2023-06-02 11:11:46
Tips for traveling abroad with your bank
Bank card: before leaving, it is important to check a few things.
Check that your card is international
Make sure your card is international and accepted in the destination country. Also check its expiration date.
Check your bank account
Make sure your Bank account is sufficiently stocked to avoid unpleasant surprises. For a longer trip or to a distant country, check your credit card’s withdrawal and payment options. If necessary, tell your bank adviser about your trip and ask them to help you.
Find out about bank charges
Find out about the fees associated with payments and cash withdrawals made with your bank card.
Foreign bank withdrawal fees
Bank charges depend on your destination.
Bank charges in Europe
If you are in the euro zone, your card will work as in France. You will not pay any fees if you comply with the terms of use of your card. However, if your bank does not have a branch in the country visited, you will have to take into account the number of free withdrawals outside the distributors of your banking network.
Payment charges outside the euro zone
The additional fees for withdrawals and purchases made with the card depend on the banks and the type of card (standard, premium, high-end). These fees can be a fixed commission on the amount of the withdrawal or purchase, or a proportional commission in % of the amount.
On average, a withdrawal can cost between €3 and €3.50, with an additional commission of 2.50% of the amount withdrawn. For payment by card, the cost can be a flat rate of €0 to €1.20, with an additional commission of 2.50% of the amount paid.
How to pay abroad: by card or cash?
It is best to pay by credit card, using contactless if possible. It’s cheaper than paying cash. If you need to withdraw money, withdraw a large sum, such as €1,500, rather than withdrawing three times €500.
However, when you pay with your bank card in a foreign currency, the foreign bank takes a commission in addition to your bank’s fees.
Currency exchange: when to change your currency to travel?
To travel outside the euro zone, a question often arises: do you have to change your currency in a currency exchange office before leaving or on the spot?
Change currency before departure
There are two major advantages to changing money before you travel. The first is to ease your mind by not looking for an exchange office at the airport. Depending on arrival time, the office might be closed. In addition, you can immediately deal with the first costs (taxi, bus ticket, metro, etc.) without wasting time.
The second advantage is to save money. Indeed, exchange offices located in airports rarely practice the best exchange rates. However, it is advisable to change only the amount necessary to cover the costs of the first days of travel (unless you do not wish to make the change on the spot). This avoids the risk of loss or theft of a large sum of money.
Where to change money in France to get the best conditions?
At an exchange office or a bank
If you are lucky enough to have an exchange office in the city center near you, you can often benefit from better conditions than at the bank. Indeed, changing money in a bank takes several days and is often not advantageous for the customer, who suffers a discount compared to market rates to remunerate the bank. In addition, some banks add currency exchange fees and sometimes ticket buying/selling fees.
Each exchange office applies a different commission on currency conversions to compensate itself, which makes it mark up the exchange rate slightly to your detriment compared to the market rate. It is therefore important to compare well.
Compare exchange rates online
Sites such as bureau-change.fr or cochange.com can help you compare offers from different online money changers, allowing you to choose what best suits your interests. Some exchange offices also offer their services online and can send your currencies to you securely if you cannot pick them up.
Exchange money abroad
To avoid an unfavorable rate, avoid the airport currency exchange office as much as possible. If you need to change money at the airport, only change the amount needed for your first charge.
Compare exchange rates in town
When you are in town, you can compare the exchange rates offered by banks and exchange offices. The daily exchange rate is usually displayed in the establishment.
Withdraw money from an ATM abroad
You can also withdraw money from an ATM (DAB in France, ATM for Anglo-Saxons). However, exchange fees may be added to the fees levied by the bank to which the distributor belongs, in addition to the fees levied by your own bank.
Online banks (neo-banks) generally charge low fees on card payments abroad and charge low fees on withdrawals. If you often travel outside the Eurozone, it may be a good idea to have a second card from one of these banks (Revolut, Wise, Fortuneo…) to reduce or eliminate the charges.
1685713479
#credit #card #payments