5 reasons why people prefer Forex cards over cash

Managing money efficiently is crucial when traveling abroad, and more travelers are now choosing forex cards over cash. Since Forex cards are pre-loaded with foreign currency, they offer convenience, security and cost-effective solutions compared to carrying large amounts of cash. Unlike cash, these cards offer features such as protection against theft, lower exchange rates and ease of reloading.

They also help avoid frequent trips to currency exchanges and eliminate the risk of currency shortages. With the added benefit of international acceptance, forex cards make travel smoother and safer for today’s world travelers, making them a preferred option for international spending.

Here are five reasons why international travelers choose forex cards over foreign currency notes.

1. Real-time exchange rates with zero profit margin

“Forex cards offer dynamic exchange rates that are often much closer to real-time interbank rates, with zero markup,” says Sudarshan Motwani, Founder and CEO of BookMyForex.com. This means you avoid the significant markups usually associated with banknotes, which can be as high as 5%. Additionally, the availability of cash may be limited, especially for less common currencies that are not readily available in physical form. Even so, the profit margin on such currencies can be as high as 5-8%. By using a Forex card, you can access competitive exchange rates and avoid these inflated costs, making it a smarter choice for travelers.

2. Enhanced security

Carrying cash poses a risk of theft or loss, which could leave travelers penniless. Forex cards offer more security. They are prepaid and can be easily replaced if lost or stolen, just like a regular debit card, providing peace of mind when traveling.

3. Ease of reloading and unloading

One of the biggest USPs of a Forex card is the ease of loading and unloading money during your trip. “Gone are the days of relying on cash that might run out during travel. With a Forex card, you can instantly load money via the app whenever you need it, expanding your holiday budget on the go. Similarly, unspent amounts can also be restored. “Your account offers maximum flexibility,” says Motwani.

4. Multi-currency compatibility

If you are traveling to multiple countries, a multi-currency forex card allows you to load multiple currencies onto a single card. This eliminates the hassle of carrying various currencies and allows you to seamlessly manage your spending across different destinations in local currencies.

5. Simplified expense tracking and management

The Forex card comes with an app that offers a number of useful tools that cash can never match. “Track your spending in real time, get alerts for every transaction, locate ATMs, instantly reload money and even access a virtual card – all at your fingertips. This means you no longer need to keep track of how much cash you’re spending or where you’re spending it.” It means you spent it,” says Motwani.

For today’s traveler, the Forex card combines the security and convenience of card-based spending with significant advantages over cash.