We recently explored the obvious and not-so-obvious merits of carrying cash while traveling.
But how and when do you obtain that foreign currency? Should you acquire it at your destination, or plan ahead and bring some with you?
As a currency exchange, we’re very aware of the key reasons travelers purchase foreign currency in advance. However, many of these reasons are little known to the general public, despite their potential to offer greater peace of mind when venturing into the unknown.
This article aims to change that. Here are six key reasons most travelers benefit from obtaining foreign currency before they travel.
1. The airport problem: Let’s begin with the most well-known reason to bring foreign currency with you: airport kiosks. These exchange desks are notoriously brutal when it comes to exchange rates.
Due to their monopoly-like power — and the need to justify their prime real estate — these services charge fees of 8% or more as a rule. It’s an easy mistake for inexperienced (and exhausted) travelers to make. Don’t be one of them.
2. Tourist trap ATMs: You decide not to withdraw money at the airport, and aim to use the first ATM you can find at your destination. But where do you go?
Unfortunately, the first (and sometimes only) nearby ATM a traveler is likely to find is a tourist trap ATM. These ATMs — run by private companies like Euronet — are scattered across tourist destinations in Europe and elsewhere. In addition to their unusually high ATM fees, they also apply extortion-level conversions that run well over 10% or even 20% in markups. Worst of all, these ATMs are intentionally designed to be misleading, nudging unsuspecting travelers into a highly disadvantageous transaction.
Nobody wants to spend valuable vacation time navigating deceptive ATMs and crunching conversion rates. Sadly, in many popular tourist destinations, these ATMs are the only option.
3. ATM scams: In addition to the exploitative practices of private ATM companies, there are also countless outright scams involving ATMs. These range from shoulder-surfers reading your PIN, to skimming devices that copy or steal your card, or even entire fake ATM machines.
Sadly, these scams remain common around the world. We’ll let you be the judge of the risks based on where and when you’re traveling, but it’s best to go in with eyes wide open so you can evaluate every situation accordingly.
4. Unpredictable emergencies: As we recently discovered ourselves during the nationwide blackouts of Portugal and Spain, a large-scale power outage is no time to be hunting for an ATM. In fact, during a serious blackout, ATMs are often out of service entirely. Disruptions like these are impossible to predict, but you can easily prepare for them by already carrying ample cash.
5. The challenge with local banks: Perhaps you’re worried enough about ATMs that you decide to try a local bank.
As reasonable as that might sound, you are likely out of luck: most foreign banks require you to be a member to exchange money, and most American banks don’t have a major retail presence abroad.
If you are lucky enough to find a legitimate bank willing to exchange dollars into local currency — and speak enough of the local language to conduct a transaction — just be sure you brought your passport with you.
6. The value of vacation time: Is obtaining currency prior to your trip a minor pain? Sure. But where would you rather burn time tracking down cash: during a free moment of your day-to-day life, or in the middle of your vacation?
Vacations tend to fall into one of two categories: tightly scheduled affairs, or relaxed getaways of intentionally unscheduled time. In our experience, hunting down a reputable ATM is a poor fit for either one.
Where to Get Foreign Currency Before Your Trip
If you’re sold on getting foreign currency before your trip, the obvious next question is where.
Some US banks may be able to exchange the currency you need at a great rate, but many simply don’t carry a wide array of foreign currencies. Or perhaps they can get you the currency you need, but not in time before your trip.
That’s where we come in: with our 60+ currency options from the dinar to the euro, there’s virtually no currency we can’t send straight to your door, fast, at reasonable rates.
If you’re in a hurry before your trip — and who isn’t? — Getting your currency with us could save you precious time.
Preparation Is Peace of Mind
Every trip is different. The purpose of this article isn’t to argue that all travelers always need to obtain currency in advance, let alone place an order through us.
Instead, our goal is to point out the obvious: that most travelers benefit from acquiring foreign currency ahead of their trip, and many travelers won’t have a banking solution to obtain the currency they need in the timeframe they need it.
If you’re traveling to a foreign country you’re unfamiliar with, have never visited, and whose language you don’t speak, you can do better than rolling the dice on finding a reputable local ATM upon arrival.
Getting currency in advance is an easy way to gain a bit more peace of mind before a trip. For many travelers, that’s going to be worth it.
