Ten Golden Rules for Bureau-de-Change (Currency Exchange) Clients

Change money only at designated bureaux de change. Always read all the information given on the exchange rate list carefully before changing money.

2. Make sure you know who is buying and who is selling

The terms “purchase and sale of foreign currency” and the corresponding exchange rates are given from the bureau de change’s perspective.

• You will receive Czech korunas in exchange for foreign currency at the buy rate (usually shown in the column headed “buy”).
• You will receive foreign currency in exchange for Czech korunas at the sell rate (usually shown in the column headed “sell”).

The bureau de change is obliged to give first the information about the buy rate and only later the information about the sell rate.

The terms “purchase and sale of foreign currency” and the corresponding exchange rates are given from the bureau de change’s perspective.

• You will receive Czech korunas in exchange for foreign currency at the buy rate (usually shown in the column headed “buy”).
• You will receive foreign currency in exchange for Czech korunas at the sell rate (usually shown in the column headed “sell”).

The bureau de change is obliged to give first the information about the buy rate and only later the information about the sell rate.

Bureaux de change set their exchange rates independently of the exchange rates declared by the Czech National Bank. The exchange rates offered by different bureaux-de-change may thus vary significantly. Before exchanging money, always compare the bureau-de-change’s buy and sell rates – it there is a big difference between them (several korunas), consider whether to proceed with the transaction at all.

It is prohibited to charge a commission for an exchange transaction. An exception may apply in the case of the exchange of coins and cheques.

The bureau de change is obliged to publish on its exchange rate list only the least favourable exchange rate it offers. If it offers the option of a more favourable exchange rate (a VIP rate), only general information about this option, and not the more favourable rate itself, may be published in the bureau de change and its immediate surroundings (the bureau-de-change staff should inform you of the specific VIP rate).

If the amount you exchange exceeds the equivalent of €1,000, the bureau de change is obliged to provide you sufficiently in advance, usually in writing on a sheet of paper, with information about

• itself (its name and identification number);
• the exchange transaction (i.e. the names or other denominations of the currencies being exchanged; the amount handed over for exchange; the exchange rate; the amount corresponding to the amount submitted for exchange after conversion using the exchange rate; any commission for the exchange transaction – see rule 4);
• your right to cancel the transaction and a description of how to do it (see rule 8);
• your other rights (see rule 10).

Read this information carefully and check whether the exchange rate and other conditions of the exchange match the exchange rate list and other information displayed in the bureau de change. The information must not contain conditions that are less favourable to you (the information given in this document may differ from the information in the bureau-de-change’s exchange rate list only if it is more favourable to you as a client, for example, a better exchange rate). If your signature is required on one copy of this information, sign only if you agree with the conditions. Keep one copy of the information for possible further use, including any complaints.

If you wish to change an amount exceeding the equivalent of €1,000, never hand over cash for exchange until you have received, read and agreed to all the required information.

Insist on being issued with a confirmation slip (“a receipt”) for the exchange. The bureau de change is obliged to issue one. Failure to do so may significantly affect the exercise of your further rights (specified in rule 8, for example).

You have the right to withdraw from the contract on the exchange transaction free of charge and without giving your reasons (the right to cancel the transaction) within three hours after its execution in the bureau de change where the exchange transaction was executed. You can cancel transactions of the equivalent of up to €1,000 (if the exchange amount exceeds this value, you can cancel only the part of the transaction equivalent to €1,000).

The bureau de change may not prevent you from asserting this right in any way and is obliged to accept the funds returned by you and reimburse you or, as the case may be, make up the amount paid according to the exchange rate declared by the Czech National Bank on the previous day (https://www.cnb.cz/en/financial-markets/foreign-exchange-market/). The bureau de change is also obliged to issue a confirmation slip for the cancellation. Detailed information about customer rights is available at www.cnb.cz/exchange (in Czech only).

If you are unhappy with the services provided or you were not allowed to cancel the transaction within three hours after its execution and you were not reimbursed, you should immediately lodge a complaint at the bureau de change.

If the bureau de change does not acknowledge your complaint, you can

• lodge a complaint in writing with the Czech National Bank (https://www.cnb.cz/en/public/contacts/electronic-form/index.html) . If your complaint is justified, the Czech National Bank may take follow-up action (such as imposing a sanction or a remedial measure). However, the Czech National Bank is not authorised to order payment of compensation or otherwise settle any private law dispute between you and the bureau de change;
• file a petition with the Financial Arbitrator (https://finarbitr.cz/en/) as the authority responsible for settling out-of-court disputes between clients and bureaux de change. The Financial Arbitrator may also decide on payment of compensation.