A Note on Money: Currency, Cards, and Cash
Navigating money in a new country can be stressful. Here's a simple guide to make it easy.
- The Currency is the Euro (€): As of January 2023, Croatia's official currency is the Euro. The old currency, the Kuna, is no longer used. All prices will be in Euros, and payment is only accepted in Euros.
- Cards are Widely Accepted, but Cash is King for Small Transactions: Major hotels, restaurants, and shops will accept credit and debit cards (Visa and Mastercard are most commonly accepted). However, it is essential to have some cash on hand for smaller bakeries, outdoor market stalls, tips, and many local cafés or bars that may be cash-only.
- Getting Cash: The Airport and ATMs. Yes, there are ATMs at the Dubrovnik airport upon arrival, and they are plentiful in Cavtat and Dubrovnik. Using an ATM is generally the best way to get cash, but you must be strategic.
- AVOID Airport Currency Exchange Kiosks: The currency exchange booths (like Travelex) at airports are convenient, but they offer notoriously poor exchange rates and high fees. It is the most expensive way to get your money. It's best to avoid them entirely.
- Use Bank ATMs, Not Independent Ones: When you arrive at an ATM, look for one that is clearly attached to or branded with a major Croatian or European bank (e.g., OTP banka, Erste, PBZ, Addiko). Avoid the standalone, brightly-colored ATMs (like the blue and yellow Euronet machines), as they often charge much higher withdrawal fees.
- THE MOST IMPORTANT TIP (Dynamic Currency Conversion): When you use your foreign debit card, the ATM will often present you with a choice: "Would you like to be charged in your home currency (e.g., USD) or the local currency (EUR)?" It may seem helpful, but this is a trap called Dynamic Currency Conversion (DCC). ALWAYS choose to be charged in the local currency (EUR). If you choose your home currency, the ATM applies a very unfavorable exchange rate. By choosing Euros, you allow your own bank to perform the conversion at a much better rate.
Our Recommended Strategy:
- Consider arriving with a small amount of Euros (€50-€100) obtained from your home bank before you leave. This covers any immediate needs, like a taxi or coffee, without stress.
- For all other cash needs, use your debit card at a reputable bank's ATM in town, and always decline the offer to convert the transaction to your home currency.
- Before you leave home, notify your bank and credit card companies of your travel dates to prevent them from freezing your cards due to suspected fraudulent activity.