Foreign exchange for visitors to France - Tips and warnings (2024)

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Buyingand paying for things in France

With a very few exceptions, the only currency used forpaymentin France is the €uro. By far the easiest way to pay for things inFrance is simplytouse an international credit card or debit card. Visa andMastercardcan be used all over France, and American Express cards andother international cards in a number of places. For buying things inshops and paying hotel bills, just use your Visa or Mastercard, justthe same way as you would use them at home. As long as you have a cardwith chip and pin technology, using it as you would at home is thesimplest and often the most economical way of paying for things inFrance.
Contactlesscard payment is possible in most locations, though subjectto a transaction limit of 50 €. Payments from digital wallets(Google pay, Apple pay etc.) are accepted by most merchants who acceptcontactless payment.
But obviously, thereare situations in which paying with plastic is not an option. Visitorsto France therefore need to have some Euros to hand, to pay for smallor larger items and in cases where the trader does not accept cards.
As is the custom throughout Europe, pricesdisplayed in shops inFrancealways include sales tax ("la TVA" - value added tax).Theprice you see on the label is the price you will be charged -which can be a pleasant surprise for American or Canadian visitors.

Note that with the occasional exception of a few largeinternational hotels, and export-oriented shops - for example someshops on the Champs Elysées in Paris - it is not possible topayfor things in dollars or other foreign currencies in France (or, forthat matter, almost anywhereelse in Europe).

So again, the simplest solution is to use your international creditcardor debit card.

ATMs

Generally speaking, you can withdraw money from cash-dispensers (ATMs)inFrance in exactly the same way as you would at home - except that youwill be asked to select a sum in Euros. Your card company or bank willautomatically debit your account in your usual currency, havingconverted the sum at the day's exchange rate, or the exchange rate thatthey use for private customers. Some banks and card companies alsocharge a withdrawal fee when the card is used in a foreign ATM, othersdo not. If you have several cards, find out first which of them isgoing to charge you least and offer you the best exchange if you usethem to withdraw Euros, and then use that one for your trip to France.

Rules and warnings

However, thereare some golden rules that you need to follow if you do not want to endup paying far more than necessary for this service, or running out ofcash because you have reached your limit for withdrawals. So here aresome tips and advice.

1. Tell you bankor card operator that you are going toFrance before you depart; it may be necessary for them to temporarilyup your ceiling for cash withdrawals and for payments, as you may wellbe withdrawingmore cash and paying our for more things than you would normally do.
2. Do not makefrequent withdrawals of small sums. You will probably paya fixedcommission on each withdrawal, over and above the conversion ratemargin that your financial institution will take. In percentage terms,the smaller the withdrawals, the higher the commission, and the moreoften you will pay it. So it makes sense to withdraw larger sums and todo so less frequently.
3. Do not use yourcredit or debit card for very small purchases: yourbank or card company may add a small charge for each purchase you make.On small sums, for example sums under 40 €, fixed credit card chargesper transaction can soon mount up.

Othermeans of obtaining your Euros
Ifyou do not want to, or cannot, use a credit card or debit card inFrance, you will need to make other arrangements. The best proposal isusually to obtain your Euros in cash or in the form of travellers'cheques from your bank, prior to your departure. Your own bank may wellapply a more favourable conversion rate than other types of bureau dechange. However, in Europe as a whole, travelers cheques are ratherold-fashioned, and less and less places accept them.

Exchanging currency notes
It is no longer possible to exchange foreign currency notesinbanks in France. The only places that exchange foreign banknotes are bureaux-de-changewhich can be found in large cities. But be wary of these foreignexchange kiosks inports, airports, on ferries and other traveller-oriented locations.They frequently take substantial commissions, or use an exchange ratewhich is well below the official rate. The advertising slogan "We takeno commission" is frequentlyused to mislead travellers into thinking that they are getting a verygood deal, when the reverse is true. They may well take no fixedcommission, but may use a very unfavourable conversion rate. Overall,the customer may lose up to 7% of the value of the notes beingexchanged.
It's useful to compare the "We buy at..." and the "We sell at..." ratesthat are announced. The greater the difference between the two, theworse the exchange rate you are getting.

Ahypothetical example

If the officialEuro to dollar exchange rate is 1 Euro = 1.10 USD (which it sometimesis, depending on fluctuations), and an exchange bureau offers to sellyou Euros for Dollars at 1.16602, the difference may not look great to theunwary traveler, but the exchange bureau is actually charging you about6% by using a poor exchange rate.
And if they're selling Euros at 1.16602, you alsosee that they're buying them back as something like 1.03600....
You'll be losing 60 dollars for every 1000 dollarsyouchange this way. Far better use a credit or debit card and anATM.

Travellerscheques

These can be cashed at virtually any bank and urban postoffice inFrance; they can also be used in some hotels. However, outside of majortourist regions (such as certain parts of Paris or or the Riviera),very few shops or hotels accept travelers checks as payment.If you do wish to come to France with travellers cheques, itis advisableto get them in Euros, not in US dollars or any other currency. That wayyou know that your cheques are worth their face value when you cashthem in.

Wire services.

Itis often possible to have money wired to you while in France, using theservices of companies such as Western Union. In this case, you canarrange to have money delivered to an agency (such as a specific postoffice) in France, and pick up the money in cash. For full details,consult your bank or any currency transfer operator.

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