Originally posted by Flaming Homer: Amex has quite a few kiosks at CDG, and I've been assured by them that they will cash Amex Euro TC without fees. FYI.
The issue with travelers checks in euros is that you pay the market (general public) exchange rate when you buy them and when you "sell" them back. Mostly that doesn't work in your favor because the euro <-> dollar (US or Canadian) exchange rate doesn't fluctuate that rapidly. So while you may be assured of no "fee," you're not getting the best rate possible. Traveler's checks in general can also be difficult to exchange anywhere but an AmEx/Thomas Cook office.
ATM's are the way to go for the most convenience and best exchange rate.
I beg to differ. With ATM, you're looking at 2.5% markup (a la credit card, etc) + ATM fees, and last time I checked, there is no BNP Paribas ATM @ CDG.
So if you can purchase Amex TC at your local bank, it's not different than using your ATM at CDG airport, sans ATM fees. Since Amex will cash your EURO denominated Amex TC into EURO without fees @ CDG, it is the best way to go short of having some Euro cash. On the long term Credit Cards is best to go as TC are hard to use generally, but the question by the OP seems to me asking about Euros upon arrival @ CDG.
One big problem with relying on an ATM upon arrival is the European ATM are not always 100% up and running, so it's prudent to have some Euro cash upon arrival. As Euro Cash may be hard to come by at your local city (and terrible exchange), Euro denominated TC that can be exchanged into Euro cash upon arrival without fees is the best way to go. Something like 100 - 200 Euros...
The Royal Bank of Canada just completed a promotion which Amex TC (single signature) are sold commission free. The rate they charged is no different than ATM/Credit Card rates. Most banks (in Canada anyways) will sell you Amex TC without commission if you have certain "premium" plans with them
Originally posted by Flaming Homer: I beg to differ. With ATM, you're looking at 2.5% markup (a la credit card, etc) + ATM fees, and last time I checked, there is no BNP Paribas ATM @ CDG.
Apologies - my credit union doesn't charge me a fee to use ATM's anywhere in the world, so I forget that others aren't so fortunate.
My CU doesn't charge a markup over the ATM 'bank to bank' exchange rate, so I don't pay a premium there, either. So I'll just say that for me, traveler's checks cost more in time and money than they are worth.
I agree. Twice, recently, at some CDG terminal the ATM was empty or nonfunctional, thus leaving me with just two options: (a) exiting the security at that terminal to use an ATM at some other terminal, and then standing in long line to re-enter; or (b) using the AmExp "atm" to borrow the money on my credit card, incurring borrowing fees. I have found that buying just enough euros while at home is more reliable than airport atms, for cabs or whatever, when the flight from CDG puts me at my destination in Italy.
Posts: 168 | Location: Farallon Islands, California | Registered: 22 December 2005
I agree it's best to have some euros with you on arrival, enough to get from the airport to your lodging, at least, but I don't think travelers checks are a good idea. Time-consuming to convert into cash, and few French merchants will accept them. Also, my understanding is that the exchange rates practiced by American Express are unfavorable. A debit card (not a credit card) with a four-digit pin number is best, I believe, and of course you should try to obtain one that doesn't impose fees or charge a percentage of the transaction. With a card, the best strategy if there's a fee for each auto-teller transaction may be to withdraw the largest amount of cash allowed by the card - up to your level of comfort holding cash.
Let's try this again, I am not advocating US$/CAD$ Amex TC for the duration of your trip. Specifically with regards to Paris CDG airport, the various Amex kiosks WILL convert your EURO denomitated Amex TC into EURO cash without any fees and commission. So if you have a difficult or expensive time acquiring some 100€-200€ Euro Cash in your hometown for arrival purposes (taxi, train ticket, bottled water), EURO denomitated Amex TC is the best solution for CDG. Your bank or Amex should sell you EURO denominated TCs at the same exchange rate as Credit Card/ATM rates, and slightly better than CASH rate, but only worth it if you can acquire the TC without commission from your bank/Amex.
It does sound like I need a credit union myself. However, have yet to see a Canadian CU offer no-fee foreign ATM (Citizens Bank of Canada used to, >5 years ago) and NOT charge the 2.5% markup from the interbank rate. Best I can do right now is the "Global ATM Alliance" that lets me use BNP Parisbas fee-free, but still get nicked with the 2.5% markup.
The American Express Web site is quoting a price of 265 U.S. dollars for 200 euros worth of travelers checks, looks like a $9, or 3.5 percent, markup over the New York currency market rate of $1.28 to the euro yesterday, May 11.
I had thought interbank rates were very close to currency market rates. Am I wrong?
The Royal Bank of Canada on-line forex calculator has 200€ for CAD$289.66, or a rate of 1.4483. xe.net shows a rate of 1.42728, a premium of 1.472%. You can pick them up in-branch, and if you have their premium service (RBC Avion Visa, etc), the 1% commission is waived. The rate you've quoted may have included shipping and handling...
depends on where you are if you banked with a correspondence bank you do not pay ATM charges. I never do when traveling to US from France or if need to access my US account here. As far as exchange rates,they are very close to the my bank rates: so so I always use ATM easier to move about and it is cash accepted everywhere. Unlike TC.
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