Foreign Exchange
Sep 7th, 2005, 01:08 PM
#61
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Cash Machine...the real deal...
i happen to be balancing my current account and a quick scan over the last few months shows these charges paid on cash machine withdrawals...charge is defined as the amount paid over the interbank rate. bank is natwest in UK and other bank is hsbc also in uk...two of the largest banks in the country. withdrawals are always from cash machines of major national/regional banks (never the dodgy machines in pubs).
seeing how i have two accounts at different banks in the sample and the cash machines are more or less randomly chosen from the major banks, i would say it is a fair sample.
shanghai china - charge £9.05 for £200 (worth) withdrawal
KL Malaysia - £7.51 on £148 withdrawal
taipei - £8.37 on £177
Munich - £9.25 on £207
munich - £9.53 on £218
prague - £9.69 on £224
riga - £9.50 on £217
paris - £6.98 on £124
prague - £5.68 on £119
paris - £9.51 on £217
paris £9.48 on £216
Not looking so great, is it. of course the charge would be levied for each withdrawal (usually 2-3 per holiday). i do believe that the cash machine is the best way to go but i think people who think they pay no charges (per my definition) are in dream land. luckily, my banks itimises anything above the bank rate as a charge but most don't.
i happen to be balancing my current account and a quick scan over the last few months shows these charges paid on cash machine withdrawals...charge is defined as the amount paid over the interbank rate. bank is natwest in UK and other bank is hsbc also in uk...two of the largest banks in the country. withdrawals are always from cash machines of major national/regional banks (never the dodgy machines in pubs).
seeing how i have two accounts at different banks in the sample and the cash machines are more or less randomly chosen from the major banks, i would say it is a fair sample.
shanghai china - charge £9.05 for £200 (worth) withdrawal
KL Malaysia - £7.51 on £148 withdrawal
taipei - £8.37 on £177
Munich - £9.25 on £207
munich - £9.53 on £218
prague - £9.69 on £224
riga - £9.50 on £217
paris - £6.98 on £124
prague - £5.68 on £119
paris - £9.51 on £217
paris £9.48 on £216
Not looking so great, is it. of course the charge would be levied for each withdrawal (usually 2-3 per holiday). i do believe that the cash machine is the best way to go but i think people who think they pay no charges (per my definition) are in dream land. luckily, my banks itimises anything above the bank rate as a charge but most don't.
Sep 7th, 2005, 01:39 PM
#62
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Interesting, walkinaround, but apparently yours is a UK bank. I can assure you that my charges for ATM withdrawals via my US Bank are nothing like that -- no fees at all (unless I happen to use more than two a month at non partner banks -- which I normally don't) and the lowest exchange rate I have seen. Apparently UK banks don't offer the same wonderful rates.
My experience typically is that when the current exhange rate is 1.20 dollars to the euro for example, my withdrawal of 300 euros results in an exact $360 deduction from my checking account. That means "no charge" in my opinion and I'm not living in a dream world.
My experience typically is that when the current exhange rate is 1.20 dollars to the euro for example, my withdrawal of 300 euros results in an exact $360 deduction from my checking account. That means "no charge" in my opinion and I'm not living in a dream world.
Sep 7th, 2005, 01:47 PM
#63
schuler thanks for asking and to gracejoan for answering. as i asked earlier on this thread, i've been trying to find out the best method for carrying a large amount of money. so it's just all in a normal pocketbook carried in a secure manner. good to know.
Sep 7th, 2005, 03:34 PM
#66
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It is true that many people here act as though you're a moron if you get foreign currency before your trip. I've seen it in many threads. While I wouldn't want to pay as much as gracejoan did, I like to have a couple hundred Euro. My reason is that if all those ATM's in the airport are EVER going to be out of order or out of cash, you can be sure that it will be on the day I arrive!
