I believe in sharing mistakes for the purpose of learning. Like everyone else, I'm far from perfect, and mistakes are part of my journey. Here's a recent mistake I made that you might learn from, especially if you're planning to visit Germany (or other EU countries with similar ATM systems).
Oh, and I almost made the mistake of typing “ATM Machine” here–but let's avoid redundancy. After all, “ATM” already stands for “Automated Teller Machine.”
This isn't a “favorite mistake,” but it's one I made last weekend during my first-ever trip to Germany. I was there to speak about Lean and Operational Excellence at a company's annual leadership meeting. Beyond the work opportunity, it was exciting to finally visit Germany and to have two days free to explore Frankfurt and Heidelberg as a tourist, as seen below:
The Situation
While in Germany, I booked a group tour to Heidelberg and another walking tour in Frankfurt. Although I probably could have relied entirely on credit cards, I wanted to have Euros on hand for tipping guides (who were excellent, by the way!). So, I headed to the nearest ATM to withdraw cash.
My first attempt was at a major bank's ATM. To my surprise, it rejected my American card with a message: “Card not allowed.”
No problem, I thought. I'd try another ATM. This time, I used a Euronet machine–a type of ATM you'd typically find at gas stations or convenience stores, not affiliated with a specific bank, as pictured below.
It took my card, asked for the withdrawal amount and PIN, and then threw me for a curveball:
The machine offered an awful exchange rate. While the Euro and the US Dollar were nearly equal in value at the time (at par), this machine's rate was 20% worse. It would have cost me $130 to withdraw 100 Euros. Yikes!
As another aside, “PIN Number” would also be redundant, as discussed on the fantastic show “Schitt's Creek”).
The Exchange Rate Trap
If you've traveled internationally, you may already know this tip: When using an ATM or paying by card at a retailer, always opt to pay in the local currency. Machines and retailers often offer you the “convenience” of paying in USD, but the conversion rates are far worse than what your bank would provide.
The Euronet ATM presented two big buttons:
- Decline Conversion
- Accept Conversion
I hit “Decline Conversion” to avoid the terrible exchange rate and assumed the transaction would cancel.
Spoiler alert: It didn't.
The Costly Mistake
Here's where I went wrong: I walked away, assuming the declined conversion meant the transaction was void. Later, I logged into my bank account and saw an ATM transaction “pending” for $104.20. Confused, I realized I hadn't received any cash–so what happened?
When I retried another Euronet machine, I discovered the issue. After hitting “Decline Conversion,” the machine doesn't cancel the transaction outright. Instead, it displays a “Next” prompt. Only by pressing “Next” would I have received the Euros at the fair exchange rate.
Looking back, I suspect someone approached the ATM after I left, saw the “Next” prompt, and completed the transaction. It's possible they walked away with my 100 Euros, no PIN required. i hope that person desperately needed the money. And I hope they didn't use it to buy drugs near the train station (an area our walking tour guide warned about).
I could curse that person for being unethical and taking the “free” money from my account. And I think the ATM and Euronet are also partially at fault here with the design of their software. I would assume and hope (maybe incorrectly) that any transaction would time out pretty quickly after leaving the screen untouched for a minute. Maybe somebody walked up immediately after me. Maybe locals have learned to walk up and try this after an ATM user walks away.
this mistake ultimately falls on me for not ensuring the transaction was fully canceled.
Lessons Learned
1) Never walk away from an ATM until the transaction is fully complete. Wait for a clear message prompting the next user to insert their card.
2) Avoid using ATMs from third-party providers like Euronet. Stick to machines affiliated with major banks, as they often offer better exchange rates and safer transactions.
3) Again, be wary of currency conversion offers. Always opt to pay or withdraw in the local currency to get the best exchange rate from your bank.
The Bigger Picture
While the mistake cost me around $100, it's a small price to pay for a valuable lesson. The experience didn't overshadow my enjoyment of Germany. I enjoyed speaking about Lean and Operational Excellence, exploring Frankfurt, and touring Heidelberg Castle.
Mistakes are opportunities to learn and grow, and sharing them can help others avoid similar pitfalls. So, if you're traveling to Germany or elsewhere in the EU, learn from my oversight. Make sure your transactions are complete, and save yourself the hassle (and money).
Danke for reading, and safe travels! And safe ATM use!
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Maybe next time check which banks/machines accept an American credit card. Some are not that widely accepted in Europe. If I go to the US or other non-Euro countries I get the same question about the conversion and learned to always decline them. And Germany is still a country where cash is needed, especially at kiosks and even restaurants, so knowing the cash culture in a country is also always good preparation for a trip abroad.
Different tip: look into getting a card via for example Revolut or Wise and load their account with the currency you need abroad. It saves costs on paying conversion rates everytime you pay with your own credit or debit card. I will use it in the US and have also used in the UK.