# Foreign currency feel exploited



## ChrisGraham (Jan 15, 2008)

Hi

Yes, I know the exchange rate is rock bottom at the moment, yet, wanted to give you guys a little forewarning and some of the experience I have had. 

I have an international bank account and broker who I can use for bankers drafts, yet, of course, I do need a little bit of ready cash to pay for incidentals such as coffee's whilst I'm travelling between countries. 

Do shop around for the best deals and service. I've experienced one bank offering me an international account, yet, are unacceptably slow in processing the set up (30 days) and charging me 100 pounds sterling for the priviledge. Therefore, I used an alternative that took under two weeks to set up. They didn't look at me as a pest from coming into the branch and offering them business too. 

A broker is also a useful device as they can offer better rates on wiring money, it's secure and if you transfer large enough amounts the fees are minimal or waived. 

It really is a good idea to shop around for cash. Big differences of around 10c per pound sterling can be found between different banks and travel agents. I do not like the practice of offering a specific rate, then saying they don't have them in stock and have to order and then charging me a different rate when I go in. The spread is large, they can take a hit on the difference between 2 days delivery. I use the spot rate and pick up what they have there and then unless I can predict the market which is very difficult! A cent difference in 1000 pounds sterling is C$10, so that's around 3.33 pound approx, rather I raw deal I find. 

Travellers checks for C$ are increasingly difficult to find. Ditto the problem with stock availability and rates charged and do double check what they give you. Today I could have been short changed to the value of C$1,600. 

I've not used ATM currency cards so would like to hear from other people's experience. 

I've not used specific names, yet, if the moderator can advise if this is allowed I'm happy to name and shame with specific annecdotes. 

I'm a generally up beat person, yet, feel that apart from using bankers drafts you get exploited in changing money.

Cheers Chris


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## NickZ (Jun 26, 2009)

It's 2010. Nobody uses travellers checks anymore. If you've got a good bank it'll give you the best rates with an atm card.


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## ChrisGraham (Jan 15, 2008)

*Electricity!*

LOL - Don't think I have a good bank. The advantage of travellers checks is that I can use them where a place doesn't have electricty or an ATM and it's safer than cash. 

Cheers Chris 



NickZ said:


> It's 2010. Nobody uses travellers checks anymore. If you've got a good bank it'll give you the best rates with an atm card.


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## Bris2Toronto (Dec 6, 2009)

NickZ has a good point (I work in banking) - travellers cheques are dying out to electronic currency options, which in turn are more secure and more automated (ie. less staff processing = less expensive = better rates).

I also think its totally normal to experience massive variance between different suppliers, particularly when their dealings are specifically foreign currency (eg. travel agencies) - even between banks there are supplier cost differences which are reflected in exchange prices.

It's all about buying smart! Traditionally, telegraphic transfers offer the best rates if you can swing it.


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