I will also give another source of foreign currency. My bank was going to charge more than I wanted to pay ($1.34 per Euro vs. the going rate of around $1.22, plus a $10 fee and a minimum of 300 Euro, or $46 total), so I decided to check around. None of the American Express offices near me handled it, but a guy at one of them told me about a local private agency, so that's something you could look for in your area. He charged $1.30 per Euro, no extra fee, no minimum, so it cost me about $16 for 200 Euro. Well worth it to me not to have to worry about finding an ATM when I get there.
I will also give another source of foreign currency. My bank was going to charge more than I wanted to pay ($1.34 per Euro vs. the going rate of around $1.22, plus a $10 fee and a minimum of 300 Euro, or $46 total), so I decided to check around. None of the American Express offices near me handled it, but a guy at one of them told me about a local private agency, so that's something you could look for in your area. He charged $1.30 per Euro, no extra fee, no minimum, so it cost me about $16 for 200 Euro. Well worth it to me not to have to worry about finding an ATM when I get there.
Sep 7th, 2005, 04:16 PM
#67
Many people buy some euro before their trips, whether thru their own bank, Thomas Cooke, whatever. Many people don't mind if there are fees and a lesser exchange rate, because it is worth it to them to have euro in hand upon arrival.
I think what got people *interested* on this thread was the fact that someone chose to carry $2000+ in cash with them. That is the part that is a tad unusual about gracejoan's method.
It's no great mystery to figure out how and where to buy euro in the U.S.
I think what got people *interested* on this thread was the fact that someone chose to carry $2000+ in cash with them. That is the part that is a tad unusual about gracejoan's method.
It's no great mystery to figure out how and where to buy euro in the U.S.
Sep 7th, 2005, 04:45 PM
#68
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"It's no great mystery to figure out how and where to buy euro in the U.S."
suze, I would have assumed the same!
Until the 'parents meeting' and a long discussion about not being able to use $US in Canada and the ensuing discussion 'where to get $Cdn'?
For goodness sake it's only a 5hr drive from here to Canada.
Never assume!
suze, I would have assumed the same!
Until the 'parents meeting' and a long discussion about not being able to use $US in Canada and the ensuing discussion 'where to get $Cdn'?
For goodness sake it's only a 5hr drive from here to Canada.
Never assume!
Sep 7th, 2005, 07:21 PM
#69
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Author: Underhill
Date: 09/07/2005, 07:18 pm
Patrick,
What bank do you use? Bank of America definitely levies a charge for each withdrawal at a foreign ATM. Time to switch!"
With all due respect, Underhill,you are wrong. Normally I find Barclay's in the UK, Paribus in France and Spain (sometimes in Italy) and Deutsche Bank in various other countries, as well as Scotia in Canada. Any ATM withdrawals at any of those partner banks and BofA charges me nothing. If I fail to find any of those banks, I still have two "unrelated" free ATM withdrawals per month and THEN they start charging me -- last I knew $1.50 per transaction. I think on my last two month trip to Europe there were two such charges -- a grand total of $3.00. For the record I have an Advantage account with BofA, so I believe that fee is less than their usual, but regardless of type of account, all those partner banks allow for no charge ATM withdrawals.
Date: 09/07/2005, 07:18 pm
Patrick,
What bank do you use? Bank of America definitely levies a charge for each withdrawal at a foreign ATM. Time to switch!"
With all due respect, Underhill,you are wrong. Normally I find Barclay's in the UK, Paribus in France and Spain (sometimes in Italy) and Deutsche Bank in various other countries, as well as Scotia in Canada. Any ATM withdrawals at any of those partner banks and BofA charges me nothing. If I fail to find any of those banks, I still have two "unrelated" free ATM withdrawals per month and THEN they start charging me -- last I knew $1.50 per transaction. I think on my last two month trip to Europe there were two such charges -- a grand total of $3.00. For the record I have an Advantage account with BofA, so I believe that fee is less than their usual, but regardless of type of account, all those partner banks allow for no charge ATM withdrawals.
Sep 7th, 2005, 10:37 PM
#71
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Good Day xyz123,
I apologize in advance if I soung ignorant, but what does "USAA" stand for?(And USAA charges nothing for withdrawals from any ATM in Europe no matter what bank you use.) When I travel in Europe, I prefer to use an ATM card as opposed to carrying cash with me. Thanks!!
