Pre-paid currency cards have been around for years but in this ever turbulent economy they have become an increasingly popular and effective way of managing your money abroad. For those who aren‚Äôt aware, a pre-paid currency card is as the name suggests, a card which you pre pay money onto in whichever currency you desire.
Most people would assume that a pre-paid card is the same as a credit or debit card but there are multiple benefits to using this type of card when travelling. One of the most obvious benefits to using this payment method is that it removes the need to have large amounts of cash on you or in your room. This not only makes travelling a lot safer but also means you never have to worry about not having enough money on you. Not only that, but unlike with credit or debit cards you won‚Äôt need to worry about incurring daily charges for taking out money abroad.
One of the biggest issues people face when travelling is losing their card or having it stolen. In this instance if you have a debit or credit card there isn‚Äôt much you can do as more often than not your bank will only be able to send a new card to your home address. However, with a pre-paid card you can simply have the card blocked and with some providers, a new card sent out to you. On top of this, pre-paid card providers will also provide cash for you until the situation has been resolved.
When you‚Äôre abroad, often you can forget how much money you are spending with the different currency exchange rates. With pre-paid cards you will have a set amount of money on the card meaning that budgeting is a lot easier and you know exactly how much you‚Äôre spending. Parents also often find that giving their children prepaid cards when they go abroad can be an effective way of teaching them money management and helping them to be responsible.
Another problem that most people face when taking out money abroad is the day to day varying exchange rates. Using a pre-paid card can make sure you are never caught short by a poor exchange rate as your money is converted into your desired currency using the exchange rate on the day of setting it up. This means that if you see that there is a good exchange rate months before you‚Äôre due to go away, you can take advantage of this by setting up your pre-paid card.
Pre-paid cards are great for people of all ages and with no credit checks involved they are the easiest card type to have set up. If you or a family member are going abroad, either travelling or simply for a holiday then you may want to look into pre-paid currency cards to ensure a safer and more relaxing trip.