Are you planning to go on a vacation out of the country but worried that your expenses might go overboard? If you are then that makes you one of the thousands who are worried about carrying cash, saving money while on vacation, and having to deal with travel money rates that catch you off guard. Most travelers who fail to manage their finances while on vacation often end up going over budget and are left to pay for their credit card bills.
The Traditional Solution to Changing Your Currency
There are a lot of choices that you can choose from when it comes to bringing changing currency. The traditional way is carrying cash. Having your money in your wallet might give you convenience, but you're also taking a risk as you never know what might happen. You may be pick-pocketed, lose your wallet, or even overspend. To be wise about carrying cash, it is safer to bring a small amount with you to spend on the little purchases that you make on the trip.
A lot of travelers often fall into making the mistake of changing currencies on airports; Travel money rates on airports are lower which makes it more expensive. Furthermore, commissions are charged by companies at almost 8% in general when converting currency.
Another option is your credit and debit cards. Using your credit card or debit card can be fast and handy, saving you the hassle of carrying a lot of money. But for the convenience, credit and debit card companies charge you high rates for foreign currency transactions (Credit card users are charged almost 3%).
Another popular choice is using the ATM, withdrawing your money through ATMs is convenient and it also allows you to spend within your limit. However, it does have some drawbacks. You will have to take your time in looking for ATMs to withdraw your cash, for a tourist in a foreign country this may be exhausting for you because you are not familiar with the area.
The Contemporary Advantage
The best method is the use of prepaid currency cards. It is by far the most secure and has lesser fees and minimal charges than credit cards but offers the same amount of convenience. You also don't have to worry about overspending as you get to monitor your expenses. The card also offers better exchange rates than buying cash and you won't have to deal with long lines at FOREX booths to have your money changed. If lost or stolen, the latest transaction could be cancelled and your remaining account could be transferred to another card within 24 hours.
How do I Save Money While on Holiday?
The answer is easy - by spending wisely and keeping track of the money that you are spending. If you want to think ahead of yourself and you want to do away with the trouble of auditing your cash every now and then, managing your finances and using a prepaid card to limit your expenses will go a long way in saving money. This way you won't have to deal with the high travel money rates in exchange centers.
Order your FairFX card today for much better value travel money on your next trip.
Friday 30 April 2010, 02:23pm
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