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I'll try and check out a few more rates on my trip home tonight. It still seems like ATM is the best deal if you have a no fee card and an inside the bank exchange would be second best.
2% difference. Not worth worrying about. Not like trying to get RMB in Australia where the bid-ask spread is over 50%. The "spot" rate is not really representative of what an individual can get.Originally Posted by travelinmanS
It's been so long since I changed cash at a hotel that I thought maybe my memory was hazy and I was wrong about not getting a good exchange rate. So to check it out I went to two hotels by my office to check their rates at lunch. The Sheraton Hongqiao and Renaissance Yangtze both had the exact same cash exchage rate of $1 USD = 6.07 RMB. So there is consistency in the rates but seeing as the spot rate is $1 USD = 6.21 it's not that great a deal. I'll try and check out a few more rates on my trip home tonight. It still seems like ATM is the best deal if you have a no fee card and an inside the bank exchange would be second best.
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I'd say a 2.25% spread is quite decent. In many parts of the world the banks typically would charge you 3% minimum.Originally Posted by travelinmanS
The Sheraton Hongqiao and Renaissance Yangtze both had the exact same cash exchage rate of $1 USD = 6.07 RMB. So there is consistency in the rates but seeing as the spot rate is $1 USD = 6.21 it's not that great a deal.
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But the point is that the spread is a lot lower at an actual bank (around 1% for USD cash), e.g., any Bank of China branch. You can find the rates onlineOriginally Posted by hawklx
I'd say a 2.25% spread is quite decent. In many parts of the world the banks typically would charge you 3% minimum.
www.boc.cn/sourcedb/whpj/
When you exchange cash at a bank, they use a live rate. So any rate that only gets updated once a day is clearly going to have a premium built into it.
Note that even if you went to a bank to change your USD notes, you will still lose compared to taking cash out of an ATM since the bank will hit you at the note rate rather than the TT rate.
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Sure, if you want to waste an hour at the bank. Not the sort of thing that I do on vacation. There are many things in life for which I pay for convenience.Originally Posted by tauphi
But the point is that the spread is a lot lower at an actual bank (around 1% for USD cash), e.g., any Bank of China branch.
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I find this to be pretty prevalent in a lot of Asian countries. It's a bit of a pain, but I've gotten into the habit of getting cash in the US prior to a trip and making sure it's in new $100 bills. Originally Posted by lazard
If your bills have any writing on them (pen marks, doodling, etc.), partially ripped or taped, or looks worn out, they will not accept it.
I was caught in a pickle a couple of years ago in Saigon when the front desk at the InterContinental refused the majority of my $20 bills - many for very minor infractions (pen mark, etc.)
FWIW - stayed at Le Royal Meridien in Shanghai Sat 12th to Tue 15th - checked hotel exch rate on Mon aft USD1 = RMB6.15 - then walked directly to ICBC Bank 50mtrs away exch rate over counter within bank USD1 = RMB6.15.
ATM at ICBC also dispenses at 6.15. Of course everyone is free to do as they see fit - but IMHO if you want to exchange cash I would have no hesitation in changing at hotel provided it is part of a top tier chain - just save the time and effort of going outside with your passport to the bank - I would however be a bit wary of exchanging at lower starred Chinese owned hotels.
ATM at ICBC also dispenses at 6.15. Of course everyone is free to do as they see fit - but IMHO if you want to exchange cash I would have no hesitation in changing at hotel provided it is part of a top tier chain - just save the time and effort of going outside with your passport to the bank - I would however be a bit wary of exchanging at lower starred Chinese owned hotels.
"...ATM at ICBC also dispenses at 6.15. Of course everyone is free to do as they see fit..." - are you sure about this. As I understand it, the exchange rate is not determine by the bank that owns the ATM but by your bank.
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I don't think so. Your bank can pad the rate in their favor (with disclosure) but they can't invent exchange rates on their own.Originally Posted by JPDM
"...ATM at ICBC also dispenses at 6.15. Of course everyone is free to do as they see fit..." - are you sure about this. As I understand it, the exchange rate is not determine by the bank that owns the ATM but by your bank.
Yes if you use foreign card you are at the mercy of the exchange rate that YOUR banks charges you - but the ATM will dispense at the set BoC rate on the day - which on this day was 6.15 - then your bank will convert to your home currency at a rate that sees them get a nice little earn on the exchange rate.
You cannot win if you use cards in any overseas country - if you use cards then sooner or later you will pay an exchange rate to convert your funds.
You cannot win if you use cards in any overseas country - if you use cards then sooner or later you will pay an exchange rate to convert your funds.
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When you get money out of an ATM overseas, do you think that your bank will send the money to, say, ICBC? No they don't. Everything goes through a clearinghouse. This is what those networks on the back of your cards are all about.Originally Posted by moondog
I don't think so. Your bank can pad the rate in their favor (with disclosure) but they can't invent exchange rates on their own.
In my case (RBC in Canada) the rate is determined by Visa plus a markup. See this website: http://usa.visa.com/personal/card-be...calculator.jsp and this one http://usa.visa.com/personal/card-be...-rates-faq.jsp
You should ask your bank how they determine their exchange rate on overseas ATM usage. There are also ATM fees which depends on your package with your bank. In my case, there are no fees.
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Best is to use your bank card in ATMs.
With all the advice to use ATMs, I generally agree, but, two weks ago, I used the ATM in my Shanghai hotel (Jianguo) which also had an automatic exchange machine for cash, its rate was 6.02 when official rate was 6.21 - there was no exchange possible at the desk. When I got my CC bill (CitiBank AA Executive), the advance fee was 5%. I did find a Citi ATM the next day, but didn't need any more Yuan, so I don't know the fee.Best is to use your bank card in ATMs.
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Using a credit card to get funds in an ATM is usually a rather expensive proposition. Not something I would ever do unless I am stuck with no other option whatsoever.Originally Posted by relangford
With all the advice to use ATMs, I generally agree, but, two weks ago, I used the ATM in my Shanghai hotel (Jianguo) which also had an automatic exchange machine for cash, its rate was 6.02 when official rate was 6.21 - there was no exchange possible at the desk. When I got my CC bill (CitiBank AA Executive), the advance fee was 5%. I did find a Citi ATM the next day, but didn't need any more Yuan, so I don't know the fee.
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Correct - pre-loaded Debit Card only way to go.Originally Posted by JPDM
Using a credit card to get funds in an ATM is usually a rather expensive proposition.