You will definitely face such a problem when traveling abroad. Whether to choose to use cash or a credit card. No matter which one you choose, there is relevant strategy information. It is best to prepare both. The following is relevant Please follow the editor to take a look at the strategy information. If you can exchange it at home, don’t go out to exchange it

It is inevitable to exchange foreign currency when traveling abroad, because abroad, especially in underdeveloped countries, some shops or restaurants cannot accept cards.

In China, you can go to Bank of China for exchange (compared with many banks, Bank of China has the widest scope of foreign exchange business and the largest number of currencies). It should be noted that try to avoid exchanging foreign currency at the airport, because the airports in various countries are the least cost-effective. Do not exchange too much foreign currency

Overseas consumption is mainly based on credit cards, and cash is mainly used to pay for some small expenses.

The most important thing is that you pay the handling fee when exchanging. If you don’t use up the money and take it back to China and exchange it for RMB, you will have to pay the handling fee again. It is not cost-effective. Moreover, there is a difference between the buying price and selling price of spot exchange. That is to say, if you exchange the same amount of RMB for foreign currency from the bank, the amount will be less if you exchange the same amount of foreign currency for RMB. Therefore, when exchanging foreign currency, do not exchange too much at once.

TIPS:

According to Chinese customs regulations, each person can carry no more than 20,000 yuan or 5,000 US dollars in cash or equivalent foreign currency; if the limit is exceeded, they must Declare to China Customs.

When you go out and travel around the world, bank cards are absolutely indispensable, especially credit cards. The benefits are self-evident and you don’t need to carry a lot of cash. In addition to UnionPay, which we are most familiar with, common card organizations include VISA, MasterCard, America

Express and so on.

Regionally speaking, UnionPay is a card organization in China, while VISA and MasterCard are both card organizations in the United States. At present, domestic bank cards belong to different bank card organizations according to different starting numbers. Bank cards starting with "4" belong to the VISA card organization, those starting with "5" belong to MasterCard, and those starting with "62", "60", UnionPay cards starting with "9" belong to China UnionPay, while UnionPay cards starting with "62" and "60" are UnionPay standard cards that meet international standards and can be used abroad. This has also been China UnionPay's main card in recent years.

From the perspective of usage, if you only consume domestically, UnionPay is the best choice, but if you often need to spend abroad, a VISA or MasterCard is essential. In recent years, in order to cater to the needs of users, major banks have launched dual-currency cards, namely UnionPay VISA or UnionPay MasterCard, so that users can use UnionPay channels for domestic consumption, and VISA or MasterCard channels for overseas purchases. . So how to choose between VISA and MasterCard?

In fact, the credit cards of each card issuing organization have their own advantages. VISA and MasterCard are both card issuing organizations with a long history and have great influence around the world. Among them, VISA is more popular in the United States and Asian countries, while MasterCard has greater influence in Europe. Therefore, when going to Europe, it may be more convenient to use a credit card with the MasterCard logo, while in the United States, you can use a VISA credit card. Friends can choose according to the overseas countries they often visit.

Why is the amount of money spent abroad when using VISA or MasterCard different from the actual repayment amount?

U.S. dollars are the main currency in circulation when using VISA or MasterCard. country, that is, convert the payment amount into US dollars according to the exchange rate of the day, and deduct the corresponding RMB amount from your account.

In countries where U.S. dollars are not circulating, the payment amount is first settled into U.S. dollars according to the exchange rate of the day, and then settled into RMB and then the corresponding RMB is deducted from your account. This involves two exchange rate conversions, and the exchange rate Changing it every day is quite uneconomical for you. In addition, Visa and MasterCard will charge an additional currency conversion fee for overseas purchases, which is a percentage of the transaction amount. What is a currency conversion fee?

It refers to the fee charged by international credit card organizations when the currency of consumption is different from the currency corresponding to the card account. During currency conversion, the system will automatically add a 1-2 currency conversion fee to the transaction amount. However, this fee is not listed separately on the bill, and it becomes a hidden fee. Generally speaking, what is the common currency conversion rate?

