ATM fees in Italy

[cruz4natic]

OK. I am so confused. I have seen many posts about euros/credit cards. I have read that people suggest taking a small amount of euros with them from the US then withdraw more from an ATM when needed. It saves on the foreign transaction fees. I opened up seapatate checking just for my travels and planned on using ATM/Debit card linked only to that account. I have also been told by both banks that I looked into that they will charge a 3% transaction fee on what the Amercian US dollar amount is. So if I withdraw 500 euros I will pay 3% on $630.00 (of course that is just an estimate). Is that the norm? Seems high to me. I have seen many people post that they do not pay fees when using a card in an ATM which is why they wait till they get there. Ugh. I think I just opened up an account for no reason. Any help is appreciated. [emoji37] thank you

 

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[cruisemom42]

First, most banks and money-change kiosks charge about an 8-10% mark-up on average over the actual exchange rate. If your ATM charges 3% only, you are still ahead of the game.

 

Second, there are only a few places that waive the so-called "foreign exchange fee" that can be from 1% to 3% (most are 3%, like your account). You have to do your homework and know which companies offer it.

 

My Capital One online account does not charge any foreign exchange fee and it also reverses any "per withdrawal" charges.

[CruiserBruce]

Generally, any fees charged will be by YOUR bank at home, not the bank in Italy. The exception to this, again generally, is some of the non-bank related kiosks and similar. If you use an ATM directly tied to a bank (typically called "bancomat"), there should be no fees from the Italian bank. EU law.

 

As cruisemom42 says, fees for exchanging money at home, or poor exchange rates, will very likely cost you far more than that 3% ATM fee. Anywhere from 7 to sometimes as much as 15%.

[cruz4natic]

First, most banks and money-change kiosks charge about an 8-10% mark-up on average over the actual exchange rate. If your ATM charges 3% only, you are still ahead of the game.

 

Second, there are only a few places that waive the so-called "foreign exchange fee" that can be from 1% to 3% (most are 3%, like your account). You have to do your homework and know which companies offer

My Capital One online account does not charge any foreign exchange fee and it also reverses any "per withdrawal" charges.

 

Thank you CruiseMom42....,you are always a wealth of information. It is too late for us to get a Capitol One Account so I guess we will go with what we have. I was just a bit surprised by our banks after reading how well people do at ATM's. But if that's the norm...good for you that you found a good acct. Thanks again for your info. :)

[cruz4natic]

Generally, any fees charged will be by YOUR bank at home, not the bank in Italy. The exception to this, again generally, is some of the non-bank related kiosks and similar. If you use an ATM directly tied to a bank (typically called "bancomat"), there should be no fees from the Italian bank. EU law.

 

As cruisemom42 says, fees for exchanging money at home, or poor exchange rates, will very likely cost you far more than that 3% ATM fee. Anywhere from 7 to sometimes as much as 15%.

 

Thanks CruiserBruce...yes the fees are from our bank. I thought maybe we were not aware of something we should be doing because I saw so many people posting about waiting to use the ATM till we arrive there. So I guess we will take maybe 1\4 of what we were planning and get more when we arrive. Thank you!

[nini]

We opened up a Charles Schwab checking account that comes with a debit card. They will reimburse any fees we incur. We only opened it for this reason; otherwise we never use a debit card.

Credit cards will automatically charge the 3% "cash advance" fee.

[Hlitner]

The ATM issue can be somewhat complex because ATMs can be owned by banks and also private companies. One is wise to stick to bank machines. But how does that work?

 

Over many years of extensive European travel we have never been charged an ATM fee by a European bank. Perhaps we were just lucky :). When you use a bank ATM the transaction moves into an international banking system. Most transactions with North American banks are processed by Visa International (there are also some other groups) who assesses a 1% foreign transaction fee which is built into the exchange rate. They use what some call the "wholesale rate of exchange" which exists at the time of the transaction. This is about the best exchange rate you can get anywhere (with the exception of a few credit cards)! The big problem many folks have is that their own bank will then add fees which can sometimes amount to several percent. But there are plenty of US banks that assess zero fees although most are smaller banks and credit unions. Charles Schwab is another who does not assess fees. A few years ago we moved all of our banking to several credit unions who do not assess any fees and even reimburse fees charged by other banks :). Those that stick with the large commercial banks who are constantly assessing fees get what they deserve....which is less money :).

