Yes, most banks exchange foreign currency, but availability and rates vary by location and bank
Most banks in the United States will exchange foreign currency for you, but not all branches do it, and the process takes longer and costs more than you might expect. Large national banks like Bank of America, Chase, and Wells Fargo offer currency exchange at many locations, though you may need to visit a branch that handles international services. Credit unions and smaller regional banks may not offer this service at all, or only at certain branches.
The exchange happens at the bank's internal rate, which is not the same as the rate you see online. Banks buy and sell currency at wholesale rates, then mark up the rate they offer you—typically 1 to 3 percent above what they paid for it. You will also pay a flat fee per transaction, which ranges from $5 to $15 depending on the bank and the currency. Some banks waive the fee if you exchange a large amount, usually $1,000 or more.
The entire process usually takes 3 to 7 business days because the bank has to order the currency from a regional Federal Reserve office or a currency supplier. If you need cash before a trip, you have to plan ahead. If you need it the same day, a bank is not your option.
Key Takeaways
- Call your bank first to confirm they exchange currency at your branch, because many do not offer this service.
- The bank's exchange rate includes a markup of 1 to 3 percent above the wholesale rate, plus a flat fee of $5 to $15 per transaction.
- Currency orders take 3 to 7 business days, so you need to request it well before your trip.
- ATMs in the destination country often offer better rates and lower fees than exchanging currency before you leave.
How to order currency from your bank
Start by calling your bank's customer service line or visiting a branch in person. Ask whether they exchange the specific currency you need—not all banks stock all currencies. Some banks only exchange major currencies like euros, British pounds, Canadian dollars, and Japanese yen. If you need a less common currency, you may be told to order it, which adds another 2 to 3 days to the timeline.
When you place the order, you will need to tell the bank how much currency you want and when you need it. The bank will quote you the rate and fee at that moment, and that rate is usually locked in for 24 to 48 hours. If you do not pick up the currency within that window, the rate may change. You will pay for the currency upfront, either from your account or in cash at the time of pickup.
Pick up the currency at the branch where you ordered it. Bring your ID. The bank will count the bills in front of you and give you a receipt. Check the amount before you leave—once you walk out, the bank will not reverse the transaction if the count was wrong, so verify it on the spot.
When a bank exchange makes sense
A bank exchange is useful if you need a small amount of foreign currency before you travel and you do not have time to use other methods. It is also the safest option if you are uncomfortable carrying large amounts of cash or using ATMs in an unfamiliar country. Some people exchange a small amount at the bank just to have local currency in hand when they land, then use ATMs for the rest of their trip.
A bank exchange also makes sense if you are returning from a trip and have leftover foreign currency. Some banks will exchange it back to dollars, though the rate will be worse than when you bought it—you will lose money on the round trip. Many people keep leftover currency for the next trip instead.
Why ATMs and other methods are usually cheaper
An ATM in the destination country typically offers a better exchange rate than your bank, even after the ATM operator's fee. The ATM rate is usually within 1 to 2 percent of the true wholesale rate, and the fee is often $2 to $3 per withdrawal. That is cheaper than a bank's markup plus flat fee, especially if you withdraw a reasonable amount at once instead of making multiple small withdrawals.
Credit card purchases in a foreign country also use a better rate than a bank exchange, and many cards charge no foreign transaction fee at all. If your card does charge a fee, it is usually 1 to 2 percent, which is still lower than a bank's markup. The downside is that you do not have cash in hand, which matters in places where cards are not widely accepted.
Online currency exchange services like OFX, Wise, and XE also offer rates closer to the wholesale rate than banks do, though they require a bank account transfer and take 1 to 3 business days. These services are useful if you need to send money to someone in another country or if you are exchanging a large amount and can plan ahead.
What to do if your bank does not exchange currency
If your bank does not offer currency exchange, you have several options. Ask whether they can refer you to a partner bank that does—some banks have relationships with larger institutions that handle exchanges for their customers. You can also visit a branch of a large national bank directly, even if you do not have an account there; most will exchange currency for non-customers, though they may charge a higher fee.
Currency exchange shops in airports and tourist areas will exchange currency on the spot, but their rates are the worst of all options. They mark up the rate by 5 to 10 percent or more and charge high fees. Use them only if you have no other choice and need cash immediately.
Exchanging currency when you return home
If you come back from a trip with leftover foreign currency, your bank will exchange it back to dollars, but the rate will be worse than the rate you paid to buy it. You lose money on both the markup and the fee. Some banks will not exchange currency back at all, or only in large amounts.
Before you exchange it back, consider whether you might use it on a future trip. If you travel to the same country again within a few years, keeping the currency is usually smarter than exchanging it and then buying it again later. If you are certain you will not use it, exchange it sooner rather than later—exchange rates fluctuate, and waiting may cost you more.
Frequently Asked Questions
Do I need an account at the bank to exchange currency?
No. Most banks will exchange currency for non-customers, though they may charge a higher fee or require a larger minimum amount. Call ahead to confirm the bank's policy before you visit.
What if I need currency the same day?
A bank cannot help you—orders take 3 to 7 business days. Your only same-day option is a currency exchange shop at an airport or in a tourist area, but the rates are much worse. If you are leaving the next day, ask the bank if they have the currency in stock; some branches keep small amounts of major currencies on hand.
Is it better to exchange money before I leave or when I arrive?
Usually, wait until you arrive. Use an ATM in the destination country to withdraw local currency—the rate is better than a bank exchange, and you avoid carrying large amounts of cash through the airport. Exchange a small amount at your bank only if you want cash in hand when you land and the ATM is not accessible immediately.
Can I exchange currency at any branch of my bank?
No. Only branches that handle international services offer currency exchange. Call your bank to find out which branches near you do this, or ask whether they can order it to your nearest branch for pickup.
What happens if the exchange rate changes between when I order and when I pick up?
The rate is locked in when you place the order, usually for 24 to 48 hours. If you pick up within that window, you pay the quoted rate. If you wait longer, the bank may quote you a new rate. Ask the bank how long the rate is may provide when you order.