Dealing with currency abroad is a challenge, especially if you are going to countries that have a lot of restrictions. I remember some time ago I flew a group of people into Minsk, Belarus. After a couple of days waiting in hotel my company made the decision to airline me out of there to London, where I would swap out with another crew member who needed to go home. My attempts to clear customs at the airport was an epic failure to say the least. I was detained by customs for not having the right visa. All I wanted to do was board my flight to London and get out of there. In the holding room at the Minsk National Airport was another passenger who was detained for taking local currency out of the country. Apparently, this was illegal for the locals. I was shocked he was getting in trouble for this, but it was a lesson I would take with me. We were both scared. My customs agent was a burly Belarusian woman who smelled like moth balls and vodka. The room was cold and bland. My “partner in crime” and I just wanted to leave. Funny how traumatic events with someone can create bonds as we remain friends to this day. Watching the interrogation of my new friend with his currency situation really opened my eyes of the dynamic currency restrictions each country may have. If you plan to travel to another country here are some action items you need to do when dealing with currency abroad before you go.
Do Your Homework
Visit the state department’s travel website and research any currency restrictions. Restrictions on currency usually happen for political and/or economic reasons. For example, Cuba and Venezuela both have heavy restrictions due to the political climate with the U.S. I had the chance to fly to Cuba when it was open for a time for U.S. citizens. I was shocked how restricted it was. Currency abroad is a challenge to begin with but my experience there was nothing I could anticipate. U.S. credit cards generally don’t work, and Cuba charges a 10% fee for all U.S. dollar conversions. Taking Cuban convertible pesos (CUC) is prohibited so I had to change it all back to U.S. dollars before leaving. I lost money in that venture for sure! Do your homework, list the restrictions, and travel prepared.
Get the Right Credit Card
When you are dealing with currency abroad you must consider the fees credit card companies attach to their international transactions. There are plenty of great credit cards that do not have those fees that are worth looking into. Most of these cards come with a plethora of benefits that make the card worth owning. The Points Guy has done great research for you already and you should definitely check the website out. Meanwhile, here is a list of my top 5 recommended credit card companies to look into:
Platinum Card from American Express
Annual Fee $550
Marriott Bonvoy Boundless Card
Annual Fee $95
Chase Sapphire Preferred Card
Annual Fee $95
Delta SkyMiles Platinum Card
Annual Fee $250
Chase Sapphire Reserve
Annual Fee $550
Exchange Rates
Changing currency abroad is an art form that some have truly mastered. I try my best and what I’ve learned from over 20 years of travel is to use my ATM card, which does not charge me for ATM fees, utilize Travelex and order cash online, and using Travelex at airports. There are many locations in foreign countries that will exchange your money for a fee. Those fees vary and often times you lose money when you do this. Be sure to withdraw a good amount of currency so that you don’t have to go to the ATM or an exchange service often.
Notify Banks and Credit Card Companies
I can’t tell you how many times I have tried to pay for my dinner only to get my card declined. Almost always this is because the credit card company thinks the card is stolen. As a result, their security systems activate shutting the card down. This is a good thing but can be an annoyance when you are abroad. Call your credit card companies and banks to let them know your travel plans so this doesn’t happen to you.
