Austria's Currency: What You Need To Know

Austria is a country in the heart of Europe known for its rich history, stunning landscapes, and vibrant culture. The currency used in Austria is the euro, which was officially adopted in 2002. The euro is divided into 100 cents, with coins available in denominations of 1, 2, 5, 10, 20, and 50 cents, as well as 1 and 2 euros. Banknotes are available in denominations of 5, 10, 20, 50, 100, 200, and 500 euros. The euro is the official currency of the European Union (EU), of which Austria is a member, and it has simplified travel and commerce within the EU by eliminating the need for currency conversion in most member countries.

Euro banknotes and coins

Euro banknotes have been in circulation since 2002 when they were first issued. They are issued by the national central banks of the Eurosystem or the European Central Bank. The euro is the common currency of the eurozone, of which Austria is a member.

The euro banknotes are made of pure cotton fibre, which gives them a distinctive feel and improves their durability. They come in seven different denominations: €5, €10, €20, €50, €100, €200, and €500. Each denomination has a unique colour scheme and size, with the higher the value, the larger the note. The design of the banknotes is identical across the eurozone, although they are printed in various member states. The notes feature illustrations of historical European architectural styles, including windows, gateways, and bridges. The obverse features examples of modern architecture from the 20th century, while the reverse displays a map of the continent.

The euro banknotes include several complex security features to prevent counterfeiting. These features include watermarks, invisible ink characteristics, holograms, optically variable inks, and microprinting. The security features allow the general public to recognise the authenticity of the currency at a glance.

Euro coins are also in circulation and are available in denominations of 1 and 2 euros, as well as 1, 2, 5, 10, 20, and 50 cents. Each country within the eurozone has its unique design on the national side of the coins, featuring famous landmarks, historical figures, or cultural symbols.

The history of Austrian currency

Austria's currency history dates back to medieval times, with various units of currency introduced and replaced over the centuries. Today, as a member of the European Union and the Economic and Monetary Union, Austria's currency is the euro, which was adopted in 2002. This replaced the country's previous currency, the schilling and its subdivisions, which had been in use, with a brief interruption, since 1925.

Medieval to Modern Times

During medieval times, Austria used short and long schilling coins, valued at 12 and 30 pfennigs, respectively. Following the Carolingian coin reform in 794 AD, new units of account were introduced, including the schilling, which consisted of 12 silver pfennigs. The schilling was initially only a coin of account but later became an actual coin produced in many European countries.

Over the centuries, several currencies were used in Austria, including the florin, the Austro-Hungarian gulden, and the Austro-Hungarian krone. The florin was the currency of the Holy Roman Empire in the 16th century and was divided into 8 schillings, 60 kreuzers, and 240 pfennigs. The Austro-Hungarian gulden was introduced in 1857 and was divided into 100 neukreuzer. In 1892, with the adoption of the gold standard, the Austro-Hungarian krone was introduced.

Following World War I and the dissolution of the Austro-Hungarian Empire in 1919, the Austrian crown became the country's currency. This was short-lived, as it was replaced by the Austrian krone in 1925. The introduction of the krone was a three-step process that involved overstamping old banknotes, introducing new krone banknotes, and finally, emitting new schilling banknotes.

The First and Second Austrian Schilling

The schilling was established by the Schilling Act of 20 December 1924 and issued on 1 March 1925. It was divided into 100 groschen, and bronze, cupro-nickel, and silver coins were introduced. However, the first iteration of the schilling was short-lived due to Germany's annexation of Austria in 1938, which resulted in the adoption of the German Reichsmark as the official currency.

After World War II, the schilling was reintroduced by the Allied Military on 30 November 1945. Paper money and coins were issued, with the first coins being produced in 1946. A second "schilling" law in 1947 introduced new banknotes, and the currency stabilised in the 1950s, with the schilling being tied to the US dollar. Following the breakdown of the Bretton Woods system in 1971, the schilling was tied to a basket of currencies until 1976, when it was coupled to the German mark.

Transition to the Euro

Austria became an official member of the European Union and adopted the euro as its currency in 2002. The euro is divided into 100 cents and is available in coins and banknotes. The transition to the euro went relatively smoothly, although the exchange rate of 13.7603 schillings to 1 euro presented some challenges for calculations.

Today, the euro is widely accepted throughout Austria and is used for all transactions, including shopping, dining, accommodation, and transportation. Austria has no plans to reintroduce a national currency, making the euro the stable and official currency of this picturesque country.

Exchanging currency in Austria

Austria's currency is the euro, which was adopted in 2002 when the country joined the Economic and Monetary Union. The euro is a stable currency that is widely accepted throughout Austria and used for all transactions, including shopping, dining, accommodation, and transportation.

When exchanging currency in Austria, it is advisable to compare exchange rates and fees to ensure you get the best deal. Banks, exchange offices, and some hotels offer currency exchange services. It is generally recommended to avoid exchanging currency at airports or hotels, as these locations may offer unfavourable exchange rates and charge hidden fees.

