holm0594

I am going to Paris in a couple of weeks (from the U.S.) and I have never been to Europe. I have done adequate research on different forms of money. It seems there are pros and cons to all of them. I have opted out of the option for credit cards as the conversion rate seems to be quite high. So that leaves me with ATMs...vs...Traveler's Checks...vs...Cash to convert to Euros?

Does anyone have any input at all from their experiences and what seems to be the cheapest to convert? I think I am torn between cash and traveler's checks...

Thanks for the input!

janisj

>>I have done adequate research . . . . I have opted out of the option for credit cards as the conversion rate seems to be quite high<<

Sorry - but your research seems to have been inadequate. You do not want to take Travelers Cheques or exchange cash. Those will get you the absolute WORST exchange rates.

Use ATMs to get cash and credit cards for most purchases. They will get you the very BEST exchange rates. Yes, most credit cards will charge small fees - but they are not nearly as much as you'd pay for TCs or cash.

avalon

Cash and travelers checks are the 2 worst options. Use the ATMs for the best rates. Most places will not even accept TCs as payment and if a bank will even cash them you'll pay a high fee and get a bad exchange rate.

I use CCs as I collect the miles and my card only charges 2 %. I have a BofA ATM and pay no fees whatsoever if I use a BNP Parabis bank and get the interbank exchange rate.

Michel_Paris

ATMs, credit card for large times( hotel), euros maybe...in case there is lineup at airport ATM or ATM is broken or to speed up entry to city (go directly from customs to RER/Shuttle/Taxi)

CollegeMom

You have been given good advice about using CC and ATMs since they offer the BEST exchange rates without the risk of carrying large sums of cash. Do NOT take traveler checks except if you want to keep them for an emergency since they are difficult to cash and expensive. Many US banks carry Euros for purchase so you can have some for arrival. Capital One credit cards do NOT charge an international exchange fee, but it may not be possible to get a new card before you leave. Also notify your ATM bank(s) and credit card companies of your travel plans so they do not deny your transactions on the premise of fraudulent card use. Also have the credit cards contact numbers separate from the card in case of loss or theft. Be especially careful of your wallet or purse (with zipper closures)in Paris subways or high tourist areas. Be prepared to spend more money than you think you will---the options are tempting and the prices are high. Enjoy!

StCirq

Just out of curiosity, where did you do this research that you came up with such bad advice? I'm not questioning the fact that you did research, and got this information, it just reinforces my belief that a whole lot of truly terrible information is out there, often promulgated by so-called experts.

And to reiterate, cash and TCs are by far the worst options. TCs are dinosaurs, and cash exchanges will cost you a pretty penny.

oakglen

There is a cash exchange place on rue Castiglione that doesn't charge a fee and has consistently given me a better rate than I get from Visa/citi. Remember, some restaurants etc still don't accept plastic. Personally, I wouldn't travel with a debit card either. And I always call to tell the card co. if I am leaving the country.

StCirq

<<Personally, I wouldn't travel with a debit card either.>>

Whyever not?

Belledame

Personally, I've never gone to Paris with more than $20 cash in my pocket. That was to get me either out of CDG or out of JFK on the trains.

If you fear losing your debit card to pickpockets, just move the money you won't be spending (and want most to protect) into your savings account.

Anyway, I take credit, debit for cash at BNP atm's and $20 to convert or pay my subway fare.

janisj

oakglen has given you some of the types of bad info you may have found in your prior research. (Sorry, oakglen, but this is the case)

No place -- bank, "cash exchange place", hotel, etc will exchange cash w/o making a profit. So exchanging currency in Paris will cost extra.

And why on Earth not travel to Paris w/ a debit/ATM card???

girlonthego

Take an ATM, capitol one card if you can get one in time, take another credit card, call all of them and tell them you are going overseas.
I am planning to exchange some money prior to my visit just because I like to start my trip without thinking about that after a long flight and not speaking the language.
So plan to bring enough for the first day or two if that makes you feel better. You will pay a high rate of exchange, but I like the security of it! Have fun. We will be there in June

JeanneB

I opened an acct at a credit union simply to use the ATM card in Europe (no fees). I left my sister a signed check for another bank so she could move money to the cr union acct in case of emergency.

