Due to advances in technology, never before has it been easier to travel abroad. While the cultural benefits these journeys have to offer are vast, many spend more money than they need to on currency exchange. With dozens of currency exchange services available, taking the time to research prior to traveling can leave travelers with more money in their pocket to spend on leisure.
1. Conveniences Come With a Price
Following a long flight, travelers are often eager to make a quick purchase at the airport or hotel on refreshments and other commodities. While the temptation may be strong, those who can find the self discipline wait to use currency exchange stations away from these tourist-ridden places normally receive better deals.
2. Shun Dynamic Currency Conversion
Merchants know a tourist when they see one, and, as any entrepreneur, they take advantage of travelers for their own financial gain. One such common practice is to offer dynamic currency conversion. This method allows tourists to purchase goods and services in their own currency while the merchant exchanges the currency. While this may seem like an added convenience, there are normally hidden charges and fees, not to mention the fees that will likely be tacked on by the credit card company for processing a foreign transaction.
3. Understand Your Debit Card
While many travelers choose to employ the use of their debit card while traveling, it is crucial that they understand their financial institution's terms and conditions regarding such transactions. Often, there are withdrawal fees included that could be avoided by employing other methods of payment.
4. Contact Credit Card Company Prior to Travel
Credit card companies often offer exceptional deals on currency exchange; however, assuming such can be a costly mistake. While most companies charge only pennies on the dollar, others charge unexpectedly higher rates. Prior to travel, it is a good idea to contact the credit card provider to find out exactly what rates will be charged.
Travelers who frequently roam the globe should invest time into proactively seeking out a credit card that offers a low exchange rate. Many companies offer special deals to those who frequently travel, and utilizing these resources provides a great asset when abroad.
5. Cash Needs Should be Fulfilled by Your Bank
It is a good idea to carry some cash when traveling; however, when using native currency, it is best to utilize the services of your bank. Most banks charge non-customers additional fees for the use of their services in addition to standard transaction fees.
Ignorance is Not Bliss
It is often said that ignorance is bliss. When it comes to getting the best rate on currency exchange, however, this could not be further from the truth. A good idea is to visit a travel money specialist such as Travel Money Oz if you live in Australia, you can get some great advice on the type of travel money best suited for your need. By investing a few hours of time prior to traveling, anyone can find themselves with extra money to use during their travels abroad.
Written by Natalie Brooke: Natalie has travelled extensively in the past twelve months to over 30 countries. She prides herself as a thrifty traveller. She takes great joy in hunting down discounts on travel deals, savings on currency exchange and sharing her thrifty practice with her readers.