So many people are unsure of the best ways to get foreign currency while traveling internationally, and it’s easy to see why this is such a confusing issue. With ever-changing exchange rates, hidden fees, and so many different currency conversion options, it’s difficult to know how to really get the best value for money. With that in mind, let’s take a look at some top tips for changing your money abroad.Money Exchange can be expensive while traveling, but there are a few things you can do to save money. Here are my top 5 tips.
5 Tips To Save on Money Exchange Abroad
Limit Your ATM Uses
Despite the fact that ATMs will give you the best rates, they do come with one major caveat: fees. Every time you use your card at an international ATM, it’s likely that you’ll be charged a small fee. There are some cards that offer low fees or no fees at all, but most of them will charge you. To off-set these fees and get the best value, it’s sensible to make just a few big withdrawals while abroad, rather than lots of little ones.
Use A Debit Card
In general, while credit cards can be good for bigger purchases, using debit cards is the best option most of the time. You can use them to withdraw money from ATMs, as well as paying for things directly. A good method is to make use of online AUD to USD currency exchange transfers, check for the best rates and essentially top up your debit card with foreign currency and then use it in the same way you would use a credit card, but without having to worry about any additional fees.
Don’t Be Fooled By The Stores
Currency exchange rate stores often seem quite appealing and use clever terms to lure people in. They often claim to be ‘no fee’ locations, but the fact that you’re not paying fees doesn’t necessarily mean you’re getting a better deal. In actual fact, many of these locations offer very bad exchange rates, and you’d be better off at an ATM, even with the card fees.
When To Use Credit Cards
If you’re wondering when is the best time to use your credit card while traveling internationally, the best option is to save these cards for big purchases. Many credit cards will charge a fee of up to 3% for each purchase, but if you’re buying something big and expensive, using a credit card is usually the safest and smartest way due to the way that the credit cards work.
Always Pay In The Local Currency
Sometimes, you might find yourself in a store where they’ll offer you “dynamic currency conversion”, which is a term that effectively means giving you the option to pay in your own currency rather than the native one. You should always refuse this option. This kind of conversion usually comes with poor conversion rates and the possibility of hidden fees that can add on up to 10% of the total purchase cost.
Getting money changed abroad can seem quite overwhelming, especially to inexperienced travelers or people heading to a whole new destination they’ve never visited before, but by following these simple tips, you can be sure of getting your money changed over easily and efficiently.