You are travelling overseas. If you use your ATM or Credit Card, you will be assessed a 3% surcharge on all transactions.
So, you decide to withdraw Euros at your local bank branch to see if you can avoid the 3% fee. On a day where the EUR/USD exchange rate is 1.095, the bank will give you 1.165 rate. (You pay $1.165 dollars for 1 Euro)
What is the effective surcharge rate you are paying by withdrawing currency at your local branch? (Recall, the market rate on this given day is 1.095 and they are charging you 1.165)
Are you better off withdrawing cash before the trip, or incurring the 3% ATM fee once overseas?
If rate is 1.095, then 1 USD ~ .91 Euro. (What you should get) If rate is 1.165, then 1 USD ~ .86 Euro. (what you actually get at branch) That's a difference of .05, which ~ 5% of .91 So, you are getting "charged" almost 5% to exchange at the local branch.
Local bank exchange was a bad deal. I ended up using the ATM. I used my debit card that did not incur intl' ATM fees.