How to exchange money for foreign currency when traveling abroad? What should you pay attention to when exchanging money?

When we travel abroad, we often encounter situations of exchanging foreign currency. However, we don’t know much about it, and sometimes we get into trouble or even get cheated, resulting in a lack of travel funds.

Then next, the editor will recommend some tips for exchanging foreign currency that you need to pay attention to when traveling abroad.

1. If you can exchange it at a domestic bank, don’t go out to exchange it

Remember the first principle of foreign currency exchange: If you can exchange it at a domestic bank, exchange it in advance.

Because the exchange rate is the most cost-effective when exchanging foreign currency at domestic banks! When exchanging foreign currency at domestic and foreign airports, exchange points, or ATM machines, there will be an exchange rate difference to some extent! So check the exchange rate of the day. , exchange it at the bank in advance before traveling.

2. Do not exchange too much foreign currency

Travel consumption is mainly based on credit cards. Credit cards are settled based on the exchange rate of the day, so it is more cost-effective. Cash is mainly used to pay for small expenses such as transportation and snacks. Therefore, when exchanging foreign currency, do not exchange too much at once. The key is that it is not safe to carry too much money with you if you are not familiar with the place. And if the foreign currency exchanged is not used up, exchanging it back to RMB after returning to the country will cause a certain exchange rate loss.

It is worth mentioning that China Customs stipulates that each person can carry no more than 20,000 yuan or the equivalent of 5,000 US dollars in foreign currency out of the country. If the limit is exceeded, it must be declared to Chinese Customs before leaving the country.

3. It is most appropriate to exchange one or two weeks in advance

Select the appropriate exchange time according to the rising and falling exchange rate trends of the foreign currency you are exchanging, so do not exchange long in advance. It is most appropriate to redeem within one or two weeks. Be sure not to exchange money one or two days in advance, because many banks require an appointment in advance to exchange foreign currency, and it may not be available on the day you go.

4. The U.S. dollar is used as a transit currency for small currencies

If you want to exchange small currencies, such as Vietnamese dong, kyat and other Southeast Asian currencies, you cannot directly exchange them in domestic banks. exchange. At this time, you can first convert RMB into U.S. dollars, and then go to the local area to exchange U.S. dollars into local currency. In addition, the interest rate is more favorable when exchanging U.S. dollars domestically than when exchanging U.S. dollars abroad.

Tip 5: Spending with a credit card can reduce handling fees

Before exchanging currency, you should first ask whether there are any handling fees. If so, you can choose to swipe your card for consumption. Some banks charge no fees for swiping cards or withdrawing money overseas.

Currently, many banks have launched dual-currency credit cards in RMB and US dollars for outbound travel. When traveling to a non-US dollar settlement country, the card will be settled in the local currency, and it will be displayed on the credit card repayment slip. Keep accounts in U.S. dollars. After returning home, you can use U.S. dollars or go to the bank where you opened your account to exchange RMB to repay the bill.

Common Q&A on Currency Exchange

5. Which domestic banks can exchange foreign currencies?

(1) Currently there are four major domestic banks: Bank of China, Agricultural Bank of China, ICBC, and China Construction Bank You can exchange foreign currencies. Other banks such as China Merchants Bank, Bank of Communications, etc. can also handle it.

(2) Bank of China can exchange the most currencies, including: euro, pound, Hong Kong dollar, US dollar, Swiss franc, Singapore dollar, Swedish krona, Danish krone, Norwegian krone, Japanese yen, Canadian dollar, 17 currencies including Australian dollar, Macau pataca dollar, Philippine peso, Thai baht, New Zealand dollar, Korean won, etc.

(3)

The procedures for foreign currency exchange are not complicated. After making an appointment, you only need to present your valid ID, fill in relevant documents, and hand over cash. Not all bank business offices can handle foreign currency exchange business. In some cities, only specific business offices can exchange foreign currency, so you need to call in advance to inquire.

6. Where can I exchange foreign currency abroad?

If you don’t have time to exchange it at home, you can only choose to exchange it abroad. Foreign airports, hotels, foreign currency exchange offices, banks, and some teller machines can exchange or withdraw local currency, but the exchange rates vary greatly.

(1) Foreign currency exchange points

Generally located in downtown streets, shopping malls and bustling areas, it is very convenient to exchange money. However, the exchange rates of various stores are not the same. If you have enough time, it is recommended to ask several stores and choose the best exchange.

(2)ATM

The handling fee for withdrawing cash at an ATM will not be too high. So if the exchange rate at the exchange point is too low, you can choose to withdraw cash from an ATM. It is best to estimate and take enough in one go, rather than dividing it too many times.

(3) Airports and hotels

The exchange rates at airports and hotels are very low, and high handling fees may be charged. It is not recommended to exchange here. If you really have to make an emergency exchange here, try to visit the airport as often as possible. Often the less conspicuous currency exchange window in the corner will be more favorable, so remember to shop around.

(4) Try to avoid exchanging money with the group tour guide or ground pick-up leader. The experience of many people has proved that most of this is a trap.