Withdraw money from ATM

[Krenjai]

I recently used my foreign bankcard (euro account), a maestro from a Dutch bank (Rabobank) in Thailand, to withdraw money at several ATMs from Siam Commercial Bank & Bangkok Bank during my holiday. I always select 20.000 THB and you'll get the message on the screen that they charge another 200 THB as a fee on top, so far so good with SCB & BKK, same fee, same message, same same so to speak  Of course your foreign bank may also apply a fee (for example 3.50€ +1% exchange fee top-up), this differs from Bank to Bank. 

 

I withdrew 20.000 + 200 from Siam Commercial Bank >  money deducted 566€ (Suvarnamhumi Airport)

I withdrew 20.000 + 200 from Bangkok Bank ATM > money deducted 538€ (Phuket) 

 

Incredible difference and a total rip off from SCB. After consulting with my Dutch bank they claimed that SCB already made the exchange and they "offered" the amount in Euro: to be deducted 566€. My bank actually agrees with me this is theft. This is just a warning, do not use SCB ATMs with foreign cards and I wonder if people had similar experiences?

 

 

 

 

[Upnotover]

Did the SCB machine give you the choice of EUR or THB?  As with credit card DCC, always select THB.

[Crossy]

Yes, the SCB ATMs offer the DCC rate.

 

When the ATM offers XXX Euro (or whatever) NEVER EVER accept to conversion, just hit no and you get your money.

 

Many people assume that hitting no aborts the transaction, it doesn't.

[Pib]

Yeap, the SCB ATM offered you a Dynamic Currency Conversion (DCC )transaction (i.e., a SCB rate that will be several lower than the Mastercard/Visa rate) and "you accepted."   Yes, there was a screen that appeared offering the option to accept or decline.

 

Also, exchange rates change day to day if those two withdrawals were not done on the same day.

 

Now ATMs usually use vague wording in offering a DCC transaction...they will probably not even call it a DCC transaction....they may call it something like Bank Rate, etc.  They usually show your the exchange rate to be given and/or the charge amount in your home country currency; they will not show such a screen if using the Mastercard exchange rate.    You DO NOT want to accept a DCC transaction.  Read the wording carefully and Continue without accepting their DCC offer and then  you will get the full Mastercard/Visa/UnionPay/American Express (whatever card network) exchange rate.

 

DCC is indeed a customer rip-off whether done for an ATM cash withdrawal or purchase.   You can tell if DCC is being used for a store purchase if the amount is offered in both your home currency and the local currency (Thai baht).  Do not accept/sign for that transaction, tell the checkout clerk to cancel that transaction, and rerun in Thai baht.  The receipt of signature will then appear in Thai baht only---it not a rip-off DCC transaction.

 

Now your Dutch bank is an accomplice in this ripoff also.  Not so much that they charge you a foreign transaction fee/cross border fee since many banks do such, but because they charged their foreign transaction fee even though they or Mastercard were not involved in the currency exchange....the charge hitting your bank account was already in Euro.    Your bank charged the fee simply because the transaction a foreign transaction done an any currency--Only the more fee-evil banks have that fee policy.   Many banks do not charge any foreign transaction if the charge hits your account already in the home country currency.

 

Never accept a DCC transaction.  DCC is bad for the customer; DCC great for the local bank/merchant processing the transaction.

 

[Pib]

Below image is an example of a DCC offer from a Krungsri ATM at some point in time.  Notice the offer is not called DCC.

 

If you press the Continue With Conversion selection it's processed as a DCC transaction and you get Krungsri's lower DCC rate.   

 

If your press the Continue Without Conversion (which is what you want to do) you get the full/higher Mastercard rate since in this example a Mastercard was being used.

 

And remember, your card-issuing bank may still apply a foreign transaction fee regardless of whether it was or was not a DCC transaction.

 

Note: Mastercard cards vs Visa cards seem to be offered DCC routinely in Thai ATMs;  I only use U.S. Visa card and have never been offered a DCC transaction.  But with store purchases I have been offered DCC....when it happens I say cancel the transaction and rerun in Thai baht. If unsure of a merchant defaults to DCC for foreign cards best to tell them "charge Thai baht" when handing them your card at checkout...be sure to make eye contact to ensure they heard what you said---charge Thai baht; not US dollars, Euros, pounds, etc.