alpenrock

any good Cards? Like Shwabs or capital 1?

jtjackson

As an American, I won't use a debit card internationally. No legal protection if someone cleans the account out (some banks promise to help you, but there is no legal requirement that they do so.) Also, debit logo (Visa, MC) makes it too usable if it gets stolen.

So, I use a credit card. US law is pretty strict about credit card protections. I have an older Capital One credit card - no foreign exchange fees and currency is at the interbank rate. Don't know if they still offer a card like that (i.e. I may be "grandfathered in"), but the 3% fee on other cards, or a 1-3% rake on the exchange rate adds up.

The other card I carry is an atm card from my little local credit union in California (not a debit card, not a visa or MC logo card - just an old fashioned ATM). It is linked to an account that I keep some money in (not a lot) and it has no overdraft/autotransfer/credit line. Only way it can be used outside the US is at an ATM. Currency exchange is at the interbank rate.

I love how broadly it is accepted. I have used it in REALLY rural places in Asia (China, Malaysia, Thailand, Indonesia), all over Europe, E and W, Latin America, - never failed me yet. Most US CUs are part of the really big international networks. I have had major cards from the US (corporate cards I was required to carry from Amex, Citi, Chase, etc.), all fail one place or another - but never my little CU ATM card. Also - my CU charges me no fees for foreign atm use, so it costs me nothing extra.

mlin32

I feel like you pay one way or another. Like when you do an international wire with Fidelity, they claim there's no fee. But then the FX rate they quote you is always 2-3% above the market FX rate.

Then again, I'm one of those who prefer to use debit/cash even when travelling abroad for smaller (<70-100€ or equivalent) purchases and reserve credit for higher amounts or things like rentals, etc.... with a pre-authorisation.

TravelingNomads

That's kind of what I was seeing. That the fee was just labeled in a different way, but if I'm reading the thread correctly, Schwab is the exception.

SBR249

I would argue that Cap1 is pretty good with no fees and not padding the rates. Having lived abroad now for close to 2 years and still using the Cap1 account as the primary source of cash, I have never seen my Cap1 posted rate be more than a fraction of a penny off the posted daily rate from Mastercard or Visa (I have one of each from Cap1).

But before I start sounding like a Cap1 shill, I'll say that my Discover card (no fees either) is also pretty bang on with their rate on the rare occasions that I could use it abroad. Sadly Europe just isn't big on Discover.

ProleOnParole

Taking cash can get you better rates in many places if you know what you're doing but is probably not worth the inconvenience. Going with the ATMs seems like a good choice. Just make sure the mark-up your bank applies to the Visa/MasterCard exchange rates is not exorbitant (up to 3% is typical).

ft101

Not the case from the posts already on here. Your info indicates your based in the USA so definitely not the case. From here in the UK, I haven't yet been able to avoid overseas ATM fees.

eefor jfp

Just about any small exchange shop near the center should be fine. It's been a while since I was there but if I recall correctly, there's an exchange office every block or two and rates are posted outside on a sandwich board. The spread between buying and selling is usually around 1% so I figure the interbank rate would be in the middle of those two which means for USD cash you're getting hit with half a percent exchange fee. For example, if the current rate for Leva is 1.78 (interbank) then the selling dollars rate would be 1.77 and the buying dollars rate would be 1.79. At least, that's the way it was two years ago.

Note that this does NOT apply to the chains like travelex at malls or downtown or to the exchange booths at the airport. So you'd either have to prepay your airport transfer via your hotel or find a taxi company that takes credit cards.

chipmaster

FWIW now that I travel extensively my Fidelity give me 4 withdraws from ATM where they cover all the fees regardless.

As with all things be it CC, Schwab, etc. etc. they make their money back someway or the other, we all pay in some distributed way.

For me I look to save if it is easy, and of course like many get perks if they are there too. But sweating 3% fee isn't a big deal for me, but if I can avoid it, of course I try and save it too

herzmeh

Why not a cash advance on a credit card? MasterCard has no cash advance fees, better rates than Visa. Just pay it off before the bill closes.

MSPeconomist

In some countries like Brazil, I would avoid using ATMs unless absolutely necessary and then be very careful to select the machine and location. There have been reports of cards being compromised in even airport ATMs while muggers have been known to hang out around machines and bank entrances looking for likely victims. An ATM in a good hotel lobby or office building not open to the general public would be somewhat safer.

Also, in some countries such as mainland China, it can be difficult to find an ATM that will accept an international card, especially in smaller cities and away from tourist areas.

If you do use an ATM, make sure to carry some other credit card in case the card used in the ATM is compromised, although it's generally a good idea to carry more than one card (ideally not all from the same bank) when away from home.

Most major international airports have bank counters for currency exchange that are open for all international arrivals.

shuigao

Do your US cards really provide free cash advances? Where I am in Asia, not only do banks charge a pretty big up-front fee, they also start calculating the hefty 24-28% interest immediately instead of waiting for the billing cycle.

Cash Advance Charges: S$15 or 6% of amount withdrawn, whichever is greater.

invisible

Is this some kind of (un)practical joke?

ft101

It's one of the best options for UK based folks and has been for some time. Halifax Clarity or a couple of other cards, paying it off online when the charge appears on your statement.

invisible

First time I am hearing that cash advance from a credit account makes some practical usage except for dire emergency cases. Any specifics why/what is happening?