Charge credit card in Euros or US$ ?
 

When paying for hotels, etc. while in Italy with my credit card should I have it charged in Euros or US$ ? Any advantage in either one?

Thanks,
Aranda

You should be charged in the currency of the country you are in. If not they will apply any exchange they WISH and at the end of the day you will pay more Get a credit card that does not charge extras like CAPITAL ONE and you will save money.
While in Spain , el Corte Ingles in Seville and our hotel in Burgos, a Melia hotel , tried to charge us in dollars, but we complained and they reversed it.
I do not think anyone has the right to change your bill in both these cases in Euros to any other currency , dollars in this case, as we told them the rate is X euros, we expect to pay you x euros.

Agree completely. The charge should be in the currency of the country where you are buying. The exchange applied should be an issue between you and the credit card you choose. If you don't like the exchange applied you take it up with them (much easier and more probability of a prompt resolution); credit cards usually get and therefore apply, a much better exchange than a retailer.

Good advice above.

Don't let anyone do you the favor of converting the bill to USD for you. This is called "Dynamic Currency Conversion" (DCC). As with any service, you pay extra for it - sometimes quite a bit.

If anyone says that they can only bill you in USD, write "Local Currency Price Not Offered" on the charge slip and complain to your CC company later.

Enjoy your visit.

((I))

It is a scam called dynamic currency conversion which hasn't popped up on this board as often as it used to. It started in Ireland and like a cancer has spread through much of Europe especially places like Spain and Italy. I've rarely encuontered the scam in France and Germany.

Now what you have to understand that both visa and mastercard allow merchants to use this scam but it must be done only with your permission. Amex does not allow it period.

In this scam, you are presented a charge slip and it will show both a local currency amount and your currency, whatever it is, amount. The terminal captures the information as to what currency the card is issued in by the number. As part of the process, the clerk is asked if the customer wishes to pay say in US$. In most places, the clerks are told by their bosses not to ask and just push the yes button on the terminal. Why is this a scam. The scammers never use as good a currency rate as the credit card company will give you and some of the credit card companies just a foreign use of the card fee anywaty even if the charge is written up in your currency (assuming in this case it is US$)

If you see this on a charge slip, if the clerk doesn't ask, they have been trained to tell you the following lies

1. We have no control over this (wrong they had to press the button onthe terminal confirming you want to be scammed)

2. The US$ amount is just an approximation. You are being charged in euro (Wrong then why are you being asked to sign a statement you accept the conversion as final)

3. It's too late. We can't void the transaction (wrong every credit card transaction on a terminal can be voided)

4. This is store policy (well maybe but they are not allowed to do so without your permission)

5. The rate is the same as you get from the bank (rarely correct, almost always 2 to 3% higher and you might well get charged by your card company again)

6. No speak English (then demand to see the manager).

As was suggested above, if all this fails, simply cross out the US$ amount on the charge slip, circle the euro amount and write local currency not offered. Tell these scammer in no uncertain terms you will contact your credit card company and initiate charge back procedures and hope this will result in their losing their license to accept visa or mastercard.

To paraphrase Nancy Reagan, just say NO.

xyz123 - is absolutely 100% correct.

If you do get charged in dollars, you can demand they cancel the charge and make a new one in the local currency, but then be sure to check your invoice from the CC company that the cancellation was made properly.

Charging your purchases in US$ is a very good deal.

That is, it's a very good deal for the person who is charging you!!

Echoing the above, don't even think of allowing anyone to charge you in USD.

<b>Insist to be charged in €'s.</b>

You MUST insist on being charge in the local currency. Otherwise the merchant can use any rate of exchange they please and cost you a fortune.

All above responses are correct.
The DCC has now reached certain ATMs, esp those belonging to Santander Group in Spain. While a choice is displayed before transaction is completed, it's easy just to press SI when NO, I want to be billed in euro, should be selected.
Many car rental forms you are asked to sign in Europe have in small print that any amount charged to your credit card will be in your card's billing currency, so giving them a carte blanche to apply DCC for any susequent charges, say for damage or late return, when the account is 'audited' some time after your return home.
I've also increasingly come across DCC in online booking for air travel and hotels when using overseas sites (like booking an Aer Lingus flight on its Irish site or cottage booking on Irish tourism site).

Thank you everyone for this lesson in how to use a credit card abroad. I will be sure to folllow your expert suggestions.

Will I encounter this Euro/US dollar issue with ATM's in Europe? Just wondering what I am in for.

Aranda

As I've said, currently that's only likely in Spain, with ATMs belonging to Santander Group (Banco Santander, Banesto, Openbank etc). Always press the UK/US flag to get English instruction, and when asked whether you want to be paid in US$, press NO to be paid in euro.
Also read this article on Spanish ATMs in UK journal Guardian:
http://www.guardian.co.uk/money/2008...onsumeraffairs
You should be OK in Italy though, for now, but do watch out. DCC in retail environment (hotels, retaurants and shops frequented by foreign visitors) is getting quite common.

Hi Ar,

>Will I encounter this Euro/US dollar issue with ATM's in Europe?

ATM's spit out local currency.

Most European banks aren't permitted to charge a fee for the use of the ATM.
This does not apply to private ATMs.

The main charges will be from your own bank in the form of "out of network" and "currency conversion" fees, if any.

((I))

I'm feeling safer now, more informed, hopefully less likely to get ripped off. Thanks everyone for your time and for sharing.