A travel money card lets you purchase items and services like you would at home with your debit or credit card. A travel money card takes the hassle out of travel money and many have better exchange rates than traditional money exchanges.
Prepaid travel cards
Prepaid travel cards are the most popular solution on the market to date and are offered by a number of providers. Prepaid travel cards allow you to load them with local currency before you travel abroad, then spend as you would your everyday Debit Card. When loading your card with Pounds Sterling, you will see the rate offered and can agree to exchange. Some prepaid travel cards will allow you to hold multiple currencies at once, but be sure to keep an eye on your balance to avoid payments not going through if funds get low.
Challenger Banks have grown in popularity over the past 10 years, providing consumers with an alternative solution to their high-street bank. When using a challenger bank to pay abroad, this would work in the same way as using your High-Street Debit Card, simply pay as you go. However, Revolut for example requires that you exchange funds to your desired currency before you spend and have local currency available in different ‘wallets’. Make sure you check the rate offered by your provider before you travel as you could be hit with the fees you were trying to avoid.
A new solution
A new solution, only offered by Currensea, is the travel debit travel card. You simply spend abroad in any desired currency as the money will be collected from your existing bank account by direct debit. A new way to spend abroad without worrying about fees, topping-up, and managing multiple accounts. This different travel card provides you with a new way to use a travel money card. Currensea uses the interbank exchange rate which means our rates can't be beaten. We also wont charge you for using an ATM while abroad, up to £500 per month unlike other travel money cards. Discover more about Currensea in the video below.
5 Things to consider before choosing a travel money card
1. What’s the rate?
Prepaid cards offer a huge range of rates that might not be as good as the rate offered by your bank. Whilst almost all providers say no fees, the fee is often hidden in the exchange rate.
2. Does your travel money card offer protection?
Some cards are covered by section 75 protection, but not all, it’s worth checking the T&Cs before you sign-up to ensure that all your purchases will be covered by some kind of chargeback protection.
3. Can you get back unused currency?
Once your holiday has finished you’re unlikely to want to leave any leftover currency on your travel money card. Make sure that you can easily get your money back, without incurring further fees.
4. Are there any hidden fees?
Check for any fees, prepaid cards generally have more hidden fees than credit or debit cards. Make sure that you keep an eye out for fees such as application and replacement fees, transaction fees, and inactivity charges.
5. Are there any limitations to where you can use the different types of cards?
All providers say that they can be used wherever you see the Visa or Mastercard logo but there are some big exceptions that may impact your choice. If you want to pay at a petrol station, hire a car, or pay on a cruise - generally, you can only use a Credit, Debit, or Currensea’s travel debit card - prepaid cards are often not accepted.
Using your Currensea card whilst on a beach holiday in Spain for a family of four (2 adults and 2 children) for a week. Currensea will save you money against all the major high street banks, travel and prepaid cards*
