I used my US card in Croatia & the ATM just asked me Charge in USD or Charge in EUR - I feel like I should choose USD coz thats the currency in my bank account but it had these super confusing numbers on the screen saying 8% markup so not sure. What should I do?
I had the same screen pop up on a PBZ ATM in Pula. I was tired and almost chose USD just because it matched my US account but noticed the markup warning and backed out. It’s basically a trick. You’re supposed to pick the local currency in Croatia that’s the euro and let your own bank do the conversion. My Capital One card has no foreign transaction fees, so when I picked EUR, I got a clean rate. If you choose USD, the ATM converts at their rate and it’s never in your favor. Always decline their “help” and stick to the currency of the country you're in.I used my US card in Croatia & the ATM just asked me Charge in USD or Charge in EUR - I feel like I should choose USD coz thats the currency in my bank account but it had these super confusing numbers on the screen saying 8% markup so not sure. What should I do?
This tripped me up my first day in Zagreb. Used a Zagrebacka ATM and it offered me a conversion into USD with some friendly-looking green buttons and highlighted text. I almost hit yes but noticed tiny text saying something like 7.9% markup. Picked EUR instead and my Revolut card converted it at the interbank rate. Later I asked a local and they confirmed always choose the local currency when prompted, never your home one. Even if it feels counterintuitive. The ATM is just trying to make extra money off tourists.
I faced the exact same screen in Split last week. The PBZ ATM said Charge in USD and the rate looked awful, something like 8.2% commission included. I hit cancel and tried again, this time choosing EUR, and my Chase Sapphire Preferred handled the conversion properly. Always go with the local currency wherever you are. In Croatia that’s euro now, not kuna anymore. The ATM markup is just profit for the operator. If you choose USD, you're letting the machine convert your money and they’ll always give you a worse deal than your card provider.
That’s Dynamic Currency Conversion and it’s basically a sneaky fee. When the ATM gives you the option to charge in USD, it sounds logical because that’s your home currency, but what actually happens is the machine uses its own terrible exchange rate and adds a markup sometimes 6 to 10 percent like you saw. Always choose to be charged in local currency, which in Croatia is now the euro. Your home bank will handle the conversion at a much better rate. I learned this the hard way in Dubrovnik when I accepted USD and lost out on almost 25 dollars from one withdrawal.
Used Kent Bank in Croatia-always pick Decline Conversion at the ATM to dodge extra charges. Its the cheaper option.
Raiffeisen ATM charged €4.70 on a €100 withdrawal. Choose No Conversion to avoid extra costs!
Used my Revolut card at Agram Banka. No charge after converting to Euro in-app.