 

There are some important tips for those using ATMs overseas. If you are going to rely on ATMs for cash it is smart to have two (or more) ATM accounts with different banks. Keep in mind that there are daily withdrawal limits imposed by both your own bank and some of the foreign groups that handle ATM transactions. These limits are often around the equivalent of $500 (US) per day although we have encountered some lower limits (about $300) when in parts of Spain. Having multiple ATM accounts (and cards) is not only a good backup system but also lets you get larger amounts of cash.

 

I would finally mention that we travel extensively (up to 7 months a year) and have totally relied on ATM cards for several years. Accordingly we have 3 separate ATM cards...each drawn on a separate account in a separate bank. We have the ability to easily transfer money between those bank accounts online or by using our Smartphones. This is the modern way of travel used by many independent travelers as well as those who do extensive travel for business. We have not purchased foreign currency at home for the past 35 years :).

 

As to credit card cash advances, this is usually the most expensive way to obtain cash! Most credit cards not only charge a fee for cash advances but also assess a high interest rate from the date of the transaction until they get their payment. Unlike the regular use of credit cards there is usually no interest free period with cash advances. We view credit card cash advances as a transaction to only be used as a final backup in cases of emergency when we have no other option. Since we have multiple ATM cards we have never, ever, had to use a cash advance.

 

Hank

[marazul]

cruz4natic-

 

I second everything said by Hlitner and CruiserBruce. We also operate in the way Hlitner describes and we have lived in Europe several years and travel there extensively. We only use bank ATMs preferably at the bank's lobby if possible. (Why? if there are any problems you can ask someone in the bank office to help you.)

 

I will add a twist that some people may not be aware of and that came as a surprise to us a couple of years ago. As always, we informed each of our credit and ATM card providers of our travel plans specifying the countries and dates we would be there. In this case France, Spain and Italy. While in Italy we went to a Deutsche Bank office and tried to use the ATM. The withdrawal was refused and our card was frozen. Why? Because Deutsche Bank processed the transaction from its network based in Germany and it appeared to the card provider (a credit union in this case) that someone was trying to use it in a country we were not traveling to.

 

Now, this was only mystifying to us and a minor inconvenience since both of us has a couple other ATM cards from different providers. However, we learned to use only ATMs belonging to a bank based and chartered in the country we are traveling in.

 

Also, if for any reason the ATM refuses your transaction twice, do not attempt it a third time because some banks program the ATM to swallow the card after three tries. It is safe to try it again at a different bank's ATM. (No, our card did not get swallowed. We stopped after the second denial. We called the provider later on in the day and found out what the issue was.)

 

Here are some of the major banks in Italy. You can google for more names.

• ABI - Associazione Bancaria Italiana
  
• Banca Credito Italiano - Unicredit Group. ...
  
• Banca d'Italia. ...
  
• Banca Monte Dei Paschi Di Siena.
  

Edited September 27, 2018 by marazul

[CruiserBruce]

We opened up a Charles Schwab checking account that comes with a debit card. They will reimburse any fees we incur. We only opened it for this reason; otherwise we never use a debit card.

Credit cards will automatically charge the 3% "cash advance" fee.

 

"Cash advance" fees on a credit card are typically far, far higher. Getting a cash advance on a credit card is probably the most expensive way to get money.

[Voelfgar]

Hi all,

 

 

Just so I have this straight. Bank ATMs in Europe do not charge a transaction fee? The only fees associated with using a Bank ATM would come from my bank? Non Bank ATMs may charge a transaction fee?

 

 

 

Question: Anyone know about getting cash back at stores, like we can at say Walmart here in the US? Are there additional fees on that?

