Option to disable GBP transactions to block dynamic currency conversion


#182

Maybe I am wrong but the issue with DCC is that the merchant force the transaction to be with the same currency as the card, rather than with the local currency of the country.

By having a card issued with the local currency, there is no DCC risk because card currency = local currency

Is it correct ?


#183

Revolut is about one card for all curriencies. Not about different separate cards for every currency.


#184

I agree, so there is no real solution to avoid DCC fraud for Revolut…


#185

There is. If one would manually lock in a given “local” currency while being in Japan, for example. A GBP authorization would be declined. Only JPY would go through.


#186

OK I understand the difference :slight_smile:


#187

How should I avoid DCC at ATMs, though?

For example: Pretty much all ATMs in my region now use DCC (Germany, a metropolitan area). When I try to get money, they try to convince me to use DCC via 2 pop-ups first, with a surcharge of around 5-10%.

If I then decline, the ATM surcharges a fee of 2,95 € for not using DCC. I’m really punished for not using it.

Meaning: I can decide between being charged 10% or the ATM fee. The ATM fee does not apply if I use DCC or if my carge is issued in the local currency, which Revolut just is not. The only solution to avoid this, is to have another credit card in my local currency available. This shows that Revolut is still not a replacement solution for local banks.


#188

You need to find different ATM operators. I live in Germany, very metropolitan here, and I’ve never seen the behavior you’re describing.


#189

Sure, that’s an option. However, all(!) ATMs here have been replaced by Euronet, that also do have this behavior since several days. I now need to drive within my city for an ATM that is still free, despite having five Euronet ATMs in walking reach.

But that’s not the answer to DCC in the long rong, either. What is the option if all ATMs start to behave that way? It’s pretty obvious that -if the way Euronet handles foreign card is legal- all other banks will start to do the same in order to fight the different products from the UK and safeguard their market.

Here you can see an example for withdrawing 50 Euros. You either pay 2,95 € for the withdrawal or pay 51,68 GBP (nearly 60 €!).

(My last transactions with local cards were free, but I’m not sure if this is still the case today, because AFAIK it’s probably not legal for ATMs in Europe to surcharge a fee from one type of transaction and don’t charge for another. Still, the images show that no fee is separately mentioned when using DCC anyways.)


Surchage / fee after DCC rejection in Poland!!!
#190

These fees are not based on whether the card is issued in the local currency. In fact, merchants and ATM operators can’t detect the card’s currency, only its country of issue. For example, Raphaels Bank operates some EUR ATMs in London. If I use them to withdraw EUR cash via my German debit card, there’s not even an invitation to use DCC, but I’ve heard that if a UK-issued card is used, then DCC is enforced for EUR withdrawals. So the ATMs’ rule seems to be that if the withdrawal is in the same currency as the currency in the card’s country of issue, then there’s no DCC, otherwise DCC or a fee is applied.


#191

From what I have already witnessed in my country, any bank-operated ATM will charge you a fee for withdrawing money using a card they haven’t issued (same currency withdrawals). This is usually a fee of around 2€. So, even if I withdraw EUR using the Revolut card, I will be charged a fee from the ATM-operator, not Revolut (since Revolut doesn’t have its own ATMs). If I try to withdraw in a different currency, I’m prompted with the same options plus the fee! ATM withdrawals are a pain pretty much, so I’m trying not to avoid them as much as possible. :frowning:


#192

I thought there was a law that ATM charges for credit-cards must not be indifferent for any issuer. So, an ATM may not surcharge a fee for one mastercard, and not surcharge it for another. But it seems, this is exactly what happens here, isn’t it?


#193

Now I am curious. I just went to an Euronet ATM and tested a small withdrawal of 10 EUR with a German issued Mastercard. No surcharge.

@bastigruenwald Were you able to confirm that the ATM that charges you for the Revolut card does not charge you for a German (or another EUR country) issued card?

Is it (assumed) GBP vs. EUR or local vs. abroad?


#194

A little off-topic
In Poland in Euronet ATM I can observe surcharge while using Curve card (with Revolut connected to this) but there is no surcharge while using Revolut card directly.
Curve is a British company too.


#195

I am an absolute fan of this idea! :slight_smile: :slight_smile: :slight_smile: No DCC or no money, please give back the power to the buyer instead of the merchant.


#196

I believe that EU legislation imposes this restriction on card issuers, not on ATM operators. But I might be wrong.


#197

Maybe it’s time for a 2nd Revolut blog post in the Acedemy category, the next chapter to this one:

With the articles about money laundering, they scratched legal and regulatory stuff already, and I would like the idea that someone from Revolut’s management sheds some light on the regulatory and contractual situation for ATM operators. There must be someone out there knowing this, right?


#198

I really don’t see revolut doing through the work of going through each country’s laws and regulations and detailing each situation.

I’m just glad here in Portugal we have no fees. The worst we have is the double dcc prompt with an outrageous 10% exchange rate surcharge despite claiming no fees. There are no ATM fees beyond that however.

It would be great if other countries started to look into it


#199

I know everything you said above but only because I was once ripped off in Spain myself. But when you get offered a conversion it can be confusing to the uninitiated. In my case I wasn’t even asked, so I think the best option would be to simply be able to disable the sterling balance.


#200

I love my revolut card but am in Spain at the moment and am getting fed up with the retailer grabbing the machine from me and selecting GBP

It’s getting to the point I’m going to stop using it tbh.

I’ll stick to withdrawing cash with my starling card as it has no withdraw limits and the rate isn’t too bad. Certainly a lot better than the €1.64 I’ve just lost on a €38 payment :rage:


#201

Rules for DCC strictly says, that DCC cannot be selected as default, without getting user agreement / approval. I think I’d spend some my time writing a complain for DCC and requesting a compensation, according to Visa/MC rules… MC rules, for example: http://www.mastercard.com/elearning/dcc/docs/DCC%20Guide%2020.02.17%20EN.pdf