A currency card is an alternative way of carrying money when travelling abroad. Currency cards were first launched in the UK back in 2006 and have been growing in popularity ever since. Although 95% of holidaymakers who buy their travel currency before their trip say that travel money is the main source of spending money whilst overseas, prepaid currency cards are becoming more common in wallets and purses. Research by First Rate estimates a 30% year on year growth in the usage of Sterling, Euro and US Dollar prepaid currency cards since 2006.
What is a prepaid currency card?
A prepaid currency card allows you to pre-load your travel money onto a card that can be used internationally at ATMs, in restaurants and in shops.
Currency’s available:
Most prepaid currency card issuers offer cards in Sterling, Euros and US Dollars. Travelex offer 7 different currency options.
Currencies available with Travelex Cash Passport:
Sterling
Euros
US Dollars
Australian Dollars
New Zealand Dollars
Canadian Dollars
South African Rand
What to do if travelling to a country without a currency card available in the appropriate currency?
If you like the idea of storing your travel money on a prepaid currency card but cannot find one for your holiday destination the solution is to load your travel money onto a prepaid currency card in sterling. Your balance will remain in pounds sterling on the card until you are ready to make a purchase or withdrawal from an ATM, at that point the funds being used will be converted into the appropriate currency.
You will find that most of the major currency card providers offer a sterling prepaid currency card, CaxtonFX offer the Global Traveller and card providers such as Freedom and White Eagle only offer cards in pounds sterling.
Why carry a sterling card?
You may question the point of carrying your currency in Sterling on a prepaid card abroad instead of simply converting your funds into travel money before you go away.
Here are the top 10 advantages for the Sterling currency cards:
1. Better foreign exchange rates offered.
2. Security – Chip and PIN on the card.
3. Ability to budget and not overspend.
4. Replacement of funds is card lost or stolen.
5. Globally accepted so can be used wherever you travel.
6. Great if your travelling to multiple countries, no need to carry multiple currencies.
7. No credit scoring.
8. Easily reloaded, online, by phone or text.
9. Multiple cards can be issued on the same funds.
10. Convenience – No ID required to make withdrawals unlike travellers cheques.
Visit our comparison tables to find out what currency cards are being offered by the leading foreign currency providers. Use the comparison tables to compare fees and foreign exchange rates.