[cruisemom42]

Hi all,

 

 

Just so I have this straight. Bank ATMs in Europe do not charge a transaction fee? The only fees associated with using a Bank ATM would come from my bank? Non Bank ATMs may charge a transaction fee?

 

 

Yes, most people don't realize who is actually charging the fees, but it's usually your own bank charging you for using an out-of-network ATM. In Europe, you won't be charged by the bank affiliated by the ATM (at least 99+% of the time, IMO), you'll be charged by your own bank.

 

Banks in Europe have far fewer fees that they push back on their customers....;)

[cruz4natic]

We opened up a Charles Schwab checking account that comes with a debit card. They will reimburse any fees we incur. We only opened it for this reason; otherwise we never use a debit card.

Credit cards will automatically charge the 3% "cash advance" fee.

 

Hmmm....we were told our debit card will incur a 3% fee. Can't imagine what s cash advance would be. Thank you!

[cruz4natic]

Thank you everyone! Much appreciate all the information offered. I now realize the ATM fees, incurred from my banks, are quite common. It is still less expensive than purchasing Euros at home. Will get a small amount to carry with us so we will have some on hand when we arrive. We have two ATM cards drawn on different banks and two credit cards with no foreign transaction fees. So, if all operate correctly, lol, we should be, hopefully , all set. Thanks again for your advice. [emoji4]

 

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[lisiamc]

Hi all,

 

 

Just so I have this straight. Bank ATMs in Europe do not charge a transaction fee? The only fees associated with using a Bank ATM would come from my bank? Non Bank ATMs may charge a transaction fee?

 

 

 

Question: Anyone know about getting cash back at stores, like we can at say Walmart here in the US? Are there additional fees on that?

 

I’ve never been asked if I want cash back in Italy, or seen anyone getting it. Of course that doesn’t necessarily mean it doesn’t exist!

[Hlitner]

Hmmm....we were told our debit card will incur a 3% fee. Can't imagine what s cash advance would be. Thank you!

 

Ok, so I will tell you what this frequent world traveler did about that kind of thing. Many years ago we had most our money in larger commercial banks which loved to screw their customers by charging all kinds of fees. Most folks do not want to change their banks and the banks are aware that their customers will put up with a lot before they take their money elsewhere. Well, we are the exception to their rule. We moved nearly all of our money to an excellent credit union who paid dividends rather then charged fees. Instead of paying silly fees, we actually were paid a few dollars at the end of the year. Eventually we opened another small account with a different credit union which is primarily used by government employees and the military (this is called Andrews Federal Credit Union). We wanted them for a backup and that credit union issued one of the few Chip/PIN credit cards (at the time). We also changed some of our credit cards to cards that did not charge foreign exchange fees.

 

You say your debit card charges a 3% fee which I think is an outrage! They are charging you money to use your money! That is nutz. But most consumers are like sheep and just accept those kind of policies. Yes, changing financial institutions is a pain and might actually take a few hours of your time. But if any card charged me 3% or even 2% I would be soon waving bye bye. My primary debit card not only does not charge me a fee, but it even reimburses some fees that might be charged by other banks when I use their ATMs.

 

I think that many US banks (and we hear its worse in Canada) take advantage of their customers. If folks were to all shop around for the banks/credit unions with the best policies...the banks that currently screw their customers would quickly get the message and change their own policies. That is why in our community we have several major credit unions that have thrived and continue to grow, while banks such as Wells Fargo are laying off employees.

 

Hank

P.S. End of rant :)

[nini]

The Charles Schwab debit card ( receiving cash from your connected checking account) has no fees and if fees are incurred from a bank (overseas or domestic), then we are reimbursed by Charles Schwab.

When one uses their credit card in an ATM, then that is called a "cash advance" and you are charged usually 3% by your bank and possibly other fees bu the institution who owns the ATM.

[Keith1010]

I have not read all the responses as we are on holiday which included Rome.

 

As others said it is your bank that tacks on the fee. It is around 3%.

 

One thing about the ATM's. Some of them took my card and many did not. So just be patient on finding a machine that will work for you.

