Travelling? Need to Plan Travel Money? Use your Forex Card!
One of the main concerns of traveller while travelling abroad is Cash. How to plan money requirements? What ratio should be cash vs cards? What Card should be used, a debit or a credit? Are few question based dilemmas that every travel enthusiast goes through.
But worry no more, as we have you covered!
The first step is to Plan your cash needs. How much money you think you need to cover all your expenses, this includes everything from shopping to eatables and the best part is that with Indian rupee surging against US dollar, Euro and other currencies in the past few months, you get more purchasing power while travelling abroad.
Now the question is what way is the best way to use this money? A debit or credit card swipe? Or using cash? Considering there are high risk of frauds when it comes to using cards and even getting charged high exchange rates, makes using cards not a very wise choice. Carrying too much cash on the other hand is risky as well.
The answer to the question is mixture, of Cash and forex card. Forex cards are prepaid debit cards that let you swipe, do ATM withdrawals and pay directly while travelling abroad. The best part of Forex Card is that it lets you fix your exchange rate and then it’s all about using it. The best practise is to carry 10% of your travel money in Cash and 90% of your travel money in Forex Card. One of the reasons why this is advised is that the practise is safe. In case you lose your card, the card cannot be used without the Pin.
One of the big mistakes travellers make is they leave currency exchange to last minute. Thinking they would get it converted at the Airport. But at that time you will never get the best deals. Consider the peak summer holiday season, the exchange counter operators know that you are in a dire need of exchange and so they will charge you a higher exchange rate. Thus, it is always better to plan well in advance and get the forex you need exchanged at authorised forex dealer someone like Paul Merchants and be travel ready.
However, one thing all travellers must know is that the rates for exchanging cash is somewhat higher than getting your forex card loaded. This is because during the rush peak summer holiday season the cash currency is limited, whereas loading a Forex Card is pure Banking Product and involves no cash. This means unlimited supply of forex through cards.
Ultimate Benefits of using Forex Cards by Paul Merchants
There are numerous benefits of using a Forex Card instead of Debit/Credit Card and even Cash!
- Exchange Rate:
The biggest advantage of using Forex Cards is the Exchange Rate. While getting currency loaded in Forex Card you know the exact exchange rate that you have agreed upon. Once the rate is decided it stays constant despite of any surge or fall in the market price. Whereas, if you use Credit or Debit card you get to know the conversion rate later, which mostly very high.
- Foreign Currency Mark-Up:
Credit and Debit cards come with a pre-decided Foreign Currency Mark-up fee that is charged upon using a rupee-denominated card for a non-rupee transaction. The currency charge ranges between 1-3.5%. Whereas, most forex cards are either dollar or euro denominated and, there is no such mark-up.
- Cash Withdrawals:
Forex Cards are handy and first choice when it comes to ATM cash withdrawals, as there is no charge applicable. Whereas, if we talk about Credit or Debit cards, a big foreign transaction fee for an ATM withdrawal amount is charged.
- Forex Volatility:
Another reason why Forex Cards are the best option is Forex Volatility. The economy goes up and sometimes comes crashing down, all these daily activities directly affect the foreign exchange and charges related to them every minute. In case of Debit/Credit and Cash this volatility can shake your budget
- Security:
Forex Card, Debit Card and Credit Cards are secure and safe when we compare with Cash. In case you lose your cash, it’s gone. In case of cards they are secured with Chip and Pin and thus cannot be used without Pin.
While considering other factors like Transaction cost, Forex Volatility and other factors the best choice for travellers to make is Forex Cards.
- Loading – Reloading Cards:
One of the best thing about Forex Card is that it comes with option of reloading. In case during travelling you are short on money, your relative, family member can get your card reloaded. But in case of Debit/Credit cards there is no reloading feature available.
So if you are planning your travel abroad this summer, don’t forget to plan your foreign exchange requirement well in advance and avoid any last minute and expensive deals. You know you can always rely on Paul Merchants for your Forex Services.