How to withdraw cash abroad without losing money at the ATM

By Dayfare Editorial · Updated October 20, 2026 · 7 min read

Short answer: when an ATM abroad asks whether you want to be charged in your home currency, say no and choose the local currency. That one button typically costs 3 to 8% extra, and more at some tourist-area machines. Then use a bank-owned ATM, a debit card rather than a credit card, and take out fewer, larger amounts so fixed fees don't hit you every day.

Last verified: October 6, 2026.

The three fees you can pay at a foreign ATM

The first is often shown on screen and is hard to avoid. The second depends on your card. The third is the trap, and it is entirely in your hands.

The confusing screen, decoded

Not every ATM makes this offer, but many do. Somewhere between entering your PIN and getting your money, you may see a screen like this (example):

Withdraw ¥30,000. Your account will be charged US$203.16. Exchange rate guaranteed. Accept / Decline

It looks helpful. It shows the exact amount in dollars and promises a guaranteed rate. This is called dynamic currency conversion (DCC): the ATM operator converts the money at its own rate, instead of your card network (Visa or Mastercard) and your bank doing it. The guaranteed rate is the problem, not the solution.

Here is how the options are worded on different machines, and what to press:

Rule of thumb: pick the option in the currency of the country you're standing in. Read every screen, because some machines repeat the offer. Make sure the button you press declines the conversion, not the whole withdrawal.

If the machine asks for an account type, choose Checking (or "current") for a debit card. If that fails, try Savings. Choose Credit only when you are using a credit card and accept the cash-advance cost.

At ATMs inside the EU, the operator must show its markup as a percentage over the European Central Bank reference rate before you confirm (EU Regulation 2019/518). That number is the extra you avoid by declining. Outside the EU there is no such rule, so the screen may show only an amount and a "guaranteed rate".

What the wrong button costs: an example

Say you withdraw ¥30,000 at a machine that offers conversion, and the mid-market rate is ¥158 to US$1 (an example rate). The cash is worth about US$189.87.

Declining saves about US$13 on a single withdrawal with a no-fee card, and US$8 to US$14 with a 2.75% card. Over a two-week trip with three or four withdrawals, that adds up to a nice dinner.

Which ATM to use

• Use ATMs owned by real banks, ideally inside or attached to a branch. They tend to charge lower fees and push conversion less hard.
• Be wary of standalone ATMs in airports, train stations and tourist squares. Independent operators there tend to charge higher fees and push conversion harder. In Europe, Euronet is the best-known of these networks (see Wise's guide in the sources).
• In Japan, 7-Eleven (Seven Bank) and Japan Post ATMs accept foreign cards. Seven Bank ATMs run 24 hours and allow up to ¥100,000 per withdrawal (¥30,000 if the magnetic stripe is used). Japan Post ATMs allow up to ¥50,000 per withdrawal and have shorter hours at many branches. Japan Post may charge ¥220 per withdrawal on many foreign cards. Seven Bank shows its fee on screen before you confirm, as it varies by card.
• In Thailand, almost every ATM charges foreign cards a fixed fee, often 220 to 250 baht and sometimes more. Each withdrawal is also capped, often at around 20,000 to 30,000 baht, so take out close to the maximum each time instead of small amounts.

Which card to use

• A debit card with no foreign transaction or ATM fees is the best tool. Many digital banks and some regular banks offer one. Check both the foreign transaction fee and the ATM withdrawal fee in your bank's fee list.
• Avoid credit cards at ATMs. A credit card withdrawal is a cash advance, usually a fee of 3 to 5% plus interest from the first day, with no interest-free period.
• Bring a backup card on a different network, for example one Visa and one Mastercard, kept separately. If one card is blocked or swallowed, you can still get cash.
• Check your banking app before you go. Some banks block foreign withdrawals by default or let you raise your daily limit.

How much to take out

Many foreign ATM fees are fixed per withdrawal, so a few large withdrawals beat many small ones. A simple way to decide:

1. Estimate your daily cash spending. In a city where cards work almost everywhere, that may only be a small share of your daily budget.
2. Withdraw enough for 3 to 5 days at a time.
3. Keep some cash in a second place, such as your hotel safe, so losing a wallet doesn't wipe you out.

On your last day, spend coins and small notes first. Exchanging leftover cash back home usually loses several percent or more.

The same trick at the card terminal

The conversion offer isn't limited to ATMs. Card terminals in shops, restaurants and hotels often ask "Pay in USD or JPY?" or show your home currency first. Same rule: pay in the local currency. If a waiter hands you a terminal already set to your home currency, ask them to switch it.

Common mistakes

• Choosing your home currency because the amount is easier to understand
• Using a credit card for cash
• Exchanging lots of cash at the airport before leaving home, which usually has the worst rates of all
• Not tracking fees, so they never show up in your trip budget

How to track cash and fees in Dayfare

• Log what you spend with cash, not the withdrawal itself. A ¥1,100 ramen paid in cash is logged as ¥1,100 under Food, the same as a card payment. Dayfare converts it to your home currency, so your daily budget stays accurate however you paid.
• Log ATM fees under Bank Fees. You can choose whether a fee counts toward today's budget or only toward the trip total, so you see exactly what cash costs you on a trip.
• Accepted a conversion by mistake? The markup is already inside the amount your bank charged. Add the difference between that amount and the local-currency value under Bank Fees, so the cost of the mistake shows up in your trip total.

Sources

• Regulation (EU) 2019/518 on currency conversion charges
• Dynamic currency conversion, Wikipedia
• Say no to dynamic currency conversion, Bankrate
• Guide to Euronet ATMs, Wise
• ATMs in Japan, Japan Travel Kit
• Thailand ATM withdrawal guide, YouTrip
• Withdrawing cash from a credit card, Uswitch

Prices and rules last verified: October 6, 2026. Published October 20, 2026.