Using Us Bank Cards In Austria: Accessing Cash

Austria is known for its beautiful Alpine mountains and decadent desserts, but if you're planning a trip there, you'll need to know how to access your money. As a member of the eurozone, the official currency in Austria is the euro, and it's fairly uncommon to pay for goods there in any other currency. International credit and debit cards are widely accepted at major retailers, and ATMs are widely accessible, but it's wise to carry some cash too. So, what are your options if you're travelling to Austria and want to use a US bank card to access cash?

Using a US bank card in Austria

If you're a US citizen travelling to Austria, you may be wondering how you'll access your money while abroad. Here's a guide to help you navigate using your US bank card in Austria.

Yes, you can use your US bank card in Austria. Major providers such as American Express, Visa, Mastercard, and Diners Club are widely accepted at major retailers, restaurants, stores, and hotels in Austria. Additionally, you can use your US debit card to withdraw cash from ATMs, which are readily available, especially in larger cities like Vienna and Salzburg.

Austria's official currency is the euro, and it's uncommon to pay for goods in any other currency. Therefore, it's advisable to exchange your US dollars for euros. You can do this at banks or currency exchange venues, but be sure to compare exchange rates to get the best deal. Airports and hotels often have poor exchange rates, so it's better to exchange money in the city.

When making purchases or withdrawing money, you may encounter DCC, where you're offered the option to be charged in your home currency instead of euros. While this may seem convenient, it's generally more expensive, as the local ATM or merchant can set their own exchange rate, which is usually unfavourable for the customer. It's best to opt for being charged in the local currency, euros, to get a better exchange rate from your home bank.

Before travelling to Austria, remember to inform your bank that you'll be using your card abroad. This will prevent your card from being flagged for suspicious activity and locked. Additionally, ensure you have a 4-digit PIN for your ATM card, as this is standard in Austria. Also, keep in mind that smaller shops, grocery stores, and some restaurants may only accept cash, so it's wise to carry some euros with you.

In summary, you can use your US bank card in Austria, but be mindful of currency exchange rates, avoid DCC, and ensure your bank is aware of your travel plans to avoid any disruptions to your access to funds.

Withdrawing cash in Austria

If you're a US citizen visiting Austria, you may be wondering how you can withdraw cash during your stay. Here's a guide to help you access your money while in Austria:

Using a US Bank Card in Austria

It is possible to use your US bank card in Austria to withdraw cash from ATMs, as long as your card has a Mastercard, Maestro, or Visa logo. These logos indicate that your card is part of the SEPA (Single Euro Payments Area) system, which allows for cashless payments and withdrawals in euros within the Eurozone. However, it is important to note that you may need to inform your US bank that you'll be using your card in Europe to avoid any blocks due to "unusual" transactions. Additionally, you will need a 4-digit PIN for your card to make withdrawals.

ATM Locations in Austria

ATMs are readily available in Austria, especially in larger cities like Vienna and Salzburg, as well as in retail centres. You can use the VISA global ATM locator website to find specific ATM locations throughout the country.

Fees and Exchange Rates

When using your US bank card to withdraw cash in Austria, you may be charged fees and face unfavourable exchange rates. Here are some things to keep in mind:

• Dynamic Currency Conversion (DCC): When withdrawing money or making purchases, you may be offered the option to be charged in your home currency instead of euros. While this may seem convenient, it often comes with a markup in price and unfavourable exchange rates. It is generally more cost-effective to choose to be charged in the local currency, as your home bank will typically provide a better exchange rate.
• Withdrawal Fees: Your US bank may charge fees for ATM withdrawals made outside of your home country. These fees can vary depending on your bank and account type, so be sure to review the terms of your account before travelling.
• Exchange Rates: When withdrawing euros from an ATM, the exchange rate used may not be the mid-market rate that you find on Google. Banks often set their own exchange rates, which may result in you receiving less money than expected.

Alternative Options

If you want to avoid the fees and exchange rate issues associated with using your US bank card in Austria, there are a few alternative options:

• Credit Cards: Major credit card providers such as American Express, Visa, Mastercard, and Diners Club are widely accepted at restaurants, stores, and hotels in Austria. However, smaller shops and grocery stores may only accept cash, so it is always a good idea to have some local currency on hand.
• Cash Exchange: You can exchange US dollars for euros at banks or currency exchange venues in Austria. However, be cautious of exchange bureaus that advertise "0 fees" or "no commission", as these claims may not be truthful. It is recommended to shop around and compare rates to find the best deal.
• Traveller's Cheques: Although less common nowadays, traveller's cheques can be purchased from most banks and may be accepted at local businesses, especially if they are in euros. However, they often come with higher costs and conversion fees.

