Euro-dollar exchange fees in France: what to expect?

To get US dollars in France, you have several options: your French bank, a currency exchange office, Western Union, an international bank transfer, or withdrawing cash once you arrive in the US.

However, these methods can be expensive. The exchange rate is often marked up, and providers usually add extra fees that are hard to identify.

In this article, we’ll break down all the fees linked to euro to dollar conversions — and explain how to reduce or even avoid them. Some providers don’t add any surcharge to the exchange rate, such as Wise.

Discover the Wise account

Euro to dollar exchange rate fees: what you need to know

Foreign exchange markets

The cost of buying or selling a currency depends on the market where the transaction takes place:

• On the spot market, the order and payment occur simultaneously. The exchange rate used is the one valid at the time of purchase, so the total cost is predictable.
• On the forward market, payment occurs later, at a date agreed upon in advance, making the final cost uncertain.
• The forex (foreign exchange) market focuses on the difference between currencies — for instance, you can buy and later sell the euro/dollar pair to make a profit.

Buying and selling currencies

When you visit a French bank or exchange office to buy dollars, you’ve probably noticed there isn’t just one exchange rate but several:

• Buying price – the rate at which you purchase dollars.
• Selling price – the rate at which you sell dollars back to the bank.
• Cross rate – the exchange rate between two currencies calculated using a third as a reference.

What is a currency exchange rate?

The “exchange rate” generally refers to the value of a currency on the interbank market — the price at which banks trade currencies with each other.

When a bank offers you an exchange rate, it typically includes a margin. This means the rate you receive is higher (or lower) than the real market rate.

Currency fluctuations: what causes them?

Many factors influence currency fluctuations. Some are macroeconomic, such as inflation or purchasing power, while others relate to supply and demand — the more a currency is in demand, the stronger it becomes.

Because of the many variables involved, exchange rate movements are difficult to predict.

Where and how to buy dollars when travelling from France?

In France, before you leave

If your trip to the United States is planned in advance, you can buy dollars directly from your bank. However, banks usually apply less favourable rates, and you may need to wait several days for the currency to arrive.

If you prefer not to travel with cash, you could use traveller’s cheques, though they aren’t accepted everywhere in the US.

You can also visit a currency exchange office, but be cautious — rates can vary widely. Compare offers to get the best rate and avoid losing money unnecessarily.

In the United States

If you arrive in the US without dollars, here are your main options:

• Withdraw cash from an ATM using your international debit or credit card. Some banks have partnerships abroad. For instance, the Global Alliance network lets BNP Paribas customers withdraw money abroad without additional fees.¹
• Visit a local exchange office, but avoid those located in airports or tourist areas — their rates are usually less competitive.
• Use Western Union, a quick but often expensive option for money transfers.

Wise: a new way to get and spend dollars

For your dollar payments and withdrawals, Wise could be a convenient alternative. With the Wise Visa debit card, you benefit from low and transparent currency conversion costs. Plus, you get 2 free withdrawals per month (up to €200 or its dollar equivalent).

Commission fees for exchanging euros to dollars

Whether you use your online bank, an exchange office, or an ATM, each option involves specific fees.

Transfer and reception fees

These are fixed or variable commissions charged by the provider on money transfers or receipts. Transfers to or from the United States are usually subject to these fees, which vary depending on your bank.

Withdrawal fees

Your bank may charge fees for withdrawing money abroad from an ATM outside its network. Outside the SEPA zone, these fees often include a fixed component and a variable percentage based on the withdrawal amount.

Payment fees

Similar to withdrawal fees, but applied to card payments. The commission amount depends on the transaction value.

Exchange rate fees

Exchange rate fees are often hidden. When you withdraw or convert dollars, your bank uses its own rate — usually marked up above the interbank (or mid-market) rate.

You’ll therefore pay more than you expect, as this markup is combined with the commission already charged for the transaction.

Commissions applied by local banks

In the United States, some banks also charge ATM usage fees. Depending on the bank’s policy, these may not always appear clearly on your account statement.

How to save on euro to dollar exchange commission fees?

If your account is domiciled in France, making transfers or withdrawals abroad can quickly become costly. To save money, you could use an alternative provider like Wise, which uses the mid-market rate and allows card payments in the US.

Transfers are often cheaper and more transparent than through traditional banks — with no hidden fees. You always know in advance how much you’ll pay.

Open your Wise account

This article is a translation of the original article published in French and was translated within 365 days of publication. While the content has been translated for accessibility, the data and sources referenced have not been updated since the original publication date.