Steves' Secret to Avoiding Currency Exchange Fees in Europe

Traveling in Europe can be an exciting experience, but exchanging currency can feel like its own adventure. Travel expert Rick Steves cautions visitors to be careful when exchanging their dollars for local cash to avoid wasting money on fees.

Exchanging dollars for euros or pounds is easy, thanks to readily accessible kiosks and stores, but it's expensive due to high commissions. Even businesses with lower commissions can hit you with a poor exchange rate. Steves recommends minimizing the act of exchanging currency when possible, as exploring a country without local currency can be dicey.

Steves suggests using ATMs instead, which may have some conversion fees attached but often have better rates than cash exchanges. He notes that European airports usually have plenty of ATMs, making it convenient to withdraw local currency once you've arrived in your destination country.

According to Steves, if you need to exchange currency at a bank, look for the difference between the buy and sell rates. A good rule of thumb is that the difference should be less than 10 percent. He also recommends avoiding exchanges at airports or tourist areas, as they often have poor rates.