I realize that this is totally off-topic, but I figure (hope!) that the most of the folks in here just wanna help.  So help me with this: I need to convert my good ole american dollars to euros for an upcoming trip without paying an unreasonable "processing fee."  Do banks do it for free?  Will I always be charged something?  If so, is it a percentage of what I'm converting or is it a flat fee?  
Thanks in advance for any answers!
xoxo

-- Modified on 12/9/2003 8:41:12 AM

Susan,

a good bank will process the currency exchange for either no fee or a nominal one. I will usually get enough cash for emergencies and then, once I'm in Europe (or whatever other country), go to a cash machine and use that to get local funds. The exchange rate used there is the best - better than that for actual currency. The differences are pretty small unless you are converting many thousands of dollars.
-Shiro.

I'd recommend using your American issued credit card as much as possible. You'll get the best possible conversion rate in most cases, won't have to deal with the currency exchange or actually carrying the money, and you'll get auto purchase rebate credits, FF miles, or whatever goodies your card company happens to be giving away. Use the plastic if you can. MfSD.

I agree w/ the above.  For years, I've just used cash machines in Europe and never had to worry about the exchange rate ripping me off.  Also, I use credit cards for restaurants, purchases, hotels, etc. and they give good exchange rates, too.  If you're converting currency, you need to shop around quite a bit:  there are at least two things to be concerned about (1) the exchange rate itself; (2) a commission, which is usually a flat fee, on top of the exchange rate.  Have a great trip!

As an American currently working in Europe...I have found a good way to kind of know ahead of time a ballpark figure...go to www.xe.com.  There is a currency converter there with the most up to date information. For example, I just went today to the Alliance Francaise here in Paris(the one with the lowest fees) and changed over 1400 USD and received 1100 Euros.  Online(beforehand), the rate showed 1143, so I felt like it was an okay dealin the end.  The guy got a little bit of overhead, but I could see getting totally ripped off at other places,at least out here(!!) as I have been.  Banks are usually okay, but I believe if you can find an international student center, akin to where I went, you may get the best exchange rate. Just my observation!

I use my American Express card at ATMs and have always gotten a great exchange rate (I've checked out of curiosity).

Just don't do it in any casinos.  They rake you over the coals with service charges at those places.

Personally I've never been to or heard of a bank that doesn't charge something, even if only a small amount, to do currency conversions.  This shouldn't surprise anybody, though, as the business of banks is to make money!

A bank's job is to turn a profit.

Most of the time the bank will not charge you a fee to convert currency. But if you look at the differences between their "buy" and "sell" rates you'll see a spread that would make most bookies blush with envy; this is where the banks will make their profit and the ones @ airports are really bad.

As an individual, the best you can do is to use your ATM or credit cards.  Your bank will convert using the best rate which is that given to people converting more than one million dollars.  As to credit cards, Visa and MC will take on about 3% to that rate whereas Amex will take on only 2%.  So, as someone earlier said, go with the credit card for purchases so that you can earn miles on your accounts.  Finally, take as little US cash with you as possible.  You will not need it.  ATMs are everywhere in Europe.

With respect, Shiro, I have to disagree! CC use is common in every part of Europe I've visited, even in small villages.

The online currency exchange sites are a guide and that's all and rates differ depending on if you are buying or selling currency.  For example, last time I checked, I had to pay $1.79 to buy UK£1.  But if I went in with UK£1 to buy dollars they would give me $1.64.

Using credit cards and your ATM card are good ideas for the
above mentioned reasons.

Make sure your ATM card is part of a network they use
overseas and make sure you PIN number will work on that
network.  Call the hotel and ask for the closest ATM
or bank to check.

I've heard that long PIN numbers are not accepted on
some of these networks.  I always used Citibank so I
had no issues.

Also, you do know to take more than one credit card right?
This is so when the hotel blocks out a huge amount for your
room charges (and puts you over the limit) you still have
another card for day to day items.

good luck,
fr