jean

I am planning a trip to France. When I called my credit card companies to notify them that I will be making charges in France during the month of Sept I asked about ATM withdrawl charges...2 different companies suggested going inside a bank and making cash advance withdrawl instead of using the ATM. Does anyone have any experience with this method of obtaining cash while abroad? How would I ask for a "cash advance" in French? Thank you for your help. Jean

Jim Rosenberg

What kind of money are you really talking about saving? With the card I use, the amount involved in using an ATM is petty compared to the convenience. It makes sense to minimize the number of times you need to use the machines by drawing sufficient amounts, rather than making a series of smaller transactions.

Ann

Of course your credit card companies told you to get a cash advance--they make a lot of money off cash advances. It makes much more sense to use your ATM card, simply because it's cheaper.

Jen

Yes, what you want is an ATM card that debits your checking or savings account, rather than making cash advances on a credit card. Some banks will charge no fees for this transaction, others just a dollar or two. <BR><BR>Remember "ATM" is the type of MACHINE where you are making a transaction. There's a big difference between credit cards and debit cards.

amy

Jean, I remember reading awhile back on this site a similar recommendation For some reason, going to the bank window nullified the "cash advance" charges. Perhaps you could use "cash advance" or similar as a keyword to search for that thread.<BR><BR>Even so, I remember thinking at the time of reading, "Then why not just use traveler's checks?" because you would be dependent on banking hours, locations, etc.<BR><BR>I therefore agree with Jim. The miniscule charge is worth it because of convenience.<BR><BR>One other consideration, though, if you have time before you leave. Last spring, a poster alerted us all to a problem with any ATM cards with Visa or Mastercard. If that card got stolen, your checking account could be wiped out and it would be a paperwork nightmare to work through the system. As a result, many of us went to our banks and requested a non-Visa/Mastercard ATM. I use my regular VISA ATM in the US; I carry the non-Visa in Europe.

Bob Brown

I find it just as easy to use my ATM card in Paris as I do in the USA. <BR>Banks with ATM machines, often in an alcove off of the street, are commonly found in central Paris. <BR>It is as easy as CARD and PIN in; money out.<BR><BR>If you insert your credit card in the slot, you pay a cash advance fee. I cannot imagine any reason why you would do that unless your checking account was reduced to the minimum.<BR><BR>I never tried using my credit card to obtain currency, but somehow I find it difficult to believe that cash advance fees would be waived just because you stepped inside the bank to complete the transaction!! If anything, the labor cost involved in having a human complete the transaction would run the cost up!!<BR><BR>But, the bottom line is that you cannot do any more cheaply than with your ATM card. You get the wholesale bank rate, and then Visa or Master Card skims 1% off of that amount. You are not going to beat the bank wholesale rate, and the 1% is the minimal charge I know of.<BR>If you buy foreign currency from a bank, chances are you will pay 5% or more.<BR><BR><BR>

Christina

I think there is some type of charge you can avoid by getting cash on a credit card from within a bank rather than through the ATM window, but I sort of forget which one it is (maybe the transaction fee). However, I agree with above, why would you be using a credit card to get cash in any case? This is the worst thing you can do. Credit card companies do promote using their card instead of a debit/ATM card because they make a ton of money from you doing that. I imagine banking staff will speak English fairly well so that you could do that if you wanted, but this sounds like a bad idea. As someone else mentioned, it also limits you to the hours banks are open, which is about the most limited way of getting money there is (even cashing TCs at an exchange bureau you'll have more flexibility in hours).<BR><BR>Use a regular bank ATM card, not your credit card, to get cash from an ATM.

Sue

Years ago before ATMs I used to use my credit card to get cash in banks in France, and it came across as a regular charge (like in a restaurant) rather than a cash advance. However, the last time I tried that (my ATM card had been eaten and I didn't know the PIN for the credit card because I NEVER get cash advances), they would not do the transaction and insisted that I use a machine.<BR><BR>Don't get cash advances—there is always a transaction fee (for Citibank, for example it is 3% or a minimum of $5) and it starts accruing interest as of the date you make your withdrawal, balance or no balance.

cash

Jean,<BR>To answer your exact question, this is like buying, for example 200EU merchandize with CC, except that you get cash instead.<BR><BR>Compare the difference between getting cash using ATM using CC vs going into bank, for example for 200EU.<BR><BR>If you use CC card at ATM for cash advance, you get hit with 1% MC/VISA conversion fee, 1-3% additional "profit margin" charged by greedby banks. Up to this point, it is same whether what you got is 200EU goods or 200EU cash.<BR><BR>But if you goto ATM with CC you get hit with $3-5$ per transaction fee plus interest acrued until you paid the bill even within the grace period. In case of buying goods at store, you do not have this fee or interest as long as you pay within the grace period. Getting the money inside the bank appears like buying goods.