# Pay in local currency

Abroad, a card terminal or an ATM may ask whether you want to pay in your home currency or in the local one. Choosing the local currency is usually the better answer.

## What dynamic currency conversion is

Dynamic currency conversion, or DCC, lets the merchant or the ATM operator do the conversion at the moment of payment. The screen shows a total in your home currency and asks you to accept.

It looks convenient because you see a familiar amount. The convenience is what you pay for.

## Why local currency is usually better

With DCC the exchange rate is set by the provider behind the terminal, and it often carries a larger margin than the rate your own card issuer would apply. If you decline, your bank converts the local amount using its own rate and any foreign transaction fee.

Card terms differ, so read your card's foreign transaction fee once before you travel. Then the rule is simple.

## A ten-second check

- Read the price in local currency.
- Convert it at the mid-market rate. In Divix, type the local price and read your currency.
- Compare it with the home-currency total the terminal proposes. If it is clearly higher, choose local currency.

## Habits that help

- Choose the local currency on card terminals and ATMs, every time.
- If a cashier converts for you, ask to pay in the local currency instead.
- Keep the receipt and check which currency it shows.

## FAQ

### Is dynamic currency conversion always more expensive?

Not in every case, but it often is. The ten-second check tells you for the transaction in front of you.

### Does this apply to ATMs?

Yes. ATMs abroad can show the same choice between home and local currency. Choosing local currency is the safer default.