Dynamic currency conversion (DCC) lets you see a purchase’s price in your home currency at the point of sale. It can make it easier to compare prices and avoid unexpected charges.
However, DCC can also be more expensive than a regular currency 문화상품권현금화 exchange fee. To avoid paying these fees, stick to cards that don’t charge foreign transaction fees and decline DCC when possible.
Using a Credit Card
Credit cards let you pay for things with a single bill, and some even allow you to withdraw cash. If you want to do so, however, be sure to consider fees. You’ll likely pay a cash advance fee, which is usually a percentage of the cash advance amount, as well as a foreign transaction fee.
Some merchants and ATMs offer dynamic currency conversion (DCC), which displays purchase prices in U.S. dollars instead of the local currency. This is almost always more expensive, and sometimes considerably so.
Fortunately, you can avoid the fees associated with DCC by using a credit card that does not have them. You can also find other ways to convert credit limit into cash without incurring those fees, including utilizing your credit card’s cash back rewards, buying prepaid gift cards and retail arbitrage. The key is to be creative and to think outside the box when trying to minimize fees. Then, you can focus on making your money go as far as possible.
Using a Debit Card
One of the easiest ways to convert a debit card into cash is to use it at an ATM. However, there are many fees associated with this method of getting funds.
Another option is to purchase a money order at a post office or at a banking kiosk. However, this can be expensive since most money orders are based on a set amount of cash and will require the payment of additional fees to convert it into actual cash.
Some merchants offer dynamic currency conversion (DCC), a service that lets you see the price of your purchase in your home currency at the point of sale. This can be useful when traveling abroad, but DCC is often more expensive than a regular foreign transaction fee, as it involves using a less favorable exchange rate and adds on other fees.
It’s best to avoid currency exchange fees by paying in local currency whenever possible. Also, consider using a credit card that does not charge a foreign transaction fee and checking with peer-to-peer payment services to avoid exchange rates altogether.
Using a Prepaid Card
A prepaid card is one of the fastest ways to convert cash into cash. You can load money onto it at various places, including post offices and banking kiosks. Then, you can use the card to buy things at stores and online.
Prepaid cards can also be used to get wages for workers who cannot access a bank account. This is especially useful for casual and freelance workers who do not earn enough to warrant opening a traditional high street bank account.
Some credit and debit cards offer a service called dynamic currency conversion (DCC), where you can choose to be charged in the local currency or the home currency of your credit or debit card. DCC is almost always more expensive than using a normal foreign transaction fee.
Using a prepaid card to exchange currency is also much cheaper than doing so at hotels or airport kiosks, which may charge hefty fees for currency advances. However, these methods can be risky if the value on a prepaid card drops significantly.
Using a Bank Account
In many countries, it’s possible to deposit cash directly into your bank account. To do this, you’ll need a government-issued ID and the physical cash you wish to deposit. You can also use an online money transfer service like Payoneer, which will charge a flat fee for deposits into your account (see the full list of fees here).
Another way to convert cash into cash is by using a wire or check to deposit funds into another person’s bank account. However, these methods can be slow and expensive.
If you want to get cash quickly, it’s best to visit a local bank or currency exchange bureau. They’ll offer the best rates for exchanging foreign currency into your home currency, and they’re likely to have lower fees than hotels or airport kiosks. You can also use an ATM affiliated with your bank, but keep in mind that a card-issuer cash advance fee and interest charges may apply.