You’ve got the perfect vacation planned and you’re just about finished packing. Sunscreen? Check. Bathing suit? Check. Tickets? Check. Extra money? Oh, whoops.
Not to worry. There are plenty of options when taking money on your travels. Prepaid travel cards are one popular way travelers carry their money. These cards look just like credit cards but act like travelers checks. You simply add money to your card and then use it like you would use your debit or credit card. You can withdraw money at ATMs if you need some cash and you can pay for services at any business. One major benefit of using a travel money card for your money is that you are able to replace your card in case of the unfortunate situation that it is lost or stolen.
Because they are easy to carry and you eliminate the need to fumble through stacks of cash for every little transaction which can be quite unsafe, a travel money card offers a clean and efficient way to make payments during your trip. However, they also offer an added security bonus as most require a PIN, ensuring that only those who know the PIN can use the card.
Using travel cards to carry your money is particularly beneficial for individuals who do not have credit cards or bank accounts. Consider this option for a young traveler. You may not feel comfortable giving your thirteen year old a wad of cash to run around with or your personal credit card. A travel money card may fit the bill perfectly with its added security and the ability for it to be replaced if lost.
Keep in mind though, that putting your money on travel cards may cost you a little more than other methods of carrying your money. You may end up paying high fees when you activate and load your card. If you’re traveling internationally, fees can be particularly high. Check the fine print in this case, or you may sometimes find yourself spending nearly ten percent more per transaction. That in mind, and the fact that a travel money card is also often difficult to use at foreign ATMs, may not always be the best option if you’re traveling internationally.
So, here’s the breakdown:
The Good:
Easy to carry, just like a credit card or debit card
Can be replaced if lost or stolen
PIN number provides added security
Does not need to be linked to a bank account or credit card, making them a good choice for your young travelers
The Bad:
Potentially high fees to activate and load
Particularly high fees for foreign transactions
Do not always work at foreign bank ATMs
You may find that carrying your money on a travel money card is the best option for you but if it isn’t, there are many other options available. As always, be sure to read the fine print before you make a decision on how you carry your cash. The last thing you want is to run out of it at a crucial time or not be able to access it at all.
Enjoy your travels! Bon Voyage!