Taking large amounts of your own currency for changing when you arrive is probably one of the worst options . . . → Read More: Taking Cash]]>

Taking large amounts of your own currency for changing when you arrive is probably one of the worst options for carrying money.

Your exchange rate will be retail, which is always going to be more expensive that wholesale.

Also, in most places, the person doing the exchanging will always want their little “cut” from the transaction.

Banks and hotels are the best places to change money but you can still get ripped off by the unscrupulous. Keep an eye on the daily rates to avoid this.

Remember, there may also be a fee for currency conversion so always ask about this before handing over your money.

Also, cash is the least secure way of carrying money, once it is lost or stolen that is usually it.



If you do bring cash from home, make sure any bills you bring are clean and brand new (you will have less trouble changing them).

Similarly, don’t accept torn or worn money in developing countries because you will have trouble getting rid of it.

And never exchange money with anyone you don’t know (people off the street, for example), even if they appear to be giving you a great rate.

The black market for foreign currencies in some countries is driven by restrictions on foreign currency ownership and artificially high exchange rates.

As well as being illegal in most countries, changing money on the street puts you at risk of getting counterfeit notes, being short-changed, or even robbed (handing over cash to people you meet on the street is never a good idea).

All that said, some people advise changing and bringing a little local currency with you, if only to avoid the possible hassle of doing it when you arrive at the airport and you need some loose change for buses or snacks.

However, foreign currency can be expensive to buy at home, and for the small amounts involved it usually isn’t much of of a problem to buy it when you arrive.

If you do get it at home, though, try to find a commission-free provider. In the UK this would be someone like Marks & Spencer, Lloyds TSB, the Post Office or Thomas Cook. But check exchange rates before choosing as they can vary somewhat between each of them.

Ultimately, when choosing between the methods above of getting to your money, remember that there are usually only a few percentage points difference between each of them. But it is worth knowing about them, nevertheless, so you can make an informed choice at the appropriate time.