looking for the exchange rate ("kurs"), you're looking for the "Sortenkurs" of the USD. "Verkauf" means the bank sells at ths rate, "Ankauf" means it's buying at that rate.
The Deutsche Bank "Sortenkurs" for the 26th can be found here
Ankauf: 1.4976
Verkauf: 1.3676
You're losing about 4% compared to the median.
Since the banks have been bashed quite frequently for this policy many refrain from taking overly excessive surcharges.
But it totally depends on the bank. I would avoid the Reisebank in that respect.
https://www.db-markets.com/portal/me...RT27.08.09.pdf
Aug 29th, 2009, 06:22 AM
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The "Sparkasse Munich" buys at 1.49. Better than Deutsche Bank.
I'd walk in and ask at a few Banks, some may even use a rate from the day before. Postbank for example uses last days rate until midday. But they don't buy cash everywhere.
I'd walk in and ask at a few Banks, some may even use a rate from the day before. Postbank for example uses last days rate until midday. But they don't buy cash everywhere.
Aug 29th, 2009, 06:32 AM
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There are alot of banks around Europe that will not take US dollars or traveler's checks if you are not a regular customer. ATM's are the ONLY way to go overseas-just besure to call them ahead of your travel dates (along with your charge card people) and let them know what countries you will be traveling to.
Aug 29th, 2009, 06:42 AM
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A friend of mine had her account emptied from Peru. She reported fraudulent use and got her money back quickly. Please ask your bank about this, I think you will find it's not risky to use your ATM card.
Aug 29th, 2009, 06:51 AM
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PM,
The OP might refer to the latest crime(in Russia at least) where they keep you in a backroom and drain all the linked accounts too. Even when you get your money back, the 2 days for the pros to accomplish this while you admire Stalin era furniture isnt worth it.
The OP might refer to the latest crime(in Russia at least) where they keep you in a backroom and drain all the linked accounts too. Even when you get your money back, the 2 days for the pros to accomplish this while you admire Stalin era furniture isnt worth it.
Aug 29th, 2009, 07:23 AM
#13
If the account isn't linked they wouldn't be able to drain it. I share a travel account with my daughter which is not linked to any of our other accounts and has no overdraft privileges. We only put money in it when we plan to travel. The rest of the time it only has a few dollars in it to keep it open. I don't know anyone from the US that doesn't use their ATM cards for money when the travel.
If you are being abducted and held in Russia then you have much bigger worries than money.
If you are being abducted and held in Russia then you have much bigger worries than money.
Aug 29th, 2009, 07:28 AM
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ky,
If you noticed my first post, I rec'd the travel account ATM. My last post dealt(in reply to fraud protection) with this new crime where they dont hurt you, just entertain you until its done.
If you noticed my first post, I rec'd the travel account ATM. My last post dealt(in reply to fraud protection) with this new crime where they dont hurt you, just entertain you until its done.
Aug 29th, 2009, 07:37 AM
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Thank you everyone, I went to my bank this morning to see if I could get an ATM card for my savings account and I can't as my bank has changed their policy.
I will go and ask about the Travel Account, if my bank doesn't allow it I will change banks (I've been having a lot of problems with this bank lately anyway with them hounding me to switch my savings account to a checking account).
Thanks again for your help everyone.
Jim
I will go and ask about the Travel Account, if my bank doesn't allow it I will change banks (I've been having a lot of problems with this bank lately anyway with them hounding me to switch my savings account to a checking account).
Thanks again for your help everyone.
Jim
Aug 29th, 2009, 08:09 AM
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ATM card is the way to go.
I would think that credit cards have a much higher rate of fraud than ATM accounts, plus an ATM account has a daily limit while CC not. And what is idfference between a credit card with PIN that someone could access versus ATM with PIN?
I think you will find most people here use and are happy with ATMs as a means of accessing cash while travelling.
I would think that credit cards have a much higher rate of fraud than ATM accounts, plus an ATM account has a daily limit while CC not. And what is idfference between a credit card with PIN that someone could access versus ATM with PIN?
I think you will find most people here use and are happy with ATMs as a means of accessing cash while travelling.
Aug 29th, 2009, 08:40 AM
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CC companies here let you put extra money into your account. And then only charge a nominal fee (or none at all) for using ATMs worldwide. But you don't pay cash advance fees as long as you have enough money in your account to match your withdrawals. Maybe your CC company offers a similar scheme.
Aug 29th, 2009, 08:45 AM
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There is no more risk associated with an ATM debit card than with anything else. Just open up a checking account with your bank, or some other bank if you're not happy with yours, deposit your trip money in it, and that's that. Make sure your bank gives you a high enough daily limit on withdrawals that you can pay cash for those B&Bs (or pay the B&Bs in advance by international draft or wire transfer).
Aug 29th, 2009, 09:36 AM
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If you ask your bank about the "Travel Account" you're likely to just get a blank stare. What we mean is that you can just open a new account and use it just for travel.
Personally I think that's overkill - I just use my regular BofA checking account. I keep a minimal balance there anyway & transfer funds in and out of my higher yield accounts as needed to pay bills.
Personally I think that's overkill - I just use my regular BofA checking account. I keep a minimal balance there anyway & transfer funds in and out of my higher yield accounts as needed to pay bills.
Aug 29th, 2009, 09:39 AM
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I think by law, your liability on an ATM card is limited to $50 or something like that, but I'm not really positive. Now I don't have a debit card, but I heard a story on the news the other day that I think said Visa/MC require banks who use their brand for their debit cards to limit liability to $50. They want people to use those cards. Of course, you'd have to check with your own bank to make sure, and if you are just worried you won't have funds available for a day or whatever-- just seems the risk of that is infitisimal, but maybe I don't get why it is so risky. No one can use it without your PIN, after all. I always cover up my hand when inputting my PIN to make sure no bogus people or cameras can see it (I've read that's the way they get it). It's just a habit with me now, I do it even when no one is around.
I have never heard of a travel account, but it sounds just like an extra checking account, whatever you call it. Since you are somewhat disenchanted with this bank, anyway, why don't you open another account at a bank you think you might like and try it out. I know that can be a hassle to do for no reason, but I have my regular bank and another with only a money market account so I have two ATM cards. That might be a way for you to go, also, if you don't want to bother opening two checking accounts. Since it's new, you could deposit only a minimal amount before your trip to see how you like it. If you are going soon, it's kind of late to be doing that kind of thing, but maybe it doesn't take long. My second one was opened by mail (Capital One), so it did take a while to get that ATM card.
I think the concern about draining an account is that you can't drain a credit card, but if funds were taken from your checking account, you wouldn't have any money for a while. I can understand that concern.
I have never heard of a travel account, but it sounds just like an extra checking account, whatever you call it. Since you are somewhat disenchanted with this bank, anyway, why don't you open another account at a bank you think you might like and try it out. I know that can be a hassle to do for no reason, but I have my regular bank and another with only a money market account so I have two ATM cards. That might be a way for you to go, also, if you don't want to bother opening two checking accounts. Since it's new, you could deposit only a minimal amount before your trip to see how you like it. If you are going soon, it's kind of late to be doing that kind of thing, but maybe it doesn't take long. My second one was opened by mail (Capital One), so it did take a while to get that ATM card.
I think the concern about draining an account is that you can't drain a credit card, but if funds were taken from your checking account, you wouldn't have any money for a while. I can understand that concern.
