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News4 Ways to Access Money Abroad
4 Ways to Access Money Abroad

4 Ways to Access Money Abroad

Tags: Travel
Last updated by The FiftyUp Team on

When traveling overseas, there are a multitude of ways to bring money with you, but what’s the easiest way to access your funds when needed?

Do you need to carry cash? A travel card? A debit card?

CASH

You can either exchange your cash before you leave with a bank or when you arrive to your destination.

The pro of doing this advance is that you have cash on hand when you arrive. It is usually cheaper than exchanging at a money at the airport too.

The con of doing this is that if you carry all of your cash and it’s stolen, there’s no way way of getting it back.

Travel Tip: Carry a small amount of cash with you and just like we suggest about energy, shop around for a good exchange rate.

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PREPAID TRAVEL MONEY CARDS

Your bank may offer a prepaid travel card just like the AUSPost does and these cards allow you to travel with “cash” in the currency of your destination.

The pro of using a prepaid card is that you can preload multiple currencies on the cards and usually top it up via a mobile phone. It is also safer than cash and great for emergencies.

The con is that there are sometimes currencies available are limited and big purchase items may put a pre-authorisation on your card, limiting your access to cash if needed.

Travel Tip: Find a card that will allow overseas ATM withdrawals for free.

DEBIT CARDS

Like at home, your debit card can be used overseas to withdraw cash at ATMs as long as you have money in your account.

The pro of using your debit car is that you don’t organise or exchange anything in advance. It’s your money and you will get day of exchange rates instead of what could be locked in with a prepaid travel card.

The con of using your debit card is that withdrawing money could be expensive with fees like foreign transaction fee, currency conversion fee, and so on.

Travel Tip: Familiarise yourself with your bank’s ATM network and don’t forget to notify your bank you are traveling abroad.

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CREDIT CARDS

A credit card is similar to your debit card and is just as easy to use.

The pro of using your credit card is that it is good for emergencies and some include travel insurance.

The cons of using your credit card is that if you splurge big you could be left with a shocking bill when you return home and similar to transaction fees on a debit card, it could get expensive withdrawing money.

Travel Tip: Call your credit card company and also notify them you are traveling abroad so they don’t think it is fraudulent charges.

 

What's your favourite tip for accessing cash abroad? Leave a comment below.

 

Any advice contained in this article is general in nature and does not take account of your particular objectives, personal circumstances or needs. If in dount about your own situatioin you should seek appropriate advice.

Originally posted on .

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George
George from NSW commented:

Sydney Airport is HUGE 'Rip-Off' for Money changing. Just been to HK. They were offering 4.61 for A$ into HK $s. "Forget It"..I got 5.23 in HK. Same on return. they wanted 7.3 for HK into OZ, when the proper rate was about 5.8... Lesson NEVER change money at OZ Airports. Like all OZ Banks, they are "RIP OFF" merchants 

Someone
Someone from NSW replied to George:

Yes George, I have found that also when I went to Thailand and Singapore. Australian airports exchange will rip you off 

Robert
Robert from NSW commented:

Firstly, I have a 28Deg mastercard, it always offers the best exchange rates on the day with NO exchange rate fees. I have a limit of $3K on it and it is NOT linked to any bank account so that minimises the risk if it is hacked or stolen. It is also great for internet use for the same reasons. I also watch the $US rate and when it is really good, I get a couple of thousand and keep it in a safety deposit box. Almost everywhere we travel, $US is acceptable and usually I find the rates mean I make a profit by planning ahead even if I could have used $A. Note that if you cruise, it is worth knowing what is the onboard currency. If it is $US, take some with you and pay the bill in cash the night before you disembark. I guarantee the ship's exchange rate on a card payment will be very much worse than what you paid in Australia. If it is $A on board, check whether there are any fees on Debit cards vis Credit cards. Some ships don't have fees for Debit cards and saving a couple of percent on your bill is often worth while. Oh, and don't forget to use RFID sleeves/protection on everything. Finally, particularly if you are going to pay cash on the last day, be aware that cruise lines often put a hold on your nominated credit card at the rate of $US60 per person per day, that can quickly wipe out your available credit so always set up your shipboard account with a card you won't be using while travelling and when you pay cash on the last day, switch your card payments, if any, to your 28 Deg card so you cunningly have the full balance available while travelling but get the best rate for that final bill. 

Merilyn
Merilyn from NSW replied to Robert:

I agree with you that the 28 degree MasterCard is the best one for o’seas. You have some good tips also. The only thing I would add is to ensure the USD is new and pristine- no rips (even tiny ones), no tears, no dirty marks, no stamps & the latest possible issue. Most countries outside the US will only accept “clean” notes, especially Asian, Middle East, African & Eastern Block countries. 

Someone
Someone from NSW replied to Robert:

I agree with Robert. I used 28 degrees last year and saved about $400 against other cards. Watching the USD exchange rate is also a good idea as almost everywhere you go USD cash is acceptable 

Gertraud
Gertraud from ACT commented:

My advice is to leave the AUSPost prepaid travel card well alone! I lost 60 Euro (around $A100) when I didn't withdraw the money after returning home. Never again! The ANZ bank offers a prepaid travel card and your money stays there until it is used - even if it takes a few years. When I travel overseas (Europe mainly), I take my credit and debit cards with me. In my experience some places don't accept credit cards, others won't accept foreign debit cards, some don't accept either. I also take some foreign currency with me to cover initial expenses upon arrival and I draw on my accounts at ATMs and bank branches. As for travel insurance, I do utilise the free travel insurance offered by my credit card by using it to book my trips. As to notifying your bank, it is absolutely essential unless you want to find yourself overseas and have no access to money. 

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