The world has resumed its normal hustle and bustle after a long time. Holiday bookings have increased so much. The increase in foreign travel demands can be attributed to the previous lockdown measures. Once the lockdown was lifted, many people were eager to explore the world again. They want to experience the thrill of going on a vacation. The only thing that may dampen their spirits is how much they will spend on their vacation. It’s normal for people to be worried about currency exchange and extra charges in a foreign country.
If you’re not careful in a foreign country, you might end up paying more than you budgeted for.
To minimise your international spending costs on your foreign trips, ACE Holdings have compiled some useful tips for you. Ace Holdings is a financial firm that offers a range of financial services to its clients. The Malaysian firm has many financial branches like the Ace market and Ace Group.
Money-Saving Tips On Your Foreign Trip
Withdraw Money At Home Before You Travel:
Withdraw some money from the ATM before you travel. Check your nearest local bank to see if you can withdraw foreign currency. Or you may patronise the nearest foreign currency agency in your home country. Your bank or the agency will let you purchase the international currency. You can either go to the bank to collect the money or opt for home delivery services. The time you will receive the money from the bank depends on your financial institution and the currency type. It also depends on the distance between your residential area and the bank. The rate of demand for the foreign currency may also affect the speed of delivery of the currency to you. That is, the higher the demand for the currency, the faster the delivery rate.
Furthermore, make a plan beforehand to get the money from your local bank once you’ve confirmed your journey. Do not wait until your departure date is near.
There is an advantage to getting foreign currencies from your local bank in your home country. The currencies are genuine and not fake. You will also get the right exchange rate. As a licensed financial institution, your bank cannot charge more than normal because it would be illegal.
Don’t exchange money at a random place or in heavy tourist areas:
In foreign countries, some people prey on unsuspecting foreigners. You might see some shops that claim that they offer the cheapest exchange rate. Don’t be deceived, otherwise, you might end up being scammed. In addition, avoid exchanging your money at heavy tourist spots. They know that many foreigners would like to exchange money to buy things. So they set up shops around high tourist areas and their rates are higher than other places.
Don’t exchange money inside the airport:
Many airports boast of exchange shops or counters for people that are traveling. No matter how tempting it looks, avoid these shops or counters. It may look convenient to you, but their currency rates are higher than normal. If you exchange your money there, you might end up with less money in your hands. Moreover, they might even ask you to pay additional charges.
It is alright if you desperately need to change money at the airport, otherwise, avoid them.
Be Careful Of International Transaction Charges:
It is okay to try and save the international cash you have at hand by using your bank card. However, using your bank card to make payments in a foreign country attracts extra charges. These charges are calculated based on your card type and the financial institution you use. How can you prevent this? Ask your bank about their international purchase policies and charges of that particular country you’re travelling to. This way, you may avoid buying some things that have high extra charges. Also, check for the extra charges every time you purchase an item in a foreign country.
Check if your bank has a branch in the foreign country:
It might be possible that your bank has a bank in the foreign country you’ve travelled to. Ask your bank in your home if they have an international branch before you travel. If your bank has a branch in a foreign country, withdraw money from the bank. It will save you from paying high additional charges on international transactions. This doesn’t mean that you won’t have to pay some money for withdrawing from an international branch. But it will be cheaper than exchanging money inside the airport.
Foreign currencies do not have a stable rate. The currency may fall today and rise tomorrow. It is better to prepare for any possible changes that may occur. You can be in a tricky situation if the foreign currency is lower than your local currency. You might feel that everything is cheap in such a situation and buy anything you see. At the end of the day, when you convert what you’ve spent to your currency, you may have overspent. So spend wisely even if the foreign currency is lower than your local currency.
Ensure you follow these money-saving tips from ACE Holdings and enjoy your vacation.