Just used an ATM in Tuvalu 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?
Yes, unfortunately it’s quite common even in remote places like Tuvalu. I withdrew at a Bank South Pacific ATM and accepted conversion because it sounded like the safer option. Later, my N26 statement showed I was charged at a much worse rate than expected. The ATM set its own exchange rate with a markup classic DCC. From now on, I always Decline Conversion and let my travel card handle the exchange.
Just got back from Tuvalu and had the same experience at a BSP ATM in Vaiaku. I selected “Accept” without knowing it would cost me more. My Monzo card was charged in pounds at a bad rate. DCC lets the ATM do the conversion instead of your bank, and they sneak in extra fees through the exchange rate. When I declined conversion on my next withdrawal, the difference was obvious. Always decline conversion abroad!
I made the same mistake at a BSP ATM near the airport in Tuvalu. I accepted the conversion, assuming it was the secure choice, but my Revolut statement showed a poor GBP rate. DCC means the ATM converts your withdrawal to your home currency and adds a hidden markup in the exchange rate. When I withdrew again and selected “Decline,” the rate was noticeably better. Always decline when you see your home currency on the screen.
Yes, that’s a common trap in Tuvalu. I withdrew from a Bank South Pacific (BSP) ATM in Funafuti and hit “Accept” thinking it was safer. But my Wise card showed I was charged a really bad exchange rate, almost 6% worse than mid-market. That’s Dynamic Currency Conversion (DCC) the ATM converts the amount using its own inflated rate, not your bank’s. Always Decline Conversion so your card provider handles it at a fairer rate.