Until recently if I used a UniCredit ATM with my US based ATM/Debit card, I was assessed a surcharge — maybe €2. These surcharges are still relatively rare here in Italy. I don’t ordinarily use this ATM but I was a block away trying to complete a transaction and unexpectedly needed €200. For convenience sake I was ready to pay the surcharge. However, no surcharge was disclosed. Instead I was notified of “today’s exchange rate”. I never saw this before and was initially confused. Eager to get back to my pending commercial transaction, I accepted the disclosure only to realize that UniCredit exchanged my €200 to USD at a markup of 3%. That €200 withdrawal cost me €6 — much more than a surcharge of €2. I wasn’t given an option to decline their money conversion trick. It was take it of leave it. So, let’s hope this isn’t a trend — identifying people using foreign cards upon whom to foist very unfavorable exchange rates at ATMs that ordinarily offer good rates of exchange. My US bank reverses ATM surcharges, but this wasn’t a surcharge. The transaction was delivered to my US bank in USD after UniCredit pocketed €6. It wasn’t much to pay for the learning experience, but I will be vigilant going forward. An aside: EBay plays the same game. Opt out of these money conversions. Let your ATM or credit card issuer convert the currency to dollars. It is nearly always the best consumer rate available to consumers.
