Buying Euros online
May 28th, 2005, 02:54 PM
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Buying Euros online
I am planning a fall trip to Italy & would love buying euros NOW before the exchange rate climbs even higher. Does anyone know of anywhere (online or not) that one can accomplish this at a good exchg rate? The ones I've tried online list the exchg rate at least 15 cents above the true rate + a service fee.
May 28th, 2005, 03:13 PM
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If you really want to do this, check Bank of America's website - click on Foreign Currency. BofA has branches ALL OVER the U.S., so you can order online and pick-up at your local branch (being a BofA customer is NOT required). Their rate is about 7-8 above the market ("true"
rate.
Also - if you are a AAA member, you can order online at their website, too. I don't know their exchange rate as I'm not a member.
rate.Also - if you are a AAA member, you can order online at their website, too. I don't know their exchange rate as I'm not a member.
May 28th, 2005, 03:27 PM
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Thanks for the advice though I'm kinda surprised it's deemed NOT to be a good idea!?!? The exchange rates have steadily increased over the last several years & I'm not aware of any decreases? Am I just being too pessimistic?
May 28th, 2005, 03:38 PM
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When I read your headline, I thought "What? WHY?!?"
The Euro has weakened against the dollar in the last few weeks, and it fluctuates regularly. Given all the fees associated with online and other exchanges, you'd most likely be better off waiting and using an ATM machine wherever you land overseas.
No need to complicate matters.
Jules
The Euro has weakened against the dollar in the last few weeks, and it fluctuates regularly. Given all the fees associated with online and other exchanges, you'd most likely be better off waiting and using an ATM machine wherever you land overseas.
No need to complicate matters.
Jules
May 28th, 2005, 03:56 PM
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The Euro generally has been decreasing for the past several months. E1 = $1.25 is the lowest it's been in a while. I expect the Euro to continue to trickle downward, getting weaker against the dollar. Keep in mind that most of the major economies that prop up the Euro, like France, Germany, Italy, etc., have relatively high levels of unemployment and inflation, in addition to having to prop up the weaker Euro countries like Greece. In the long-term, the dollar will again become very strong against the Euro until the European governments solve their inherent fiscal and monetary problems.
Okay, my political rant is over.
Having a few euros before you leave for Europe probably isn't that bad of an idea, but keep it essentially petty cash -- E100 or E150 only, just enough to get you from the airport to your hotel with maybe a snack in the process. Don't think that you need to convert $1500 into Euros. Regardless of what the exchange rate does between now and your trip, it's the security risk that would then become the problem. You'd be carrying E1200 around with you -- IN CASH -- ripe for some Roman pickpocket or Transportation Stupidity Agency moron to abscond with.
Okay, my political rant is over.
Having a few euros before you leave for Europe probably isn't that bad of an idea, but keep it essentially petty cash -- E100 or E150 only, just enough to get you from the airport to your hotel with maybe a snack in the process. Don't think that you need to convert $1500 into Euros. Regardless of what the exchange rate does between now and your trip, it's the security risk that would then become the problem. You'd be carrying E1200 around with you -- IN CASH -- ripe for some Roman pickpocket or Transportation Stupidity Agency moron to abscond with.
May 28th, 2005, 04:26 PM
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Most of the online currency exchanges require minimum purchases except for AMEX (but with much higher sevice fees).
BofA and Travelex require at least $200 orders. Some of the others are $500.
Also keep in mind that if you use a credit card to purchase online euro, it will be considered a cash advance with even more fees and immediate (high)interest rates.
If you absolutely must have them in hand (and I don't think it is necessary), then why not check with your local bank to see what they can offer.
BofA and Travelex require at least $200 orders. Some of the others are $500.
Also keep in mind that if you use a credit card to purchase online euro, it will be considered a cash advance with even more fees and immediate (high)interest rates.
If you absolutely must have them in hand (and I don't think it is necessary), then why not check with your local bank to see what they can offer.
May 28th, 2005, 04:42 PM
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Buying eruos anywhere is outrageously expensive. Your best bet - if you really want to have some in your pocket when you land - is to change $50 or $100 at the bureau de change at your departure ariport.
Otherwise pay for as much as possible with your credit card and use your ATM card to pull cash for walking around money. Thei is by far the least expensive way to operate - and will save you almost all of the 15% profit you noted in this fly by night mail scheme.
Otherwise pay for as much as possible with your credit card and use your ATM card to pull cash for walking around money. Thei is by far the least expensive way to operate - and will save you almost all of the 15% profit you noted in this fly by night mail scheme.
May 28th, 2005, 05:12 PM
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VERY bad idea, GeorgeInVirginia.
1) you would have no protection if you lost any/all of your cash.
2) exchange rates for currency to currency are even worse than for travelers checks (which are horrible)
3) An ATM card/your bank account is insured from fraudulent uses.
Do you actually want to carry thousands (or hundreds even) of dollars around every day . . . . . . .
1) you would have no protection if you lost any/all of your cash.
2) exchange rates for currency to currency are even worse than for travelers checks (which are horrible)
3) An ATM card/your bank account is insured from fraudulent uses.
Do you actually want to carry thousands (or hundreds even) of dollars around every day . . . . . . .