Opening a Bank Account in Austria

If you plan to stay in Austria for an extended period, you may consider opening a local bank account. Foreigners can open bank accounts in Austria, regardless of nationality. There are over 444 certified banks in the country, offering various account options such as current accounts (Girokonto), savings accounts (Sparbuch), and basic payment accounts (Basiskonto). The requirements and procedures for opening an account may vary between banks, and some may require proof of residence in Austria.

Exchanging money in Austria

As a member of the European Community and the Economic and Monetary Union, the official currency in Austria is the euro. This makes exchanging money a seamless process, as there is often no need to exchange money before or during your trip.

Where to Exchange Money

If you do need to exchange money, foreign currency can be exchanged at banks, bureaux de change, and post offices. It is worth comparing rates to avoid high fees. Exchange bureaus and banks at airports and hotels will often advertise "0 fees" or "no commission", but this is usually false advertising. It is recommended to exchange only small amounts of money at these locations and then find an exchange centre with a more reasonable rate.

Using ATMs

There is a good network of ATMs across Austria, and card payments are widely accepted. Cash can be withdrawn from ATMs 24/7, with Maestro, MasterCard, American Express, Visa, and Diners cards accepted, though fees may apply. ATMs in Austria rarely charge on-site withdrawal fees, but you may encounter a service called Dynamic Currency Conversion (DCC). If this happens, the ATM will offer to charge you in your home currency rather than euros. It is better to opt to be charged in euros to avoid steeper fees added into poor exchange rates.

Card Payments

Card payments are widely accepted, but not everywhere. Look for card logos at the entrance of shops, restaurants, and hotels. Eurozone guests usually aren't charged extra fees. Major providers such as American Express, Visa, Mastercard, and Diners Club are widely accepted at major restaurants, stores, and hotels in Austria. However, credit cards are less commonly used for purchases in small shops, cafes, or grocery stores. It is recommended to always carry cash with you while in Austria.

Accepted payment methods in Austria

Austria is part of the eurozone, so the official currency is the euro. It's uncommon to pay for goods in Austria in any currency other than the euro. However, international credit and debit cards are widely accepted at major retailers, and foreign debit cards can often be used to withdraw cash from ATMs.

Card Payments

Card payments are the most popular payment method in Austria, especially for online shopping. Mastercard makes up 80% of the card market share, with Visa taking 18%, and American Express 1%.

Bank Transfers

Bank transfers are another popular payment method in Austria, accounting for 32% of all online transactions. The most widely used system is the Electronic Payment System (EPS), which is offered by more than 80% of merchants. Other bank transfer services like Trustly and Sofort are also used, but less frequently.

Digital Wallets

Digital wallets are one of the fastest-growing payment methods in Austria, especially for online transactions. The most commonly used digital wallet is PayPal, with 84% of respondents in a 2022 survey reporting that they had used it within the last 12 months. Other digital wallets used in Austria include Amazon Pay, Apple Pay, Skrill, and Google Pay.

Cash

Despite the growing popularity of digital payment methods, cash is still one of the most used payment methods in Austria, especially for smaller in-store purchases. In 2021, cash made up 47% of all in-person transactions.

Buy Now, Pay Later

The use of buy now, pay later (BNPL) services is rapidly increasing in Austria, especially for online purchases. The most common BNPL services in Austria are Klarna and Ratepay.

Opening an Austrian bank account

If you're relocating to Austria, one of the first things you'll need to do is open an Austrian bank account. This is especially true if you're a non-EU citizen intending to stay in Austria for over a year, as you will need a local bank account to receive your salary, pay utilities, and manage routine expenses.

Documents Required:

• Proof of identity (passport)
• Proof of residence in Austria (residency registration form and utility bills)
• Visa (if applicable)
• Proof of employment or proof of enrolment
• Last 3 salary statements (to prove you have no outstanding debt in your home country)

Choosing a Bank:

There are over 444 certified banks in Austria, so choosing one can be overwhelming. Some popular options include:

• UniCredit Bank Austria: An international bank with branches worldwide. They offer English service and don't require proof of Austrian residence.
• Erste Group Bank: Austria's largest bank with branches across Central and Eastern Europe. They offer lower monthly rates and don't require Austrian residency for account opening.
• Raiffeisen Bank Austria: You can open an account without proof of Austrian residence, and they offer worldwide branch availability.

Online Banking:

Some online banks in Austria include:

• N26: Europe's largest online bank, with no monthly fees and affordable international transfers.
• Revolut: Free of monthly costs, providing some of Europe's most budget-friendly financial services.
• Wise: A multi-currency online bank with low costs and a top-notch card.

Credit Cards:

Keep in mind that if you want a credit card, you must apply for it separately. Each bank has specific criteria, but generally, you will need to have a debit account with internet banking at that bank and a certain minimum monthly income.

Frequently asked questions