You’ve trawled the web for the best airfare, tracked down accommodation that won’t break the bank or give you bed bugs, and spent months being thrifty. It would seem you’re right on top of all things financial for your trip abroad – but have you considered how you’ll access your money overseas?
By Chloe Schneider
One of the best ways to access cash is a prepaid currency card like Travelex Cash Passport or Commonwealth Bank’s Travel Money Card. These can be purchased online and offer you an easy way to access your cash with limited fees involved.
The Commonwealth card is one of the best options, you only need to pay the a $15 issue fee and your first load is free. From there there are no currency transfer or purchase transaction fees and you’ll only be charged 1% of whatever you reload on to the card via Bpay. There are some withdrawal and balance enquiry fees but, given the convenience, they are nominal.
One of the advantages of this sort of card is that you can secure the exchange rate when you load your card so, if you play your cards right, the Aussie dollar will do you well. It also allows you to monitor your balance anywhere and topping up is easy on Bpay.
You’re also issued a back-up card in case your primary card is damaged, lost, or stolen and there is 24/7 support if you suspect your card has been stolen.
Although travellers cheques are one of the safest options, and likely the one most people feel familiar with, they are far from the most convenient and likely set to go out with fax machines in the coming years.
In saying that, they can be a useful backup if you’re going away for a long time, particularly if you’re going off the beaten track.
You can now order travellers cheques online at the Australia Post website and there is $0 commission on them, making them one of the better options when it comes to saving money.
Carrying wads of cash is never advisable but it is a good idea to get enough cash to cover you for the first 24 – 48 hours of your trip just in case you have problems locating an ATM.
If you’re going to a major international airport, it’s highly likely you’ll find ATMs and change counters where you can get local currency at a better rate than you would have in Australia so change as little as you feel comfortable with before you depart.
ATMs are just about everywhere now, and by far the most convenient and secure way to access funds is by using your normal debit card overseas. You’ll need to ensure your card can be used internationally (check with your bank) and let your bank know about your travel plans to avoid having your account frozen.
Remember using your debit card can leave you at risk of coming home to some pretty serious cash advance and foreign currency conversion feeds if you’re not careful.
Credit cards are the best option for big-ticket items such as airline tickets and hotel bills and there are a few out there that do not charge foreign transaction fees. However, cash advances can be incredibly costly and if you’re not prepared to pay your credit card back as soon as you’re home, you could be hit with high interest.
Shop around to find the best credit and debit card options for accessing money abroad.
As the world gets smaller, banks are giving travellers better options for accessing their cash while overseas. It’s all about doing your research and finding the best combination of security, support, and fees.