I apologize in advance if I soung ignorant, but what does "USAA" stand for?(And USAA charges nothing for withdrawals from any ATM in Europe no matter what bank you use.) When I travel in Europe, I prefer to use an ATM card as opposed to carrying cash with me. Thanks!!
Sep 8th, 2005, 01:00 AM
#74
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Grace, you never answered my question about how you manage without cash at home (e.g. paying for a drink or a newspaper) ?
walkinaround, those charges seem very high ? I'm with HSBS & recently they've been charging £1.75 per withdrawal at a foreign ATM.
walkinaround, those charges seem very high ? I'm with HSBS & recently they've been charging £1.75 per withdrawal at a foreign ATM.
Sep 8th, 2005, 02:08 AM
#75
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Caroline_Edinburgh,
Sorry I didn't respond to your question about cash purchases. Newspapers are delivered to my home and subscription is billed...pay for a drink...I only have wine when dining and it is paid with CC with meal...I really can't think of anything that I would have the need for cash...if went into the center of town, parking meters..that is rare to even go into town, and I would probably park in my legal counsel's parking lot. It is amazing how little cash is necessary in the world today. Hope this helps to answer your question about the way I live....
Sorry I didn't respond to your question about cash purchases. Newspapers are delivered to my home and subscription is billed...pay for a drink...I only have wine when dining and it is paid with CC with meal...I really can't think of anything that I would have the need for cash...if went into the center of town, parking meters..that is rare to even go into town, and I would probably park in my legal counsel's parking lot. It is amazing how little cash is necessary in the world today. Hope this helps to answer your question about the way I live....
Sep 8th, 2005, 02:39 AM
#76
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Interesting, Grace. Living in a city here I still use cash quite a bit. E.g. buy newspaper on way to bus stop, pay bus fare (exact change only), buy bowl of soup in canteen at lunchtime, buy glass of wine between evening engagements, get cab home & pay in cash...
walkinaround : that should have been HSBC.
walkinaround : that should have been HSBC.
Sep 8th, 2005, 02:49 AM
#77
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GSteed,
By using the AAA TC's and charging it to their credit card, I have the use of "their" money for the emergency comfort for my trips at zero cost to me...what could be better than that!!
There are many different benefits out there by maintaining different types of accounts. I think Patrick mentioned his reduced fees because of this.
By using the AAA TC's and charging it to their credit card, I have the use of "their" money for the emergency comfort for my trips at zero cost to me...what could be better than that!!
There are many different benefits out there by maintaining different types of accounts. I think Patrick mentioned his reduced fees because of this.
Sep 8th, 2005, 03:46 AM
#78
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patrick, but don't banks use the "retail rate" for CC and cash machine withdrawals? i think this includes a margin over the interbank rate that is quoted in WSJ? The best rates i ever get are when i use the bank's currency trading desk (only for large lump sums). you are quoted a rate and you have 20 seconds to approve or reject. this is open market trading and is still subject to the trader's "spread". why would banks use their interbank rate for exchanges of $300 and not for exchanges of $50k? and i understand that the w/d are lumped together but why wouldn't they put a bulk transfer in that lump. to clarify, i'm talking about the BANK's own currency trading desk not an independent desk. anyone in banking that can shed light?
Sep 8th, 2005, 05:19 AM
#79
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Well, walkinaround, you may be right. I have no way of knowing for sure what rate I'd get if I traded 50,000 at my bank, and don't plan to find out in the near future. If I look at the daily figures on a standard sort of currency exchange website (I usually use xe.com) and I get that same rate from an ATM, I'm happy.
I'm with Gracejoan on that lack of needing cash at home. I guess I use a little more than she does. I often get a Starbuck's in the morning and haven't resorted yet to a Starbuck's card or using credit card. My usual personal policy used to be I'd use a credit card for anything over $20, but there aren't many of those things anymore. I've even charged $6 or $7 worth of groceries at times. I rarely have more than $40 in my wallet. And fortunately I can use free parking in our downtown, so no meters.