May 28th, 2005, 10:04 PM
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<Does anybody have any thoughts on bringing your home currency and exchanging at banks along the way?>
I took my father on a trip to Ireland in 2003 and he brought nearly all of his stash in crisp, new $100 bills. We had a VERY hard time getting even banks to exchange them - they're among the most counterfeited bills on the planet.
We had no luck at all exchanging them anywhere else - airport, bureaus de change, etc.
I'd stick to ATM and credit cards.
I took my father on a trip to Ireland in 2003 and he brought nearly all of his stash in crisp, new $100 bills. We had a VERY hard time getting even banks to exchange them - they're among the most counterfeited bills on the planet.
We had no luck at all exchanging them anywhere else - airport, bureaus de change, etc.
I'd stick to ATM and credit cards.
May 28th, 2005, 10:38 PM
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Agree with all about using ATM as soon as you arrive in destination airport, however, I did learn here and was true that if you are arriving on a weekend, the ATMs are sometimes "out of service" meaning that they've run out of cash and won't be refilled until Monday. Luckily we were able to find another in a different part of the airport. Just a heads up to bring some Euros with you to get through the first part of the trip.
May 29th, 2005, 04:08 AM
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Just a followup to Platzman's comment that Bank of America requires a $200 minimum order:
Maybe this was because I went to a BOA branch that has a foreign-currency desk and has Euros on-hand [they'd better, it's the flagship branch of BOA]. I bought E125, which at the exchange rate a couple of weeks ago, was around $180 and the clerk didn't give me any problems or tell me that I needed to spend $200. If you're ordering Euros through a BOA branch that doesn't have a foreign-currency desk then it may be true that there is a minimum order.
Maybe this was because I went to a BOA branch that has a foreign-currency desk and has Euros on-hand [they'd better, it's the flagship branch of BOA]. I bought E125, which at the exchange rate a couple of weeks ago, was around $180 and the clerk didn't give me any problems or tell me that I needed to spend $200. If you're ordering Euros through a BOA branch that doesn't have a foreign-currency desk then it may be true that there is a minimum order.
May 29th, 2005, 04:20 AM
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Hi mom,
>I am planning a fall trip to Italy & would love buying euros NOW before the exchange rate climbs even higher.<
Many years ago, when I was younger and more foolish than I am today, I carefully plotted the exchange rates for the countries I would visit for the previous 5 years and found that the dollar always fell in the tourist season and always rose in the winter.
Armed with this knowledge, I took my savings and converted dollars to Danis Crowns, French Francs, German Marks and Swiss Francs the winter before my trip.
All went well until the week before my trip, when the dollar didn't fall. It kept rising.
I lost about 10% playing arbitrage.
>I am planning a fall trip to Italy & would love buying euros NOW before the exchange rate climbs even higher.<
Many years ago, when I was younger and more foolish than I am today, I carefully plotted the exchange rates for the countries I would visit for the previous 5 years and found that the dollar always fell in the tourist season and always rose in the winter.
Armed with this knowledge, I took my savings and converted dollars to Danis Crowns, French Francs, German Marks and Swiss Francs the winter before my trip.
All went well until the week before my trip, when the dollar didn't fall. It kept rising.
I lost about 10% playing arbitrage.
May 29th, 2005, 04:58 AM
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I would think that Ira's often-repeated advice to purchase a small amount of euro at the departure airport makes the most sense. Even with a horrid exchange rate, you won't go broke if you change $100 or less. All you really need on arrival anyway is enough to pay for the first taxi, train or bus to the hotel.
May 29th, 2005, 05:43 AM
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tdyls...
Just so everybody understands, if you paid $180US for €125, then your rate of exchange was $1.44 for €1. Several weeks ago, at an ATM in Ireland, I was charged $1.30 for €1. So €125 would have cost you $162.50...a loss of $17.50 or 9.7%. Now I can appreciate if you really believe it is worth this so you have euro on hand before arrival. After all, the ATM might be down or out of cash (of course I must lead a charmed life, it has never happened to me) or you need the cash for a cab or train into town (most in this day and age, not all agreed but most, take credit cards anyway)...or perhaps there are no exchange booths open where you can change a few bucks just in case the ATM's are down...
If that is what you believe, that's fine and certainly your perogative and your right and I am not trying to diss you in anyway.
But people who insist on going in this direction should be aware of just what it is cost them....would $17.50 more ruin my trip? No, of course not but I would rather have that money in my pocket than Bank of America's.
Just so everybody understands, if you paid $180US for €125, then your rate of exchange was $1.44 for €1. Several weeks ago, at an ATM in Ireland, I was charged $1.30 for €1. So €125 would have cost you $162.50...a loss of $17.50 or 9.7%. Now I can appreciate if you really believe it is worth this so you have euro on hand before arrival. After all, the ATM might be down or out of cash (of course I must lead a charmed life, it has never happened to me) or you need the cash for a cab or train into town (most in this day and age, not all agreed but most, take credit cards anyway)...or perhaps there are no exchange booths open where you can change a few bucks just in case the ATM's are down...
If that is what you believe, that's fine and certainly your perogative and your right and I am not trying to diss you in anyway.
But people who insist on going in this direction should be aware of just what it is cost them....would $17.50 more ruin my trip? No, of course not but I would rather have that money in my pocket than Bank of America's.
