Dodgy Atms?

[lennya12threh]

I check online all the time for the currency between Thai Baht and Canadian dollars. It's always over 30 baht to the dollar. Just now I checked, many places ranged from 30.8 - 31.5 baht to the CAD.

Today an ATM gave me the conversion on the screen of 29.3 baht or something ridiculous. Sometimes this has happened. It will show the conversion that it wants to give me before confirming the withdrawal.

But then it says "continue with this conversion" or "continue without this conversion."

........

So what is the "continue without the conversion." Often I feel the conversion is off so I always press "continue without this conversion..."

Is this a banks way of trying to scam 3% of my withdrawal or something? Why is there an option to not use the shown conversion.....

[kurnell]

Turmoil hits Canadian dollar, oil and Asian markets in overnight trading

(CP) – 2 days ago

TORONTO — The Canadian dollar lost more ground today, dropping about 0.80 cents to 93.46 U-S in overseas trading. That's on top of yesterday's loss of 1.35 cents

[lovelomsak]

I have same problem. My daily limit is $500 , which is 15000 so I always go for that amount. When baht is over 30 to the dollar on the internet I try atm. If the exchange is going up ( like from 29,5 to 30.50) I cannot get the baht machine says funds unavailable contact bank. But if exchange is dropping ( 31.5 to 30.5) no probelm. In both cases the internet shows 30.5 but I think machine isnot upgraded. Atm also gives amount in account in thai baht when i receive slip. I convert this at home using present value and it always work out less in canadian than my account has, so I am positive you are right the atm and posted values arenot the same. TIT This has been going on for years.

Another way to check is on the day you receive the money jot down the posted rate at the bank that day. When you recive your bank statement check the atm withdrawal that day. It either will have rate or you can convert your canadian amount with posted to rate to double check,if they match. Most probably willnot match unless exchange is dropping like I stated in previous paragragh.

[spacemand]

If you use a Visa card Visa charge a 1% currency conversion fee and the issuing bank as well as the owner of the ATM can impose a fee as well (the dreaded 150 baht fee) this would be included in the daily limit as well.

Visa base the exchange rate for the major 25 currencies (don't know if Baht falls into this category) on the average of the previous days rate.

Edited November 30, 2009 by spacemand

[lopburi3]

As you fail to mention type of card or ATM we are shooting in the dark.

[Penkoprod]

Could this be something to do with "Dynamic Currency Conversion"?

It has all the hallmarks of being so...showing the conversion rate, and then asking to proceed with, or without it

The latest money gouging tactic of the worldwide banking system that will make the 150THB usary fee seem like chickenfeed

Penkoprod

[lovelomsak]

I use a personal banking card not visa or credit card. My monthly bank statements show the amount in dollars and thai baht easy to check rate they gave me. Also exchange in atm to my understanding is should be higher than dollar rate, bangkok bank here told me it should be the t/t rate online,which is usually a better rate. Still many times atm willnot give me money 15000 baht for $500, when everything points to it being easy math. Also with my bank statement the 150 baht fee is separate.

The atms in Thailand I have used have never shown me their rate,they just do the exchnage or not, no written exchange rate posted.I check before leaving the house online or ask a teller to look it up, so am quite confident it should be valid exchange.But often if exchange rate is rising i think atm stays at old rate.

[lennya12threh]

It's a mastercard and it was Siam Bank.

I just don't understand why there is two options..

1. "continue with this conversion"

and

2. "continue without this conversion"

I have tried pressing both on different occasions and they both have the same outcome at that moment. (wait for the money and get the slip)

But have never checked the records with the bank as far as the exact numbers....

What would be the difference between these two options?

[lopburi3]

MasterCard seems to allow Dynamic Currency Conversion and know BAY (yellow ATMs) use that. It will most likely be a very bad exchange rate in my limited experience. Home bank is billed in home currency so there may be no currency conversion fees (although I would not count on it). You might check by doing two transactions at same time and see later which option is best for you.

[MrFrank]

It's a mastercard and it was Siam Bank.

I just don't understand why there is two options..

1. "continue with this conversion"

and

2. "continue without this conversion"

I have tried pressing both on different occasions and they both have the same outcome at that moment. (wait for the money and get the slip)

But have never checked the records with the bank as far as the exact numbers....

What would be the difference between these two options?

This is part of a worldwide scam that has come about as a result of the major credit card companies supposedly offering "more choice to the consumer".

In theory, when using your card outside of your home country, you can choose to have the transaction processed in local currency or your home currency.

The guidelines provided to banks and retailers make it clear that the implications of this decision should be explained whenever the choice is offered but, for varying reasons, they usually don't do this. In most cases choosing the local currency option will cost a lot more because the local, converting bank can choose their rate and will typically add a charge as well. When faced with an additional option on the ATM or restaurant credit card terminal that just says "Process in local currency?" with no further explanation, most people assume that it is an inconsequential decision and will just choose the quickest option. As a result, a huge number of transactions are processed at an unnecessarily high cost to the consumer with their "technical" consent but without their knowledge.

The credit card companies have promised to issue stronger guidelines but I haven't seen any change during my travels and this still crops up, with no further explanation, all over Europe and S.E. Asia (to my knowledge - don't know first-hand about elsewhere).

[Farma]

It makes you wonder with some of the cards. I saw an add the other day with a middle eastern bank offering credit cards with 3 months interest free credit and 3% cash back on local purchases and 5% cash back on overseas purchases.

That money has to come from somewhere.

[lovelomsak]

I am confused here Why would anyone use a credit care at an atm. Wouldnt that mean paying interest on the money? In this day and age atm can draw directly from your bank account saving you interest payments. Boggles my mind. What a waste of money.