Have you already got your next overseas trip planned? Whether you are going on holiday for leisure or business purposes, one thing you need to carefully consider is your travel money. A lot of people simply go to the nearest travel money branch they can find before their journey. They exchange their currency, irrespective of the exchange rate. This is not an advisable approach to take. You could be on the receiving end of a really bad deal, which results in you actually losing money. This is even more so likely if you wait to exchange your cash until you get to the airport. Keeping that in mind, in this post we are going to provide you with further details on knowing your exchange rates and making your travel money go further. So, continue reading to find out some top tips all travellers need to know…
Understanding The Basics Regarding Exchange Rates
Before we can reveal all of the tips in regards to doing your research about exchange rates and travel money, it is imperative to explain how exchange rates work so you know what you are paying for. A currency’s value is determined by its comparison to another currency. So, let’s say you wish to exchange GBP for Euros and the GBP/EUR exchange rate is 1.3239. This means that you will get 1.3239 Euros for every British Pound. So, if you want to exchange £500 for your holiday you are going to receive 661.95 Euros in return. Now you know how the exchange rate works, read on to discover how knowing your exchange rates and what to look out for can help your money to go a lot further.
Travel Money Should Be An Immediate Concern, Not A Last Minute One
It may seem strange to book your holiday and then immediately think about exchanging your British Pounds. However, this is something that is certainly advisable. Of course, not everyone is going to be in a position where they can exchange their currency straight away, as you may need to save up for your spending money. Nevertheless, don’t merely put this to the back of your mind. Every week or two you should browse online to see the different exchange rates that are being offered by various companies. This will give you a good indication regarding the average rate. You will also get a good idea of what companies are most reliable in terms of value. This will stand you in much better stead when the time comes to acquire the travel money you need.
Choose A Travel Money Company With A Great Amount Of Care
This leads on perfectly to the next point, choosing your travel money company. You certainly should not go for the first company you lay your eyes on or the branch that is nearest to you. Instead, you need to assess their credentials carefully and of course, this means looking at their exchange rates. Compare them against other companies to make sure you are getting a good deal.
Set Up An Exchange Rate Alert
Some of the best travel money websites give you the opportunity to set up an exchange rate alert. What does this mean? Well, when the exchange rate hits a certain level that you have predetermined, then you will be notified of this. For example, you may set notification to inform you when the GBP/Euro exchange rate reaches 1.4. This will either be by text or email, depending on the company and your preferences. Thus, you can then exchange the money once you get the notification. This makes your life a lot easier, as it means you don’t have to do repeat searches every day to see if the exchange rate has changed.
Why Will You Lose Out If You Acquire Your Travel Money At The Airport?
If you want to make your money go further, you definitely should not exchange it at the airport. You are almost certain to suffer as a result of poor exchange rates and high commission charges. Why? Well, the travel money branch at the airport is going to be your last resort, and they know this. That is why they can get away with offering very little value. It is not as if you are going to have time to leave the airport and shop around for a better deal. They know you are going to be forced to take whatever they offer you, which is why it is highly unlikely that you will make your money go very far if you go down this route.
Original Rate Buy Back Guarantee
You don’t only need to think about the money you are going to be spending whilst you are on vacation, but what about when you get home? Often people come back with some of their holiday money left. After all, it is always better to take too much money rather than not enough. If you don’t think about this before you go, then you could end up losing a huge amount of money when you change your foreign currency back to British Pounds. Therefore, it is certainly worth looking for a company that offers an original rate buy back guarantee. This means that they promise to buy back your currency for the same rate you experienced in the first place.
Make Sure The Exchange Rate Is Secured When Buying Online
It is always a good idea to set up your purchase of foreign currency online. Most of the best travel money companies have a website where you can find out all of the information you need to know. They will reveal their exchange rates and you will be able to input your information, such as how much money you want to exchange and what currency you need. You will also set up the sale, i.e. select the branch you want to pick it up from and on what date you wish to collect it. Nevertheless, one extremely frustrating thing a lot of people experience is arriving at the travel branch to discover that the exchange rate has changed since they looked on the company’s website. The exchange rate is now a lot weaker than it was a few days ago and thus they miss out as a result. This can be highly disappointing. However, it can be avoided. You need to make sure you go for a company that allows you to secure the online exchange rate that is offered to you. This means that you will benefit from the rate you have been quoted online no matter what and thus you will not miss out.
Hopefully you now have a better understanding of why it is so important to know your exchange rates and what to look for when you are buying foreign currency. If you follow the tips that have been provided in this post, then you will definitely make your money go a lot further. Aside from this, you may also want to consider the various ways you carry your money as well. Instead of having all of your foreign currency in cash form you could opt for a pre-paid card too. This is definitely an option you should consider, as it is safer and more convenient.