ATMs, locally known as "Bankomaten," are widely available throughout Austria and accept various cards, including Maestro, MasterCard, American Express, Visa, and Diners cards. However, fees may apply for cash withdrawals. Card payments are also widely accepted, especially in larger hotels, chain stores, and upmarket restaurants. Nevertheless, it is always a good idea to carry some cash, as smaller shops and eateries may require it.

When using ATMs, be cautious in crowded areas to prevent falling victim to skimming devices. Additionally, keep small denominations of coins handy for public transportation, as some ticket vending machines only accept exact change. It is also essential to be aware of the credit card limit, as certain purchases, such as hiring a car, may require a deposit that can quickly reach the card limit.

To summarise, when exchanging currency in Austria, it is important to compare rates, utilise ATMs, carry a mix of cash and cards, and be cautious of potential fees and security issues. By following these tips, you can ensure a smooth and enjoyable travel experience in this enchanting European country.

Using cards in Austria

Austria's official currency is the euro, and you can use euro banknotes and coins for all your transactions. Card payments are widely accepted, but not everywhere, so it's a good idea to carry some cash with you.

Where Cards are Accepted

Cards are widely accepted in major retailers, hotels, and restaurants. You can also use your card to pay for train tickets at major stations. Most public transport stops have machines that allow you to purchase tickets with a debit or credit card, and some are even cashless. You can also use bank cards to rent bicycles.

Where Cards May Not Be Accepted

Card payments are less common in smaller shops, cafes, and grocery stores, so it's always a good idea to check with the vendor beforehand. It's also common for smaller stores to only accept cash, especially outside major cities like Vienna, Salzburg, or Graz, or popular skiing resorts.

Card Security

Warnings have been issued about ATM scams in Austria, so it's important to be vigilant when using your card. Criminals have been known to rig ATMs so your card isn't released, and then they offer to help and ask for your PIN. There have also been reports of card skimming devices being used on Austrian ATMs. It's recommended to use ATMs within banks as they are less likely to be tampered with, and you can quickly retrieve your card if it's retained by the machine.

Fees and Charges

There are a few potential fees to watch out for when using your card in Austria:

• Foreign transaction fees: A non-sterling fee of around 3% per transaction may apply, depending on your credit card provider.
• Merchant currency conversion fees: Merchants may offer to take payment in pounds instead of euros (dynamic currency conversion), which can result in higher fees.
• Cash advance fees: Your card issuer may charge a fee for cash advances (withdrawing cash with your card).
• Cash machine fees: Some ATM providers may charge a fee for withdrawing cash, although this is becoming rarer.

Alternatives to Credit Cards

A cheaper alternative to using a credit card in Austria is a prepaid travel debit card, such as the Wise euro travel money card, which offers competitive exchange rates and low fees.

Informing Your Bank

Remember to inform your bank that you're travelling to Austria to avoid any issues with international transactions and to prevent your card from being blocked due to suspected fraudulent activity.

Tips for handling currency in Austria

Austria's currency is the euro, which is also used in other countries in the Eurozone. Euro banknotes come in denominations of 5, 10, 20, 50, 100, 200, and 500 EUR, while coins are available in 1, 2, 5, 10, 20, and 50 cents, as well as 1 and 2 EUR. Here are some tips for handling currency in Austria:

Familiarise yourself with the currency

Before your trip, familiarise yourself with the different denominations of euro banknotes and coins. This will help you avoid confusion during transactions and ensure you receive the correct amounts. Each country within the Eurozone has its own unique design on one side of the coins, so you may see different designs depending on where the coins were minted.

Carry a mix of cash and cards

While cards are widely accepted in larger establishments, such as hotels, chain stores, and upmarket restaurants, smaller shops and eateries may require cash. Therefore, it is advisable to carry some cash, especially for small purchases. However, it is also a good idea to have multiple payment methods as a backup in case one is not accepted or lost/stolen.

Be cautious when using ATMs and exchanging currency

ATMs, known as "Bankomaten" locally, are common in Austrian towns and cities and accept various cards, including Maestro, MasterCard, American Express, Visa, and Diners. However, be cautious when using ATMs in crowded areas to avoid falling victim to skimming devices. Additionally, avoid exchanging currency at airports or hotels, as they often have higher exchange rates and hidden fees. Instead, compare rates at banks, bureaux de change, and post offices to get the best deal.

Be aware of potential fees

If you are using a foreign card in Austria, be mindful of potential foreign transaction fees and dynamic currency conversion costs. Using a travel debit card or a multi-currency card can help minimise these fees. Additionally, when withdrawing cash from an ATM, choose to be charged in the local currency (euros) to avoid paying more than necessary.

Keep small denominations of coins handy

Some ticket vending machines, such as those for public transportation, may only accept exact change. Therefore, it is helpful to keep small denominations of coins handy to avoid any hassles.

Be cautious of counterfeit banknotes

Familiarise yourself with the security features of euro banknotes, as provided by the European Central Bank, to avoid falling victim to counterfeit money.

Frequently asked questions