I withdrew cash at an ATM in Iceland and selected Accept Conversion because it sounded safer. Later I saw the rate was terrible. Is this normal?
Happened to me in Vik at a cashpoint inside a gas station. I hit “Accept” because I didn’t want surprises, but my N26 Euro account showed the rate was much worse than expected. DCC is everywhere in Iceland especially in tourist areas. When the ATM shows your home currency, it’s a red flag. They’re offering convenience, but at a high cost. Always choose Decline Conversion and let your bank or card provider apply the rate it’s always better.
Same here used a Rapyd ATM in Akureyri and picked “Accept” just to be safe. Bad idea. My Monzo card showed I’d been charged at an inflated rate in GBP. This is the DCC trick the ATM converts instead of your bank, and they bake in a quiet fee via the exchange rate. If you’re using a travel card like N26, Wise, or Monzo, always Decline and let them handle the conversion. You’ll save money every time.
Just came back from Iceland and ran into this at a Íslandsbanki ATM at Keflavík Airport. I chose “Accept Conversion” because it sounded official, but my Revolut statement showed a terrible rate compared to mid-market. DCC is the issue it lets the ATM convert to your home currency and charge more without saying so directly. I withdrew again later, selected “Decline,” and the rate was noticeably better. Definitely decline every time from now on.
Yes, totally normal and I made the same mistake in Reykjavík at a Landsbankinn ATM near Hallgrímskirkja. I hit “Accept” thinking it was the safe option, but my Wise card later showed I got a really poor exchange rate. That’s Dynamic Currency Conversion (DCC) when you accept, the ATM sets the rate, usually with a hidden 5-7% markup. Always hit Decline, and your card provider will do the conversion at a much fairer rate.