Travelling Abroad? Here Are 4 Ways You Can Carry Your Funds

By | April 13, 2018

What’s the best way to carry funds while travelling abroad? Credit Card, cash, Debit Card or a travel prepaid card? Let’s find out.

Travelling Abroad? Here Are 4 Ways You Can Carry Your Funds

All geared up for your trip abroad? Good! What about money for your expenses? Have you thought about it? Of course, it makes sense to carry your Credit Card but that isn’t your only option. If you plan wisely, you can actually make the most of your money.

Travellers’ cheque used to be the most-preferred way to carry money before. However, times have changed. Today we rely on options that are more convenient, less risky, and are accompanied by reasonable charges.

Additional Reading: Travelling Soon? Don’t Forget To Pack Travel Insurance

Now let’s take a look some of the ways you can carry funds while travelling abroad.

Credit Card

Convenient and hassle-free, Credit Cards are a boon to travellers these days. Plus, if you get the right Credit Card, you can save a lot on your overseas expenses.

Credit Cards are great for large expenses like flight ticket and hotel bookings, car rentals, restaurant expenditure and shopping. Why? Because you can earn travel miles, reward points, get discounts and cashbacks, etc. depending on the card that you’re using.

However, remember that there are charges – foreign currency exchange fees, foreign transaction fees, etc. – applicable on all your overseas purchases. Opt for a Credit Card with a low Forex mark-up if you want to maximise savings. Also, if you withdraw money using your Credit Card, you’ll be paying cash advance fees.

But, despite these charges, Credit Cards are still one of the best ways to fund your overseas travel.

Additional Reading: Top Indian Credit Cards For The Best International Travel

Prepaid Cards

Another excellent way to fund your overseas expenses is a prepaid travel card (also known as a Forex card). These cards allow you to ‘load’ money onto them and use it on the go. You can also choose between single-currency and multi-currency prepaid cards.

A multi-currency card is useful if you’re hopping from one country to another. Also, it saves you from having to pay foreign exchange fees every time.

Before you opt for a prepaid card, do your research and choose one that best suits your requirements. Also, make sure that you get your card well in advance since it can take anywhere between 24 hours to 72 hours to load the card with money.

Debit Card

As long as your Debit Card is valid for making transactions abroad, it is a good alternative to carry your funds, just like your Credit Card. Make sure that you inform your bank before you use your card overseas, otherwise your bank might freeze your card under the pretext of suspicious activity.

Whether you withdraw money from an ATM or make payments for purchases, Debit Card transactions attract a currency conversion fee. Also, you can use your Debit Card only as long as you have funds in your account.


Although not the safest option, cash is still a good backup option. Carrying a sufficient amount as cash is advised when travelling abroad. It can come in handy especially if you lose your Credit Card or travel card, or if certain places do not accept card payments.

However, carrying cash has its own disadvantages. This includes the risk of theft, high conversion charges and commission.

Additional Reading: Foreign Exchange Changes Avatar!

Which Option Should You Opt For?

We’d recommend a mix of all four options when travelling abroad. If you’re keen on limiting your expenses abroad, then it makes sense to opt for a prepaid travel card instead of your Credit Card. Also, it makes sense to carry a prepaid travel card if you’re going to be visiting different countries on a trip.

However, keep your Credit Card/Debit Card with you for backup. It will come in handy if there’s an emergency. Plus, we’d suggest that you carry some cash too since not all places accept card payments.

What do you think? Which is the best option to carry funds while travelling abroad? Let us know in the comments section below. Also, we have a bunch of amazing travel Credit Cards in our kitty. You can check them out by clicking below.

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4 thoughts on “Travelling Abroad? Here Are 4 Ways You Can Carry Your Funds

  1. L.Prabhakar

    Yes- Travel card is good & convenient. One can load the estimated amount on the card before leaving abroad. BUT the area where credit card scored better was that you use ONLY the actual amount of money needed and not block a greater amount as in the travel card. Also on return the excess amount on the travel card is changed to local currency by paying a commission AGAIN. SO one can overcome this by loading little less than estimated amount in the travel card. Then fill out one or two more similar applications to load the same travel card with its number but amount left blank. Arrange with the banker that on an SMS or email from you the bank will debit your local account and load the additional amount when one is abroad and needs more funds. Credit card can always be a backup

    1. Team BankBazaar

      Hi Prabhakar, Thanks for sharing your opinion with us. Cheers, Team BankBazaar

  2. Drake Papali

    For a multi-currency forex card, what happens if I exhaust all my Currency A but still have balance in Currency B and swipe the card for a transaction in Currency A?

    1. Team BankBazaar

      Hi Drake, Exchange rate/conversion rate will be applicable. Cheers, Team BankBazaar


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