Yes, most banks will exchange currency, but the process and cost depend on the bank, the currency, and how much you need

If you need foreign currency — whether for travel, sending money abroad, or receiving a payment in another currency — your bank can usually help. Most banks that serve retail customers (the kind you walk into, not investment-only firms) offer currency exchange. However, they do not all stock every currency, the rates they offer are not the same as the rates you see online, and you may need to order some currencies in advance.

The simplest path is to call your bank's main branch or customer service line and ask whether they have the currency you need in stock. If they do, you can often exchange it the same day. If they do not, they can usually order it, though this takes several business days and may cost a small fee.

Key Takeaways

  • Most banks exchange currency for customers, but you should call ahead to confirm they have the currency you need and to ask about their exchange rate and fees.
  • Banks charge a markup on the exchange rate — the difference between what they pay for the currency and what they charge you — so the rate you get is always worse than the mid-market rate you see online.
  • Large banks usually stock common currencies like euros, British pounds, and Canadian dollars, but less common currencies may need to be ordered days in advance.
  • You will need a valid ID to exchange currency, and banks may ask where the money is going or why you need it.
  • Credit unions and smaller regional banks sometimes offer better rates than large national banks, so it is worth calling more than one if you are exchanging a large amount.

What the exchange rate markup actually costs you

When you see an exchange rate online — say, 1 US dollar equals 0.92 euros — that is the mid-market rate. It is the rate banks pay each other. You will never get that rate as a customer.

Instead, your bank buys the currency at a wholesale price and sells it to you at a higher price. The difference is called the markup or spread. A typical markup is 1 to 3 percent, though some banks charge more. On a $1,000 exchange, a 2 percent markup costs you $20 before you even leave the branch.

The markup is how banks make money on currency exchange. It is not a fee you see listed separately — it is built into the rate they quote you. When you compare rates between banks, you are really comparing their markups. A bank quoting you a rate of 0.90 euros per dollar is charging a bigger markup than one quoting 0.91 euros per dollar.

Which currencies banks usually have in stock

Large national banks like Bank of America, Chase, and Wells Fargo typically stock the most common currencies used by their customers: euros, British pounds, Canadian dollars, Mexican pesos, Japanese yen, and sometimes Australian dollars and Swiss francs. If you need one of these, you can usually get it same-day or next-day.

Less common currencies — Thai baht, South African rand, Polish zloty, or currencies from smaller countries — are harder to find. Your bank may not stock them at all, or may need to order them from a currency supplier, which takes three to seven business days. Some banks charge an ordering fee on top of the exchange markup.

Credit unions and smaller regional banks sometimes have different inventories based on their customer base. A credit union in a community with many immigrants from a particular country may stock that country's currency when a large national bank does not.

How to order currency in advance

If your bank does not have the currency in stock, call the branch where you want to pick it up and ask them to order it. You will need to tell them the currency, the amount, and when you need it. Most banks require at least two to three business days' notice, though some can do it faster.

When you order, the bank will quote you a rate and hold it for a set period — usually 24 to 48 hours. If you accept the rate, you typically pay a deposit (often 10 to 25 percent of the total) to lock in the order. You pay the rest when you pick up the currency.

Some banks charge an ordering fee separate from the markup — anywhere from $5 to $25 depending on the bank and currency. Ask about this before you order, because it adds to your total cost.

What you need to bring and what banks will ask

You will need a valid photo ID — a driver's license, passport, or state ID card. Banks are required by federal law to verify your identity for currency exchanges above certain amounts.

Depending on how much you are exchanging and where you are sending it, the bank may ask questions: Where are you traveling? Who is the money for? Is this for a business or personal use? These questions are routine and required by anti-money-laundering laws. You do not need to provide detailed answers, but you should be prepared to give a straightforward explanation.

If you are exchanging a very large amount — generally $10,000 or more in a single transaction — the bank will file a report with the federal government. This is normal and legal; it does not mean you have done anything wrong.

Comparing banks and other ways to exchange currency

If you are exchanging a large amount, call at least two banks and ask for their rate on the specific currency and amount you need. Rates vary, and a difference of even 0.5 percent can save you money on a big exchange.

Some alternatives to banks exist. Currency exchange shops (sometimes called "forex" shops) are standalone businesses that specialize in currency exchange. They sometimes offer better rates than banks, especially for large amounts or less common currencies, but they also sometimes charge higher markups. Check their rate against your bank's before you go.

Online currency transfer services like Wise (formerly TransferWise) or OFX offer competitive rates if you are sending money internationally rather than getting physical cash. These services work differently from banks — they do not give you bills and coins, but instead move money electronically to a bank account abroad. If that works for your situation, they are often cheaper than a bank exchange.

What happens if your bank cannot get the currency

If your bank cannot order the currency you need, ask them to refer you to a currency exchange service they work with, or ask for the name of a local currency exchange shop. Some banks have partnerships with specialized currency dealers and can direct you there.

If you are traveling soon and cannot get the currency before you leave, you can also exchange money at your destination — at an airport exchange desk, a local bank, or an ATM. Airport exchanges usually have worse rates than banks, but local banks and ATMs in your destination country often have better rates than US banks. Plan ahead if you can, but do not panic if you cannot get currency before you travel.

Frequently Asked Questions

Do I need an account at the bank to exchange currency?

No. Most banks will exchange currency for anyone with a valid ID, whether you have an account there or not. However, some smaller banks or credit unions may limit exchanges to members. Call ahead to confirm.

Can I exchange currency online and have it mailed to me?

Some banks offer this, but it is less common than in-branch exchange. Call your bank and ask whether they mail currency. If they do, expect to pay a mailing fee and wait several business days. For most people, picking up in branch is faster and cheaper.

What if I have leftover foreign currency when I get back?

Your bank will exchange it back to dollars, though you will pay the markup again — so you lose money on both the outbound and return exchange. If the amount is small, it may not be worth exchanging. If it is large, exchange it before you leave your destination country, where the rates may be better.

Are the rates better if I order currency in advance?

Not necessarily. Ordering in advance lets you lock in a rate, which protects you if rates move against you before you travel. But the rate itself is not better — it is the same markup the bank would charge you if you walked in the same day. The benefit is certainty, not a better price.

Can I exchange currency at an ATM?

ATMs in your destination country will give you local currency, and the exchange rate is usually competitive because it is set by the ATM network, not by a bank trying to make a markup. However, your US bank may charge a foreign ATM fee (usually $2 to $5 per withdrawal). For large amounts, a bank exchange before you travel may be cheaper; for small amounts, an ATM is often simpler.