Just used an ATM in Bhutan and it asked me to accept or decline conversion. I chose Accept but now Im not sure if I paid extra fees. Can someone explain what this means and whats the right option?
I was just in Bhutan last month and used an ATM at the airport in Paro. Hit “Accept” and then checked my Monzo appbig mistake. The exchange rate was awful compared to the actual market rate. Found out later it was DCC. From then on, I declined and my withdrawals were more in line with what I expected. DCC is sneaky and increasingly common, even in places like Bhutan. Best tip I got? If it shows your home currency, press “Decline.” Always.
Yes, I went through the same thing in Punakha, withdrew from a Bhutan National Bank ATM and chose “Accept.” It gave me a rate in USD, which should’ve been a red flag. That’s DCCthey convert the currency and set their own rate, which is almost never as good as your bank’s. My N26 card was charged noticeably more than expected. If you see your home currency at an ATM abroad, always Decline the conversion. It's counterintuitive, but it saves you money.
Happened to me last month in Paro at a Druk PNB ATM. I hit “Accept” because it sounded like I was locking in the rate or avoiding a fee. But later my Revolut statement showed I got a pretty bad rate, and I ended up paying more than I should’ve. The ATM applied their own exchange rate, not my bank’s. From now on, I always Decline and let my card do the conversion. Especially in Bhutan, where ATMs are reliable but DCC is still creeping in.
Yup, that’s the dynamic currency conversion (DCC) option you encountered. I made the same mistake in Thimphu at a Bank of Bhutan ATM near Norzin Lam. “Accept” gives the ATM control over the exchange rate and they usually bake in a 4-7% markup. I used my Wise card and saw the difference compared to a withdrawal I did later where I hit “Decline.” Lesson: always Decline so your bank or travel card handles the conversion at their (often fairer) rate.