New Zealand travellers are being urged to watch for excessive ATM charges abroad, after new data revealed that some of the country’s favourite holiday destinations carry some of the world’s highest withdrawal fees.
Analysis of 9.7 million transactions by fintech firm Wise shows Vietnam is the most expensive country in the world for ATM use, with average third-party fees of 27.1% per withdrawal. This means a Kiwi withdrawing the equivalent of NZ$100 in Vietnam could lose more than a quarter of it in fees. South America also ranks poorly, with Argentina (20.5%) and Colombia (16.7%) taking second and third place. In the Asia-Pacific, Indonesia records an average fee of 10.9%, the only other country above 10%.
The findings come as outbound travel from New Zealand to Asia has surged 34% year-on-year, with Vietnam alone welcoming nearly 30,000 Kiwi visitors in 2024Press Release – Kiwi travellers….
High fees are often the result of combined charges from local banks and ATM operators, particularly in cash-reliant markets where travellers have little choice but to use what is available. Industry experts suggest making fewer, larger withdrawals, choosing bank-operated ATMs, and always selecting the local currency option when prompted to avoid extra mark-ups.
For travel agents, the data highlights the importance of preparing clients for the true cost of spending overseas, particularly in destinations marketed as “affordable.” Advising customers on safe and cost-effective banking practices abroad could help stretch holiday budgets further.