It is advisable to always learn a bit about the culture, geography and local habits of the people before visiting a place. Get a hang of the currency conversion so that you don’t blow up all your money on shopping thinking it’s cheap.
Dress locally to not attract unwanted attention to your tourist status. And most importantly while paying using cards always go for the local currency.
Whenever you use your card, be it credit or debit or travel card, you will be asked by the shopkeeper which currency you would like to enable your transaction in. The answer is always the local currency.
It saves you a lot of money on unwanted conversion fees. Here’s a detailed look into what goes on behind the scenes when you swipe your card in a foreign country.
The base currency on your credit/debit card is Indian rupees. A base currency is what your default currency is. If you were to swipe your card in Thailand and opt to enable the spend in dollars the conversion that would happen would be Indian rupees to US dollars to Thai Baht.
The downside of this is that firstly your money is subjected to two conversions which is an amazing waste of money. Secondly, this conversion would be enabled by the local bank provider of the machine operator.
This Bank will not only give you a terrible rate but also charge an additional 1% fees over the top. Please don’t flush your money so unceremoniously down the card machine.
If on the other hand you were to opt to pay in the local currency then your rupees would be converted to Thai Baht via the Visa or MasterCard network and usually, you get a pretty good rate with the network.
In the case of travel cards, the local currency is already loaded on it. So it’s a no-brainer that you will be charged no extra fee for paying in the local currency. No unnecessary conversion required.
The best way to carry currency abroad would be by a travel card as you load all your money in the local currency at one go on to the card. A credit card charges you transaction fee as high as 3-5% of the amount transacted on every spend. With Fxkart.com you get the guaranteed best rate in town, so load up on those travel card with Fxkart’s market-beating rates!
Save money on your travel abroad and may Lakshmi bless your travels this festive season!
A very happy Diwali to you from team Fxkart!