Take China Merchants Credit Card as an example. Dual-currency credit cards only have two accounts: RMB and USD. If you make overseas purchases through UnionPay lines, there is no handling fee; If you use VISA or MasterCard, if the local currency is US dollars, there is no handling fee. If the local currency is non-US dollars, the card organization will charge a currency conversion fee of 1.75. Most banks are 1-2. What card is best to use in frequently visited tourist destinations?

For traveling to Hong Kong, Macao and Taiwan “at your doorstep”, it is recommended to bring a UnionPay card, because with the “home field advantage”, UnionPay channels are now available in Hong Kong, Macao and Taiwan. Basically, hassle-free credit card swiping or cash withdrawal is realized. When the card is swiped locally, UnionPay will convert the local currency into RMB. Cardholders can repay directly in RMB and only need to bear the loss of one currency conversion without currency conversion fees.

When you plan an in-depth vacation in Europe, you might as well apply for a credit card with a Euro account. In this way, consumption in euro countries can be credited to the euro account without incurring additional fees. Bank of China, Industrial and Commercial Bank of China, and China CITIC Bank have all launched cards with euro as the settlement currency. You can save money by using international credit cards overseas

1. Save foreign currency exchange fees

Depending on your overseas destination, choose to use international credit cards in local currency to avoid multiple foreign currency exchanges. Save around 1.5 to 2 in foreign currency exchange costs. If you choose an international credit card with multiple settlement currency functions such as US dollars and pounds, you can directly use pounds as the settlement currency when spending money in the UK. After returning home, you can directly use pounds or renminbi to purchase foreign exchange for repayment, avoiding the need to convert pounds into dollars and then use Multiple foreign currency conversion costs for converting U.S. dollars into RMB for repayment.

2. The risk of exchange rate fluctuations can be locked in advance

At present, the exchange rate of RMB against foreign currencies fluctuates greatly. When using international credit cards for overseas consumption, you can proactively determine the return based on the short-term fluctuation patterns of exchange rates. The payment time can be used to repay the international settlement card debt in full at a lower exchange rate. Generally speaking, the RMB is on the appreciation channel. When you buy a product, you spend 100 US dollars, which may be equivalent to RMB 670 at that time. When you return it on the international credit card repayment due date, it may only cost RMB 665. This virtually saves another expense.

3. Direct tax refund for overseas shopping

Most commodity prices in Europe, America and other countries include commodity consumption tax. As long as you fill in the tax refund form at the airport tax refund window when leaving the country and select the corresponding Fill in the international card number, and the consumption tax on your eligible products will be automatically refunded to the designated card.

4. With consumption points, consumption can also make money

Take the "Sign and Reward" function of a certain bank's international credit card as an example. The accumulated points can be converted into cash at any time in Hong Kong ( 200 points = 1 Hong Kong dollar) for shopping. The more accumulated points, the greater the cash discount. Consumption points can also be exchanged for aviation insurance, flight miles and annual fees at any time, helping you save some other expenses. In addition, when you spend with your card, you may get discount coupons, cash coupons or gifts. Precautions for using credit cards

Top up the credit limit before leaving the country to ensure normal use of the card: If the credit card is not used for a long time, abnormal situations may occur, such as inadvertent damage, or the magnetic stripe information is degaussed, resulting in not available.

So it is best to use it in advance before traveling far away to ensure that there is no problem in swiping the card when you go out! In addition, if your credit card limit is only a few thousand yuan, it is recommended to apply for a limit increase in advance.

Be careful about tips and currencies when spending overseas: When using credit cards overseas, especially in the United States, there are three columns of amounts on the credit card purchase form: Base Amount, Tips and Total Amount ). You can fill in the tip amount and the actual consumption amount in the "Tip" column, add the total and fill it in the "Total Amount" column, and then sign for confirmation after confirming it is correct.

For small overseas merchants, try to pay cash: Although the popularity of foreign credit cards is very high, you should be aware that foreign fraud is also very serious. Furthermore, most domestic credit cards are still magnetic stripe cards. The security factor is very low. Therefore, it is recommended that when shopping in some small supermarkets and merchants abroad, you should try to pay in cash to reduce the chance of credit card being stolen.