ATM Fees Abroad: All Charges Explained (And How to Avoid Them)

Withdrew cash abroad and noticed more money left your account than you expected? You’re likely not imagining it. When you use your debit or credit card at a foreign ATM, you can be hit with up to four separate fees – some from your bank and some from the ATM itself. Most travellers only find out after the fact. This guide breaks down every type of ATM fee you can face when you withdraw cash at an ATM in a foreign country, shows you exactly how much each one costs with real examples, and tells you how to avoid paying them altogether.

What are ATM fees abroad?

ATM fees abroad are the charges applied to you, when you use a debit or credit card – issued by a bank in your home country to withdraw cash from an ATM in a foreign country.

There are two sides to these fees: What your bank charges you, and what the ATM charges you. Either one of them or both can apply to the same transaction. Most travellers don’t realise they’re being charged on both ends.

Quick example: You’re from the UK, travelling to Colombia. You need local cash (Colombian Pesos), so you head to a Bancolombia ATM and withdraw the equivalent of £100 (GBP 100). By the time that transaction processes, your bank account could show a deduction of more than £ 100 (anywhere between £ 105 and £115+ – depending on which fees were applied.

That’s the the reason it’s worth understanding these fees: Once you know how they work, avoiding most of them is straightforward.

The 4 types of ATM Fees When Using Your Card Abroad

Here’s a summary of every fee you can face:

1. Fees from your bank:
   – Foreign Transaction Fee, and / or
   – Currency Conversion Fee (Forex Mark-up).
2. Fees from the ATM:
   – ATM Access Fee, and / or
   – Currency Conversion Fee (Dynamic Currency Conversion).

Let’s look at each one in detail.

Fees From Your Bank

A. Foreign Transaction fee

The Foreign Transaction Fee is usually a fixed charge your bank applies each time you make a cash withdrawal at a foreign ATM. You may also see it called a Foreign Currency Cash Fee or International Withdrawal Fee on your bank statement or bank’s fee schedule.

Example: A UK based bank charges £ 1.5 pound Foreign Transaction Fee for each ATM withdrawal at a foreign ATM. So,

• You withdraw: £100
• Foreign Transaction Fee: £1.50
• Total deducted from your account: £101.50

This fee applies every time you use an ATM, regardless of how much you withdraw.

Also read: Debit or credit card abroad? Which is better for withdrawing cash.

B. Currency Conversion Fee (Forex mark-up fee)

When you withdraw cash from an ATM abroad, you are effectively exchanging your home currency for the local one. Most banks therefore charge a “Currency Conversion Fee” to do this exchange – known as a Currency Conversion Fee or Forex Mark-up. This is typically a percentage-based fee.

E.g., A UK bank charges 2.99% currency conversion fee.

• You withdraw: £100
• Forex Mark-up (2.99% of £100): £2.99
• Total deducted from your account: £102.99

So if both – the Foreign Transaction Fee and the Forex Mark-up are applied in the same withdrawal, the charges stack up fast:

• You withdraw: £100
• Foreign Transaction Fee: £1.50
• Forex Mark-up (2.99%): £2.99
• Total deducted from your account: £104.49

Therefore, you should try and look for debit or credit cards in your home country which do not charge these fees.

Fees From the ATM

A. ATM Access Fee

The ATM Access Fee is typically a fixed fee charged by the foreign ATM (or the bank that owns it) for allowing a foreign cardholder to use their machine. This fee may appear on the ATM screen as an ATM Usage Fee, ATM Operator Fee, Transaction Charge, ATM Surcharge, or Convenience Fee – the name varies by country and operator.

Example: This ATM in Colombia charges a 24,290 COP as ATM Access Fee. So,

• You withdraw: 100,000 COP
• ATM Access Fee: 24,290 COP
• Total deducted from your account: 124,290 COP (plus any applicable bank-side fees mentioned previously)

The ATM usually displays this ATM Access fee before you complete the transaction and ask you to confirm – with a few exceptions (more on that in the FAQs below).

Also read: Why your card doesn’t work abroad at ATMs and what to do?

B. Dynamic Currency Conversion (DCC) fee

This is the fee most travellers accidentally pay without realising its optional! Also, this is also usually the most expensive fee of all types of ATM Fees. So what’s exactly this fee?

When you insert a foreign card into an ATM abroad, the ATM machine may offer to exchange currency at the exchange rate of the ATM – This service is called the Dynamic Currency Conversion (DCC) and ATM charges an extra fee for it called the Dynamic Currency Conversion Fee (DCC Fee). If you do not accept, then your bank (not the ATM) will do the conversion at its exchange rate. 

Here’s how it works in practice:

You have a UK bank card with British Pounds (GBP or £) in it. You’re at an ATM in Colombia. The ATM shows you a screen asking whether you want to Accept Conversion, or Decline Conversion. What it means is:

• If you Accept Conversion: You tell the ATM to exchange the currency at ATM’s set exchange rate. In our example, you’re converting GBP to COP and ATM charges you an extra 6.5% DCC fee for the service.
• If you Decline Conversion: You tell the ATM to exchange the currency at your bank’s set exchange rate. Since you do not use ATM’s service, it won’t charge you 6.5%. (Then your own bank’s Currency Conversion Fee will be charged)

ATMs abroad use various words for these options such as Accept Conversion, With Conversion, Charge in GBP (your home currency), Decline Conversion, Without Conversion, Charge in COP (local currency).

