Travel Advice

Save Money Abroad with a Currency Card: Your Ultimate Guide

Planning a trip abroad and wondering how to manage your spending efficiently? Look no further! Whether you're going on a thrilling ski adventure or a short city break, having a currency card can be the ultimate money-saving trick. In this guide, we'll explore how you can make the most of your travels while avoiding unnecessary fees and charges.

Why Choose a Currency Card for Your Travels?

When it comes to spending money overseas, a currency card reigns supreme. Unlike traditional debit or credit cards, a currency card offers the advantage of fee-free spending abroad. Say goodbye to confusing charges and unexpected fees. Travel smart with a reliable currency card like Caxton, your key to cost-effective spending while traveling. It's even possible to get a currency card with 0% FX cost – a terrific saving if you’re planning a fair amount of travel or spend abroad.

Understanding the Pitfalls of Debit and Credit Cards Abroad

Using your regular debit or credit cards overseas can lead to hefty charges that might catch you off guard. While your debit card may be free to use within the UK, using it outside the country can result in non-sterling charges of around 2.75% to 2.99%, along with additional £1.50 to £2.00 fees per cash withdrawal. For credit card users, the situation is no better, with non-sterling charges and even higher ATM cash withdrawal fees, reaching up to 5%. Save yourself from these expenses by opting for a multi-currency card like Caxton's prepaid travel card, offering fee-free spending and generous cash withdrawal limits.

The Crucial Choice: Paying in GBP or Local Currency

One common but costly trick to be cautious of when making purchases or withdrawing money abroad is Dynamic Currency Conversion (DCC). At restaurants or ATMs, you might be asked if you want to pay in British Pounds (GBP) instead of the local currency. While this may seem convenient, it's best to always choose the local currency option. When you pay in the local currency using your travel card or other cards, you'll receive the standard exchange rate set by MasterCard or Visa. On the other hand, opting for GBP may subject you to the retailer's or ATM provider's less favourable local exchange rate, leading to additional charges of 5% to 7%. Don't let DCC spoil your budget; always pay in the local currency and keep more money for your holiday treats.

Cutting Holiday Spending Costs with a Currency Card

To avoid unnecessary currency conversion fees and enjoy more competitive exchange rates, using a Caxton currency card loaded with the local currency is the simplest and smartest solution. Moreover, having a pre-loadable travel card allows you to set a budget before your trip and keep better track of your expenses while enjoying your vacation to the fullest.

With a currency card in your travel arsenal, you can confidently explore the world while saving money on fees and charges. Say goodbye to expensive surprises and hello to stress-free spending abroad. Invest in a reliable currency card like Caxton to make the most of your travel adventures and indulge in holiday treats without worrying about hefty commission charges. Start your journey to smarter spending today!

Travel With Caxton

Heading on holiday soon? Make sure that you’re getting the best rates and fee-free spending abroad by using your Caxton currency card. Apply for yours today, or top up your existing card.

For more tips and tricks when you're abroad check out the Caxton Travel Money Blog: where you can find our travel advice, travel inspiration or our travel money guides so you can enjoy the best holiday for less. If you're going abroad this summer then have a look over our Summer Essential Checklist before you leave.