If you have a holiday lined up, at some point you’ll find yourself asking: When is the best time to exchange money? It’s always a bit of a hit and miss when it comes to deciding when to do it.
Do I exchange when I see the rate at it’s highest? In my home country? At the airport? Or when I arrive?
Exchange a small amount at home
Before you leave, the best thing to do is exchange a maximum of $100 AUD to start you off.
Then when you arrive at your destination, exchange as much as you need at a local exchange shop. The rate is usually better on the other side.
Take your home currency with you
To avoid Eftpos transaction fees, the best thing to do is take an amount with you and exchange when you arrive. Don’t exchange at the airport – wait until you can find a currency exchange shop nearby where you are staying or at the shops. You will get a far better rate than what the airport will offer.
TIP: Check that the money they give you in exchange is the correct currency! There are reports that some foreigners are left with other currencies mixed in between notes that are worthless.
Use a travellers card
This is a must – if you want to avoid all those extra international banking fees. For example, in Thailand Eftpos machines charge a withdrawal fee of 150-280 BAHT.
This doesn’t include your own banks transaction charges! Slowly but surely, it all adds up.
If you are reliant on withdrawing money, I would recommend planning out how much you think you will need over a period of time, and withdraw a large amount. Remember not to keep all of this money in one place – there’s nothing worse than losing a wallet full of cash.
Images via spiegel, pinterest
This information is based on my own experiences when travelling in Asia.