5 Handling Money

Arrival

You should bring 100-200 euros in cash with you for taxi fare, food, etc. for the first few days. Some banks like Chase will order currency for you while you are still in the US. Alternatively, you can withdraw money in France directly from an ATM using your American bank debit card. Make sure to notify your bank and/or credit card company of your travels before departure so that they do not block your card(s); many allow you to do this online.

Within the first week or two of your arrival in Aix, you will need enough CASH to be able to cover your first two months’ housing expenses (rent and security deposit, 1,200-1,500 euros). Most students either use their American ATM card to withdraw cash from their American bank, or make a one-time bank transfer between their American bank and French bank account (which will be set up upon your arrival in Aix). Be aware that your bank at home will set limits on how much cash you can withdraw each day on an ATM card, so it may not be possible for you to withdraw enough money on one day to cover your first two months’ housing expenses. You may wish to ask your bank to increase your daily withdrawal limit before departure. Also, be aware that use of American ATM cards and bank transfers usually come with fees (see notes below).

While APA does not endorse any particular service, some students recommend transferwise.com for sending large amounts of money as it has lower fees than many banks. Charging up a card like the one you can order through Revolut (revolut.com) can also be a way to put dollars on a debit card, convert them to euros based on the current exchange rate, and avoid fees.

In Europe, as a general rule, avoid buying foreign currency at airports, railroad stations, and especially hotels and stores: they charge higher fees than at currency exchange places, which in turn charge slightly higher fees than the banks.  Do not depend on the exchange rate published in newspapers; it is a bank-to-bank rate, and what you will get is often at least 5% less.  A good website to check typical cash rates is www.oanda.com.

NOTE: Bank drafts and bank transfers incur heavy fees and sometimes take weeks to process.

Estimated funds you will need upon arrival:

Additional Costs

Attention: If you wish to use your US cell phone in France, don’t forget to have it unlocked before leaving the US, because it is difficult (and expensive) to do it here. In order to do so, you will need to contact your US provider before your departure.

Using Credit Cards and Debit Cards in ATMs

A generally reliable way to get money from the U.S. is to use a debit/ATM card with a VISA logo. It is also possible to withdraw cash using your VISA or MasterCard credit card; however, credit card companies often charge very high interest rates for “cash advances”. IT IS IN YOUR BEST INTEREST TO FIND OUT WHAT THE FEES FOR CASH ADVANCES ARE BEFORE YOU LEAVE THE STATES. Using a debit card that withdraws directly from your checking account in the U.S. will likely avoid these higher fees.  Whether you use a credit card or debit card, you will likely be charged international transaction fees.

Machines that accept CIRRUS are more common than those that accept PLUS debit cards (see the back of your card for the CIRRUS logo). VISA is accepted in more places than AMERICAN EXPRESS or MASTERCARD.

Before you leave for France, notify your bank/credit card company of the dates that you will be abroad.  In trying to curtail fraud, banks will often cancel debit/credit cards when they suspect any unusual card activity (e.g., a resident of the Midwest who suddenly makes a purchase in France). Also, make sure the card you are bringing has been used in the US at least once.

If you charge purchases to your card, you will get a slightly better exchange rate than you will get at French banks, though do not forget about the international fees that will likely be added on top of the better exchange rate. An example with IUCU is that the exchange rate will be very competitive and then a 1% “cross-border fee” will be charged. It is better than getting euros in cash from the bank, but by converting your dollars into Euros using a card like Revolut, you avoid the fees altogether. Groceries, personal items, clothes, train tickets, and many other items can be purchased with a card, though some stores may have a policy of accepting it only for purchases above a certain amount.

You should never type your PIN number when a third party can see it.

Banking System

At your on-site orientation meeting in Aix, you will be informed about how French banks work and how you can open an account.  It is highly recommended that you open an account for practical reasons (in particular for reimbursement of any medical expenses incurred while in Aix).

Insurance

Sécurité Sociale (Health Insurance)

APA participants are required to be covered by the French system of Sécurité Sociale (health insurance). The APA staff will assist in completing the required documents. This is in addition to the insurance you are provided by your home institution because the US coverage is greater than that available through the French insurance.

Renter’s/Liability Insurance

In addition to the required health insurance, you will also need to obtain “renter’s insurance,” which is a type of housing insurance that includes personal liability insurance. (Personal liability included in the renter’s insurance is needed to register at French universities and to do volunteer work.) APA will assist you in obtaining this insurance onsite.