Rick Steves Avoids This Common Rip-Off While Traveling Through European Airports

If there's one thing travelers around the world have most likely all experienced, it's arriving in a new country without the appropriate currency. Worse than that, maybe you get there realizing you have no idea where to even begin when it comes to grabbing some cash. Well, not to worry because there are plenty of great hacks that will keep you from making mistakes many travelers make: heading straight for the airport exchange booths. If there would be a neon sign anywhere in the airport that says "turn back now," it should be flashing above one of these booths. And travel guru Rick Steves agrees. He writes on his website, "Just say no to exchange booths."

Not only will you be losing precious time by standing in line at one of these booths, but you'll also be losing money. According to NerdWallet, "It's not uncommon to see airport exchanges charging 14% more than the current International Monetary Fund (IMF) exchange rate. NerdWallet even found some premiums exceeding 17%. Some also charge additional fees on top of the poor exchange rate." But don't panic — some tips from travel guru Rick Steves will assist you with best practices for avoiding those pesky money-hungry booths. As Mrs. Doubtfire says: "Help is on the way, dear!"

Instead of unwittingly handing over your hard-earned cash to an exchange booth, Rick Steves suggests you head straight to an airport ATM instead. Thankfully, almost every airport will have ATMs operated by major banks. One of the best things you can do when preparing for international travel is to carry a no-fee credit card and a debit card with low withdrawal fees (or none at all). You can get the local currency right away without having to carry wads of your country's cash to exchange, and most of the time you can avoid large transaction fees. Some more remote airports won't have network ATMs, so if you end up having to use a non-network one, pay attention to ATM fees, which vary but can run around $5 per transaction. Consider pulling out larger sums at a time to save yourself from having to return and pay another transaction fee. 

Make sure that your debit or credit card is widely accepted and compatible with most banks. You'll know by whether or not it has a logo of a major credit card company, such as Visa or Mastercard. If you bank with a smaller company, your card may not be compatible with international ATMs. Before traveling, call or research your bank's website to see whether or not your card works internationally. It is also a good idea to let your bank know before you travel, as some companies will flag a transaction that they deem suspicious and lock you out of using your account. When you do withdraw money from an ATM abroad, it will probably ask whether or not you want to pay in U.S. dollars or the local currency. While paying in U.S. dollars might seem like a good deal initially, your bank or credit card will typically have a better rate, so it's better to use the local currency at an ATM.

With travel being so much more prevalent than it used to be, many credit and debit cards are more widely accepted around the world, so the need for cash is not always necessary. For those who still need to pull out a few bucks, however, luckily, there are a few companies that offer great debit cards with no international transaction fees. First, Charles Schwab is a great bank to look into if you are an avid traveler but don't want to put everything on your credit card. It offers checking accounts with zero foreign transaction fees and even unlimited ATM fee rebates for cash withdrawals worldwide.

If you're looking for a card that gets you points and rewards on your travels, Chase Sapphire Preferred, Capital One Venture Rewards, Bank of America Travel Rewards, and Capital One Savor Cash Rewards Credit Card are all highly rated options that offer great deals with no foreign transaction fees. Using these cards, you can earn points for flying miles, hotels, rental cars, dining, groceries, and more. Many of them also have cash-back options. If none of the above seems like the ideal option for you on your travels, you can also order currency from your bank before heading off on your trip or exchange your local currency with a bank upon arrival. Whatever you decide to do, just don't use an airport currency exchange booth.