Minimizing currency exchange fees for a deposit on a rental

Minimizing currency exchange fees for a deposit on a rental - Closeup of male American president printed on five dollar bill and looking away pensively

I'm travelling to Marrakesh next week for a motorcycle trip. The rental does not accept credit card and ask me for a deposit of a 1000 Euros. Since I'm Canadian, withdrawing 1000 Euros temporarily and depositing it back 1 week later will cost me a lot in currency exchange fees. Any advise on how to avoid paying these unnecessary fees?



Best Answer

At the current market rate, €1000 is worth CAD 1434. I would ask the rental company whether they would consider accepting a deposit of CAD 1500 or 1600. Whatever amount you choose, it should be at least high enough that they will end up with more than €1000 after they change it. Their side of the agreement is that they won't actually change the money unless the need arises for them to retain part of the deposit. If you return the vehicle undamaged, they return your deposit to you in the original currency, in full. If they need to keep some of the deposit, they change the necessary portion only and return the balance to you in CAD.




Pictures about "Minimizing currency exchange fees for a deposit on a rental"

Minimizing currency exchange fees for a deposit on a rental - Pile of American paper money on black surface
Minimizing currency exchange fees for a deposit on a rental - Roll of american dollars tightened with red band
Minimizing currency exchange fees for a deposit on a rental - American dollar banknotes rolled and tightened with red band



How can I avoid paying an exchange fee?

How to avoid foreign transaction fees
  • Get a fee-free credit card. ...
  • Open a bank account with a foreign transaction fee-free institution. ...
  • Exchange currency before traveling. ...
  • Avoid using foreign ATMs. ...
  • Avoid the Dynamic Currency Conversion.


  • What is a normal currency exchange fee?

    A typical credit card currency conversion fee is 1% of the purchase price, DCC fees range from 1% to 3% (or more), and a typical foreign transaction fee is 2% to 3%.

    How can I avoid currency conversion fees UK?

    To avoid currency conversion fees abroad, always choose 'local currency' whether you're withdrawing cash from an international ATM or spending on your Travel Money Card.

    Do currency exchanges charge fees?

    Many banks offer currency exchange to their customers. Though there may be a small fee, your bank or credit union will almost always be the best place to exchange currency (and the cheapest).



    Currency Exchange and Reducing Risk: How can I reduce currency exchange fees?




    More answers regarding minimizing currency exchange fees for a deposit on a rental

    Answer 2

    You can ask whether you can leave another form of deposit, you could leave a document, credit/debit card with little/no money on it or something else valuable.

    Sources: Stack Exchange - This article follows the attribution requirements of Stack Exchange and is licensed under CC BY-SA 3.0.

    Images: Karolina Grabowska, Karolina Grabowska, Karolina Grabowska, Karolina Grabowska