Are you planning to visit another country? Do you need to exchange some foreign currency but not sure where to get the best rates?
In Malaysia, there are plenty of methods for foreign exchange. Each method has their advantages and it all depends on your preference. With the right source, you can get the most out of your foreign exchange.
The most common way to exchange foreign currency is to visit foreign exchange booths and kiosks. You can find them at malls, transport stations, hotels, and airports.
Each money changer booth offers different foreign exchange rates so it’s best to do some research and comparison before buying foreign currency. If you’re buying foreign currency, make sure to look at the ‘we sell’ category. Most of the time, the ‘we buy’ rate is lower, so don’t get confused as they may appear side to side.
You should also ask if the foreign exchange commission charged is a percentage or a flat rate. If you’re planning to exchange a large sum of money, a flat rate is a better choice as you only need to pay the commission once. You can also check if they offer any promotional rates.
Use credit cards
Most people may prefer to have some foreign currency in their pockets before leaving the country. While it’s great to always have money by your side, there are situations that can be solved by having a credit card.
You can use a credit card for large purchases such as paying for flight tickets and accommodation. Not only is this way easier, it’s safer as your purchases could be protected with warranties. Using your card may also provide you travel perks, reward points and discounts.
There is a charging fee when using your credit card, but it is likely almost the same as changing money at a foreign exchange booth.
Some of you might not be comfortable with this method, but buying foreign currency on the internet has its perks.
Exchanging foreign currency online is an excellent way to get the best rates as it only takes a few minutes to make a comparison. If you think about it, it’s a better way than to exchange money at the last minute at a kiosk.
However, make sure to only exchange currencies at a trusted site. Don’t be tempted by deals too good to be true and be cautious of scammers.
Withdraw from an overseas ATM
One of the worse things to do is to buy foreign currency at the last minute as the foreign exchange rate might not be the best. What you should is to withdraw money when you arrive at your destination with your local bank’s ATM or debit card.
Although there are withdrawal fees for foreign exchange, some banks void the charges if within a regional or banking link. If you can find your bank’s ATM in a foreign country, that can be one of your best options to get foreign currency.
The difference between withdrawing from an overseas ATM and exchanging money from a kiosk could be as much as 7%, so this method may not be suitable if you’re changing for a large amount of money.
Foreign exchange may seem like a daunting task but if know your options and do some research, you can possibly get the best exchange rate. Depending on your situation, each way stated above might be helpful in the future.
If you need any help with your foreign exchange needs, visit https://www.rhbgroup.com/products-and-services/business/treasury/foreign-exchange!