 

Keith

[lisiamc]

I have not read all the responses as we are on holiday which included Rome.

 

As others said it is your bank that tacks on the fee. It is around 3%.

 

One thing about the ATM's. Some of them took my card and many did not. So just be patient on finding a machine that will work for you.

 

Keith

 

I’ve found it very true that not all Bancomats will take my debit cards, particularly outside of touristy areas. And the reasons given are very random. “Incorrect PIN” seems to be the most popular, when what they really mean is that that branch of the bank isn’t signed up for foreign exchange.

[firstcarib]

Thank you everyone! Much appreciate all the information offered. I now realize the ATM fees, incurred from my banks, are quite common. It is still less expensive than purchasing Euros at home. Will get a small amount to carry with us so we will have some on hand when we arrive. We have two ATM cards drawn on different banks and two credit cards with no foreign transaction fees. So, if all operate correctly, lol, we should be, hopefully , all set. Thanks again for your advice. [emoji4]

 

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Hi, if its any consolation we get charged between $3-$5 dollars on every transaction made at US ATMs when we use our British debit cards. Really annoying as we don't get charged using them here or in Europe( as long as we do not use the privately owned machines!)

We find Publix supermarkets are the best places to withdraw cash when in Florida, as fee is slightly less there than an ATM at a bank.

We do understand it's a bit safer to use an ATM at a bank, as if it "eats" your card you may stand a chance of getting it back, unlike the stand -alone machines where your card just gets sent to the "Big Clearing House in the Sky" [emoji13] Happy Travels!

 

 

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[alrose251]

Since this is my first trip abroad I need some help.  I am assuming the ATMs will all be in in the native language (on the machine itself).  I know I will be able to select English to withdraw the funds.

 

Since I am reading that the bank ATMs are the best to use.  How can I tell if it is a bank ATM or a private company ATM? 

[cruisemom42]

57 minutes ago, alrose251 said:

Since this is my first trip abroad I need some help.  I am assuming the ATMs will all be in in the native language (on the machine itself).  I know I will be able to select English to withdraw the funds.

 

Since I am reading that the bank ATMs are the best to use.  How can I tell if it is a bank ATM or a private company ATM? 

 

Looking for ones that are outside (or in the lobby of) actual bank branches is one strategy. Something like this is very common in larger cities/tourist areas:

 

 

Otherwise you can look for the name followed by "Bank" or "Banca,"  or learn the names of a few of the more common banks in the countries you'll visit, I guess.

[CruiserBruce]

1 hour ago, alrose251 said:

Since this is my first trip abroad I need some help.  I am assuming the ATMs will all be in in the native language (on the machine itself).  I know I will be able to select English to withdraw the funds.

 

Since I am reading that the bank ATMs are the best to use.  How can I tell if it is a bank ATM or a private company ATM? 

 

Most ATMs in Europe will give you a chance to do the transaction in 4 or 5 languages, including English. It will be the first or second screen you see. Select the British flag symbol.

 

I agree with the suggestion to look for actual, physical bank locations.

[wheezedr]

Bruce gave you one very good tip that you should remember.  The symbol for English in much of the world is the Union Jack, the British flag.  That holds true for ATM’s, railroad ticket machines and many booking sites on the web as well.   I guess that may relate to the fact that the language is English not Americanish.

[NSBFloridaRetiree]

On 10/8/2018 at 5:27 AM, Keith1010 said:

I have not read all the responses as we are on holiday which included Rome.

 

As others said it is your bank that tacks on the fee. It is around 3%.

 

One thing about the ATM's. Some of them took my card and many did not. So just be patient on finding a machine that will work for you.

 

Keith

I look up the Visa network and it lists where I can withdraw cash. For example, here are the Visa debit ATMs in Rome:

https://www.visa.com/atmlocator/#(page:results,params:(query:'rome, italy')) 

 

[NSBFloridaRetiree]

A good article by Rick Steves:

https://www.ricksteves.com/travel-tips/money/cash-machine-atm-tips