Prepaid travel cards allow for flexibility in spending foreign currencies abroad. They are becoming increasingly popular among travelers today. Travel cards can be used like a debit or credit card, which can be pre-loaded before leaving your home country. This post aims to enlighten you on what a prepaid travel card is, how to use, and its benefits.
What is a Prepaid Travel Card?
While a traveler’s check may come with more restriction and low exchange rate to deal with, the Prepaid Travel Card offers you a whole lot of advantage. It provides flexible and convenient means of carrying money around at normal rates and no hidden charges. Prepaid Travel cards which are also known as forex cards are typical travel cards that allow one to preload money in local currency and relieves one of credit card costs and the rigors of a traveler’s check. Unlike, credit cards that could land you into an overdraft when paying for goods and services, travel cards come with restriction and offers control to help save money.
How Does a Prepaid Travel Card Work?
A prepaid travel card is known to be a tool in a several travel wallet. This implies it can be used in any country that supports it. They have indeed gained a range of popularity with their use for a long while now. The way the card works is similar to your general debit and credit card. This is how it works;
• You start by registering with a prepaid card company and purchase a travel card.
• You can then load some cash you need for your trip up to the allowed maximum amount simultaneously.
• You can then use the cards for your transactions once you get to your point of destination.
• Depending on the type of card company, you might have a mobile app that allows you to keep track of your transactions.
• Once you finish your balance, you could reload via the smartphone app feature, or through a text message so far you have money in your bank account.
• Even when you misplace it, you could contact the provider for card blocking.
Why Use One While Traveling?
A prepaid card offers the best way to budget and secure money on a trip. Here are some other reasons you need one today;
• It allows locking of exchange rate while traveling: Most times, exchange rates do fluctuate and could be irregular. Hence you risk losing some cash. However, the use of a prepaid travel card allows you to monitor your spending and determine the amount you let out with ease.
• Loads multiple currencies: The travel card is a foreign exchange card that allows you to have up to a maximum of 10 different currencies for more flexibility.
• Easy to reload feature: Once your balance finishes up, you can easily reload via your mobile through a text, online or through an online mobile app (provided there is money in your bank account).
• Guarantees safety with Cash: If the card is perhaps stolen or misplaced, you can easily contact the card company to have it blocked. There are card companies that will offer you some cash to for upkeep during an emergency before returning home.
However, all the conveniences offered through the use of the travel card also comes with some cons such as:
• Some prepaid cards charge on reloading fees.
• It comes with the peak of transaction fee up to 3%.
Is it Safe to Use a Prepaid Travel Card?
Having a prepaid travel card minimize keeping of foreign cash on you. You could either lose the money at hand through pick-pockets or misplace it. However, the use of a prepaid travel card offers a load of issuance when it comes to money safety. Once you lose or misplace your prepaid travel card, you can contact the card’s company at once to have it blocked. Using a Prepaid Travel Card is a secure way of keeping the money for foreign trips as you can securely use for ATM withdrawals and shopping at foreign marts.
As a traveler who wants to explore the world, you gain a lot with the use of the Prepaid Travel card. It comes with useful peeks of safety, budget, and multi-currency feature. Therefore, instead of using a credit card which could land you into an overdraft. Securely preload your money into the card and control your money while still enjoying your holiday trips.