Vietnam tops the list for high ATM fees faced by Kiwi travellers

New data from Wise has highlighted significant risks for New Zealand travellers facing high ATM fees in popular overseas destinations, particularly in Vietnam, Argentina, Colombia and Indonesia.

The analysis by Wise, based on 9.7 million ATM withdrawals using its cards across a six-month period, shows that Vietnam now ranks as the most expensive country globally for ATM transactions. Travellers face average third-party fees of 27.1% per withdrawal in Vietnam, surpassing all other countries surveyed. Argentina follows with an average fee of 20.51%, and Colombia is third at 16.66%. Indonesia is the only additional country where average ATM transaction fees exceed 10%, sitting at 10.91%.

To put these figures in perspective, a New Zealander withdrawing NZ$100 in Vietnam could lose more than a quarter of that amount to ATM charges alone. The research also found high ATM fees in other destinations, with Sao Tome and Principe (8.31%), Nigeria (5.83%), Korea (5.80%), Chile (5.55%), Turkey (5.08%), and Angola (4.44%) ranking in the global top ten.

This issue emerges as travel from New Zealand rapidly recovers following the Covid-19 pandemic. Demand for overseas trips has surged, especially to Asian destinations. Short-term travel to Asia increased by 34% in the last year, with Vietnam seeing nearly 30,000 New Zealand visitors in 2024-a marked increase on the previous year's figures.

Cash withdrawals a growing concern

The research examined the impact of third-party charges levied by both banks and ATM operators. These are often in addition to any fees charged by a traveller's own card provider. In many of the most expensive regions for ATM use, local banks routinely apply fixed charges to foreign card withdrawals. This is compounded by extra charges imposed by the ATM operators. In markets where cash is still essential, travellers may have no choice but to use whichever cash machine is available. This can result in both inconvenience and unexpected costs.

Tristan Dakin, ANZ Country Manager at Wise, said, "Given the relatively weak spending power of the New Zealand dollar in Europe and the US currently, locations like Vietnam and Indonesia are becoming more popular for cost-effective getaways. While this can be a smart move, it's important to consider the intricacies of spending in each region and avoid getting caught out by overly expensive ATM fees."

Dakin explained that even financially prepared travellers can be taken by surprise. He noted that, "While Kiwis are often financially savvy when it comes to planning a trip, it's easy to miss the cost associated with spending and managing money once they've arrived. With some forward planning, travellers can avoid fees eating into their funds, and help their budgets stretch further."

Practical advice for travellers

Dakin offered several practical recommendations to reduce costs when using ATMs abroad: "If travellers need to use ATMs, there are ways to ensure it's done as cost-effectively as possible. Tips include looking for bank-operated ATMs, that offer clearer fee disclosures, making fewer, larger withdrawals rather than many small ones, and being sure to select local currency rather than AUD when withdrawing cash, to avoid higher mark-up rates."

He also highlighted the issue of hidden charges disguised as favourable currency exchange rates, warning travellers to be vigilant. "Regardless of where people travel, one of the best ways to save is by avoiding cards with hidden fees. Many banks use inflated exchange rates to mask their charges, claiming to offer 'fee free' foreign transactions, that in reality, are much more expensive than the true mid-market rate you would find on Google."

ATM withdrawals by the numbers

The Wise data underpinning these findings was collected over six months from February to July 2025. Only ATMs with at least 500 transactions in the period were included in the analysis, and the average country percentages reflect declared ATM fees, not hidden costs in exchange rates or conversions.

The findings suggest that, for New Zealanders travelling to destinations such as Vietnam, Argentina and Indonesia, careful attention to ATM pricing and currency exchange terms is needed to avoid substantial costs while withdrawing cash abroad.