5 reasons why people prefer Forex cards over cash currency

Managing money efficiently is essential when travelling abroad, and more travellers are now opting for forex cards over cash currency. Forex cards are preloaded with foreign currency, providing convenience, security, and cost-effective solutions compared to carrying large amounts of cash. Unlike cash, these cards offer features like theft protection, lower exchange rates, and ease of reloading.

Additionally, they help avoid frequent trips to currency exchanges and eliminate the risk of currency shortages. With the added benefit of international acceptance, forex cards make travelling smoother and safer for today’s globetrotters, making them a preferred choice for international spending.

Here are five reasons international travellers opt for forex cards over currency notes.

1. Real-time exchange rates with zero markup

"Forex cards offer dynamic exchange rates that are typically much closer to real-time interbank rates, with zero markup," says Sudarshan Motwani, Founder and CEO, BookMyForex.com. This means you avoid the significant markups often associated with currency notes, which can be as high as 5%. Furthermore, the availability of cash currency can be limited, especially for less common currencies that may not be readily available in physical form. Even if they are, the markup on such currencies can be as high as 5-8%. Using a Forex card, you can access competitive exchange rates and avoid these inflated costs, making it a smarter choice for travellers.

2. Enhanced security

Carrying cash poses a risk of theft or loss, which can leave travellers stranded without funds. Forex cards, on the other hand, offer greater security. They are prepaid and can be easily replaced if lost or stolen, much like a regular bank card, providing peace of mind when travelling.

3. Ease of reloading and unloading

One of the biggest USPs of a Forex card is the ease with which you can reload and unload funds during your trip. "Gone are the days of relying on cash that may run out while travelling. With the Forex card, you can instantly reload funds via the app whenever needed, expanding your holiday budget on the go. Similarly, any unspent amount can be unloaded back to your account, offering maximum flexibility," says Motwani.

4. Multi-currency compatibility

If you’re travelling across several countries, a multi-currency forex card lets you load multiple currencies onto one card. This eliminates the hassle of carrying various currencies and enables you to manage your spending seamlessly across different destinations spending in local currencies.

5. Streamlined expense tracking and management

The Forex card comes with an app that offers a range of convenient tools that cash simply can’t match. "Track your expenses in real-time, receive alerts for every transaction, locate ATMs, reload funds instantly, or even access a virtual card—all at your fingertips. This means no more keeping track of how much cash you’ve spent or where you’ve spent it," says Motwani.

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