So which is better – Accept or Decline Conversion?

In most cases, choosing “Decline Conversion” or “Without Conversion” and using your own bank’s currency exchange rate is better. That’s because the ATM’s exchange rate and its DCC Fee are almost always higher than your Bank’s exchange rate and forex mark-up fee. The only exception is if your bank charges an unusually high forex mark-up (check your bank card’s fees before travelling so you have an idea).

What Does It All Cost? A Full Example

Here’s what a single ATM withdrawal abroad can actually cost when all four fees apply:

Scenario: UK traveller, withdrawing the equivalent of £200 at a Colombian ATM.

Fee	Amount
Amount withdrawn	£200.00
Foreign Transaction Fee (bank)	£1.50
Forex Mark-up 2.99% (bank)	£5.98
ATM Access Fee	£3.50 (approx.)
DCC Fee if accepted (6.5%)	£13.00
Total if DCC accepted	£223.98
Total if DCC declined	£210.98

That’s up to £24 in fees on a single £200 withdrawal – just by accepting the default options at the ATM. Therefore, knowing what to decline and which ATMs to use can bring that number close to zero.

How can I save foreign ATM Fees abroad?

There are three core strategies to eliminate or significantly reduce ATM fees when travelling:

1. Get a fee-free travel card: Many banks and fintech cards (like Wise, Revolut, Niyo, Fi, Starling, Scapia, Chase, CapitalOne etc. charge zero foreign transaction fees and zero forex mark-up. If you get one before your trip, you will skip bank-side fees entirely.
2. Use fee-free ATMs: Many local banks across the world don’t charge ATM Access Fees to foreign cardholders. The trick is knowing which ones they are before you get to the machine. The ATM Fee Saver app lets you find fee-free ATMs across 160+ countries before you travel. Download now from App Store or Play Store.
3. Decline Conversion at a foreign ATM: When the ATM offers to convert your currency, always choose Decline Conversion or Charge in local currency. This one habit alone can save you 3–8% on every withdrawal.

For a complete guide to all options on how to avoid ATM Fees abroad, read Withdrawing cash abroad? 9 best ways to save foreign ATM fees.

FAQs

I’m still confused, when does a foreign ATM charge an ATM fee?

A foreign ATM can charge you an ATM Access Fee when all of the below are true:

• (1) your card was issued by a bank in a different country from where the ATM is located, and
• (2) there is no fee-waiver agreement between your bank and the ATM’s owner.

In some cases, if your bank card is issued by the same bank in another country, ATM Fee can be waived. If your bank is part of networks like Global ATM Alliance, All Points Network, you may also get a fee waiver. However, this is not always the case, so check with your bank before your trip on which local tie-ups they have in a foreign country.

Also read: Can I withdraw US dollars or euros abroad from an ATM?

Do all ATMs abroad have fees and charges for foreign card holders?

No. Some ATMs charge no fees at all to foreign cardholders, while others charge an ATM Access Fee per withdrawal. It varies by country, by bank, by card type (debit or credit or Visa, Mastercard and so on.) and sometimes even by ATM’s location. Use the ATM Fee Saver app to check fees at specific ATMs before you withdraw.

Do all banks and card companies charge fees to its own card holders to use the card abroad?

No. There are banks and card providers in most countries that offer accounts with zero foreign transaction fees and zero forex mark-up. It’s worth researching the best travel-friendly card available to you before your next trip – it’s one of the highest-return things you can do for your travel budget.

Read more on how you can do this here – Withdrawing cash abroad? 9 best ways to save foreign ATM fees. 

Do all ATMs abroad have the same alert for an ATM Fee?

No. ATM fees for foreign cardholders go by many different names on ATM screens around the world – including but not limited to ATM Usage Fee, ATM Transaction Fee, Foreign Access Fee, ATM Operator Fee, ATM Surcharge, Convenience Fee, Cargo Adicional, or Tarifa Adicional. The ATM may not display this in English. It’s worth having a translation app on hand when travelling to countries where you don’t speak the language.

When exactly is the ATM fee displayed and charged?

The ATM fee is displayed usually before you confirm that you want to go ahead with the transaction i.e. usually when you’ve put in the amount, your PIN, accepted or declined conversion but before the cash is dispensed.

The ATM Fee is charged at the moment the ATM machine successfully dispenses the cash. So if you withdrew 2,000 in local currency and the ATM fee was 30, your account balance drops by 2,030. You will likely see this fee almost immediately in your bank statement, but in some cases it can take a few days or even until the end of the month or billing cycle.

Note – On your bank statement, this ATM Fee may appear combined with the withdrawal amount or as two separate line items, depending on your bank.

Do all ATMs abroad show fees for a cash withdrawal?

At majority of the ATMs in foreign countries, yes. ATMs are usually required to display the fee and ask for your confirmation before processing the withdrawal. However, some ATMs in countries like Turkey and Argentina have been known to not display the fee in advance. Using the ATM Fee Saver app to check fees beforehand is the safest way to avoid surprises.

Also read: Lose card abroad? Top 8 tips to get it back & save from misuse.