Jasz
VIP Contributor
Have you ever been to a foreign country, unsure of whether or not to exchange your currency before you leave? We would let you make your decision after reading this. In most cases, it's best to exchange your money into the local currency before you depart for a foreign destination, for these reasons.
First, saving foreign currency rather than saving your own local currency can present a security risk. If you're carrying around money from a different country after returning from your trip, you have to be especially careful about keeping it safe—that means no leaving it lying around in public spaces and no carrying more than you need with you at all times. So if your house is robbed or you get mugged, there's more at stake than just the cash in your wallet.
Second, there are often fees associated with exchanging money back into your home currency once you've returned from a trip abroad. That means if you hold on to that money until you need it later down the road, you'll end up paying extra fees every time—and those fees will eat into the actual value of the money itself. That could end up being several hundred dollars per transaction!
So what should we do?Should we still exchange before departure and avoid all these or are there other advantages?.
First, saving foreign currency rather than saving your own local currency can present a security risk. If you're carrying around money from a different country after returning from your trip, you have to be especially careful about keeping it safe—that means no leaving it lying around in public spaces and no carrying more than you need with you at all times. So if your house is robbed or you get mugged, there's more at stake than just the cash in your wallet.
Second, there are often fees associated with exchanging money back into your home currency once you've returned from a trip abroad. That means if you hold on to that money until you need it later down the road, you'll end up paying extra fees every time—and those fees will eat into the actual value of the money itself. That could end up being several hundred dollars per transaction!
So what should we do?Should we still exchange before departure and avoid all these or are there other advantages?.