I'm with Gracejoan on that lack of needing cash at home. I guess I use a little more than she does. I often get a Starbuck's in the morning and haven't resorted yet to a Starbuck's card or using credit card. My usual personal policy used to be I'd use a credit card for anything over $20, but there aren't many of those things anymore. I've even charged $6 or $7 worth of groceries at times. I rarely have more than $40 in my wallet. And fortunately I can use free parking in our downtown, so no meters.
Sep 8th, 2005, 05:32 AM
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Patrick...you are much too conservative!
My attitude is if the store takes credit cards, you are paying for it in slightly higher prices. The acceptance of credit cards is a cost of business just like the cost of a business chequing account and rent and electricity so stores accepting credit cards probably have something built into the prices so that they can take them.
So if I go to a grocery and pick up a container of milk and the store takes credit cards, I use it. BTW I have found that credit card transactions in this day and age of swipe POS terminals take a much shorter time than standing on a queue and watching some little old lady (sorry!) after the groceries are run up for $14.27 reach into her wallet, and start picking out $1 bank notes and then counting out the change to get rid of her pennies whereas I swipe my card and within 10 seconds or shorter the transaction is done.
I can go for a week on a $30 withdrawal from an ATM....I don't buy newspapers anymore, I read them on the web every morning..fast food outlets, most of them take cc's now shopping most of them take cc's now.
Do remember there are 2 very important rules about credit card usage in the US. Merchants are not allowed to surcharge credit card sales and they are not allowed to set up a minimum charge for use of a credit card.
Now I just got back from London and Paris...the same thing is pretty much true in both of those cities. Local transportation? The tube and the RATP take credit cards for all fares no matter how small (at station booking offices of course and in the machines) [BTW the NYC subway takes cc's at its machines where metrocards are sold as do the commuter railroads and many of the commuter buses)...need a coke, sandwich for lunch...some of the pret a manger's take cc's as do some of the mickey d's. I easily went through a whole week with one £30 withdrawal from an ATM (needed cash for downing pints at pubs and for internet cafes but that was about it)..
Unfortunately UK consumer affair departments have not allowed cc companies to impose their very helpful rules regarding minimums and surcharges in the UK and unfortunately there are some unenlightened merchants who insist on a £5 minimum but that's life in a big city so to speak.
My attitude is if the store takes credit cards, you are paying for it in slightly higher prices. The acceptance of credit cards is a cost of business just like the cost of a business chequing account and rent and electricity so stores accepting credit cards probably have something built into the prices so that they can take them.
So if I go to a grocery and pick up a container of milk and the store takes credit cards, I use it. BTW I have found that credit card transactions in this day and age of swipe POS terminals take a much shorter time than standing on a queue and watching some little old lady (sorry!) after the groceries are run up for $14.27 reach into her wallet, and start picking out $1 bank notes and then counting out the change to get rid of her pennies whereas I swipe my card and within 10 seconds or shorter the transaction is done.
I can go for a week on a $30 withdrawal from an ATM....I don't buy newspapers anymore, I read them on the web every morning..fast food outlets, most of them take cc's now shopping most of them take cc's now.
Do remember there are 2 very important rules about credit card usage in the US. Merchants are not allowed to surcharge credit card sales and they are not allowed to set up a minimum charge for use of a credit card.
Now I just got back from London and Paris...the same thing is pretty much true in both of those cities. Local transportation? The tube and the RATP take credit cards for all fares no matter how small (at station booking offices of course and in the machines) [BTW the NYC subway takes cc's at its machines where metrocards are sold as do the commuter railroads and many of the commuter buses)...need a coke, sandwich for lunch...some of the pret a manger's take cc's as do some of the mickey d's. I easily went through a whole week with one £30 withdrawal from an ATM (needed cash for downing pints at pubs and for internet cafes but that was about it)..
Unfortunately UK consumer affair departments have not allowed cc companies to impose their very helpful rules regarding minimums and surcharges in the UK and unfortunately there are some unenlightened merchants who insist on a £5 minimum but that's life in a big city so to speak.