Rec'd the card in the mail after only 3 days so this might work for you.

Michel_Paris

Note...for every currency transaction there can be two components: the fee and the exchange rate. "No fee" does not mean you are not paying to convert currency, it means they've just built it into the exchange rate. They set the rate, so it can be anything they want.

A "trick" exchange bureaux used to make you think you're getting a deal.

copain1

Holms,

Don't worry about the fees. At todays exchange rate, one macaroon at Ladurée will take care of any savings you might realize.

And as others have said...no TC's

Bon Voyage!

parisonmymind2

Like many of the previous posters, I use my ATM card to get cash and credit card when I can for most purchases (I have a Cap. One miles card). Years ago, I discovered that travelers' checks were a horrible choice as it cost a fortune to cash them.

Redo your research?

bob_brown

With all of this so rightly said, let me ask one simple question here because my advice almost cost me a friendship. Even if it did not cost, it certainly caused some friction.

What happened? Well I told a friend of mine, educated with 2 graduate degrees, to use his ATM card for spending money and his credit card for major purchases.

Result: He used his credit card everywhere for everything. When he got back, he had a big cash advance bill. Turned out he did not know the difference between an ATM card and a debit/check card or the difference between a debit/check card and a credit card.

So my question is this: Am I on safe ground when I assume that you know the differences in these 3 forms of money plastic?

Now for a few more comments. I have a few US $ travelers checks that I carry, mostly out of habit, but have no intention of using.

They are hard to pass and expensive to convert. Besides, the US $$ is not exactly in high demand right now.

As for ATM cards, your research may not have revealed that some banks whop you with a fee if you use your ATM overseas, e.g. Bank of America has a most unpleasant practice of docking the customer $5.00 for each ATM or debit card use at a non partner bank.

If you are a B of A customer, use ATMs at BNP Parisbas. It is in the Global Alliance. No $5.00 fee.

B of A also has an assiduous habit of tacking on a 3% charge for each non dollar use of one of its credit cards. As a result, I use Capital One when overseas.

Before you claim that one exchange rate is better than another, you must know the interbank rates of foreign exchange. Right now, today, early on May 2, the cost of €1.00 was $1.5460 US.

If you buy euro denominated travelers checks you can expect to pay 6% above that rate. Debit or ATM withdrawals should cost no more than 1% above the interbank rate.

Credit card charges for me using Capital One seem to be converted to dollars at the interbank rate.

You can find exchange rates by going to the Yahoo home page, and clicking on Finance, Investments, Currency.

http://finance.yahoo.com/currency

bozama

holm, I have used a CC for hotel bill and my ATM card to withdraw cash every 3 or 4 days for every trip I have taken to Europe for the last 12-15 years. I didn't think anyone used T.C anymore. I know that you will have a hell of a time using them in many places.

My bank charges no fee with foriegn withdrawals with the type of account I have,many people may have this benefit with their accounts and not be aware of it.This is usaully the type of account where you have to keep a min. monthly balance.

oakglen

Ok, I made one misstatement; my debit/FMA card is linked to my brokerage account and I thought I was at risk. Not true, even if the card is illegally used before I notify a theft has occured. Translation charge is 1%,BTW. I did check back re credit card vs exchange shop on my last trip; I got a better rate, net net, at the shop than I got from Visa. Different dates, I admit, but within a week or so.

Dukey

I would hate to be at the bottom of this particular "pile on."

flaneur

Another thought - If you have a platinum American Express card you can purchase traveler's cheques for no fee, and you can cash them for no fee at any post office in France and Germany (those are the countries I asked about for our trip). Does this make them a better deal than an ATM card from a credit union? If you purchase CCs in euros you will know what exchange rate you are getting, whereas if you use your credit union ATM you'll get the going rate plus pay at least about 1 percent. Is that right? Also, not sure what the post office lines are like . . .