Travelling with a credit card makes your trips more convenient and worry-free. It’s easy to carry, saves space, and offers enhanced security compared to cash. But there are moments when having cash on hand is essential, and using a foreign ATM to withdraw money when needed is a simple and efficient solution.
Watch for Fees and Exchange Rates
If you love travel, using travel credit cards is a great option, thanks to their rewards and other benefits. When deciding which travel credit card is right for you, make sure to research the fee details for different cards. Consider the one that offers the lowest foreign transaction rates and cash advance fees. When using an ATM overseas to withdraw cash, you may wind up paying both, so it makes sense to compare the rates.
Additionally, take the time to research exchange rates, withdrawal limits, and any other important terms and conditions. Knowing this information in advance can save you from unexpected charges when you get your statement upon returning home.
Tips for Withdrawing Money
Ideally, you’ll limit the amount of cash you must withdraw at foreign ATMs, but sometimes you find yourself in situations where you need cash. In those scenarios, try to find an ATM within your banking network, as they will usually have lower fees. Networked ATMs may be found by looking for a symbol on the back of your card, which indicates what network your issuer is part of. If you have internet access, you can also look online to determine your network.
Keep your safety and security in mind. If possible, use ATMs that are inside a bank or financial institution, in view of security cameras. If you’re travelling with others, have other members of your travel group go to the ATM with you, and do the same for them.
Also, only withdraw the amount you need, and can afford to lose. While there may be fees associated with withdrawing cash, those will still likely be less than what you would lose if you withdrew hundreds of dollars, just to have it stolen. You can always find another ATM if needed.
Where Possible, Use Your Credit Card
The Government of Canada website recommends using a travel credit card for all major purchases (including flights, hotel costs, and restaurant tabs), and to use your card wherever possible, as the exchange rates and fees are often lower than exchanging cash. Using your card can guarantee reservations, and it costs less in terms of exchange rates and fees than withdrawing cash. If someone steals your travel credit card, you can have it cancelled in minutes at no cost to you.
Travel with Confidence
When using a foreign ATM, find a financial institution in network when possible, only withdraw the amount you need, and be cautious of your surroundings. The old adage is the true: its better to be safe than sorry. While planning for an overseas trip might seem complex, a little research and preparation can ensure you and your money stay safe. With this peace of mind, your journey will be much more enjoyable and stress-free, and you can focus on the adventure.
