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STILL planning to vacation abroad later this year? Don’t forget to be smart about managing your finances while abroad, especially when preparing cash.
Some tourists choose not to carry large amounts of cash when traveling abroad for safety reasons. One way that tourists often use to get cash is by making ATM withdrawals at holiday destinations. In fact, withdrawing money at foreign ATMs is subject to various, often unexpected, fees.
Generally, banks will charge a fixed fee for each withdrawal. What we often don’t know, there is a fee for converting your currency exchange rate to local currency which is a percentage of the withdrawal amount. Your bank may also charge additional fees for withdrawing money overseas. These fees certainly vary, depending on the type of bank and account used. However, when accumulated, it can make withdrawal fees more expensive than expected.
ATM Fees at Indonesians’ Favorite Holiday Destinations
ATM fees may vary depending on location, and this may affect expenses during your trip. This also makes it difficult for tourists to manage their finances during their trip.
In some holiday destinations, the fees charged are quite high. For example, withdrawal fees at Turkish ATMs can reach 4.4% per transaction. Meanwhile in the United States the fee is lower, around 1.81%.
Even though it sounds cheap, this cost should not be considered trivial. For example, if you withdraw US$$500 (around IDR7,752,500), you will be charged around IDR150,000. Therefore, it is important for tourists to be aware of these costs to avoid unexpected expenses.
According to Elian Ciptono, Country Manager of Wise Indonesia, said information on the average cost of ATM withdrawals in popular holiday destinations for Indonesians. This list of average fees for withdrawing cash from overseas ATMs includes upfront free fees and hidden fees such as exchange rate margins.
Southeast Asia
Thailand is the most expensive place to make an ATM withdrawal on this list, with a fee of 2.62% per transaction. As an illustration, withdrawing IDR5,000,000 in Thailand will cost IDR131,000. Meanwhile in Singapore and Malaysia, ATM withdrawal fees are lower, namely 1.41% and 0.03%.
East Asia
South Korea, Japan, Hong Kong and China are popular destinations for Indonesian tourists. Of course, these destinations have different ATM withdrawal fees. South Korea charges the second highest fee after Thailand, namely around 2.55% per transaction. Meanwhile for other East Asian countries, Japan charges quite low fees, namely 0.64%, while Hong Kong charges 0.05%, and China only charges 0.01%.
United States and England
The United States charges 1.81% for ATM withdrawals, while the United Kingdom charges 0.16% per transaction.
“Here we share tips to help Indonesian tourists save their budget when vacationing abroad: (1). Do budgeting and exchange currency before leaving, (2). Check the fees your bank charges, (3). Be careful with ATMs without official bank logos, (4). Ask friends or family who live abroad for help,” concluded Elian Ciptono. [sources/photo special]
