An easy and safe way to transact abroad, novice backpackers must know!

Traveling abroad is fun, but also full of challenges. Especially if you go to a country where there are not many locals who master English. Therefore, it is necessary to carry out careful preparation. Among them, is preparing for financial issues during transacting abroad.

Let's take a look at the following easy and safe foreign transactions tips:

1. Carry enough cash

One of the most basic tips of shopping abroad is to carry cash with the local currency in moderation. The purpose is to be on guard, in case there is an urgent need after getting off the plane or during the holidays.

Also, don't forget not to put all your cash in one place. Put this cash in several separate places, such as wallets, pockets, small pockets tucked inside the bag and so on. Thus, if your wallet is lost, you still have money to carry out urgent needs.

2. Tell the bank if you are on holiday abroad

One of the tasks of the bank is to maintain the safety of its customers' money. This includes blocking if there is a suspicious transaction. By telling the bank that you are going abroad for a few days, it will prevent the bank from blocking if any non-cash transactions are detected originating from the country.

This is of course the exception if your card is lost and you ask the bank to block it for a while.

3. Transactions using non-cash

The third tip is to use a debit or credit card to make transactions abroad. This is in particular debit and credit cards that already come with apps, such as Honest App. Because, you can simply use the app to block the card. In addition, Honest credit cards also come with a PIN for each transaction, so if this card is lost, the inventor may not necessarily be able to use it.

Not only is it safe, transactions using credit cards while abroad It also has a lot of advantages, starting with cashback, discounts on airline and hotel tickets and so on. But remember, just like cash, you are required to put several cards you have in different places to minimize the risk of pickpocketing.

4. Pay using the app or Google Wallet

If your phone already supports NFC (Near-field Communication) then it will be easier and safer again. Near-field Communication NFC is a feature that allows you to pay for goods and services just by touching the back of your phone to a payment machine.

This feature usually comes with security facilities, in the form of a PIN or fingerprint. So, when you touch the back of your phone to the payment machine, you will then be asked to enter a PIN or fingerprint, so it is more secure.

Credit card application The Honest App also has this NFC feature. So, instead of carrying a card everywhere that is afraid of falling or losing, you can simply carry your mobile phone to make payments online and offline.

5. Choose an ATM carefully

There are times when you will run out of cash when traveling abroad. If this happens to you, it is mandatory that you choose an ATM or The Money Changer to withdraw and exchange money carefully. Other than because conversion rate which could be much higher than the current market price on Google, it is not impossible that the ATM machines are already equipped with certain fraudulent tools by fraudsters.

You can withdraw cash at an ATM located at the nearest bank office on weekdays and hours. This is just in case your card gets swallowed, broken, or the ATM machine fails to issue the money you requested. In addition, at least, the area around the ATM is equipped with CCTV and other security systems needed to maintain security at the bank.

Taking money at overseas ATMs also has its own tricks. First, take money using your debit card (ATM card). Because taking money using credit card would be considered a cash swipe or cash advance so it will be subject to high credit interest.

Secondly, know the amount of cash you want to withdraw before making a withdrawal. The goal is so that you do not have to withdraw money many times through an ATM, because the ATM will charge a fee on each withdrawal. The more often you take money, the greater the cost you will have to incur.

Third, press Decline if the ATM machine offers conversion rate. Reported from several sources, ATM machines in some countries will offer conversion rate which is higher than conversion rate which banks offer if anyone makes withdrawals from overseas ATM cards. Relax, money will stay out using conversion rate from the machine's management bank.

In addition to the 5 ways above, make sure you also transact using official apps, official taxis and know emergency numbers just in case. Especially if you Traveling on their own. Having an umbrella ready before the rain, it is better to prepare than to treat.

Frequently Asked Questions

1. Better cash or cashless for transactions during an overseas vacation?

Overseas transactions can blend cash and cashless as needed. If you transact with money cash, withdraw money moderately and keep it in a safe place.

2. How to get cash to transact abroad?

You can earn cash by exchanging it at money changer or by making cash withdrawals at overseas ATMs.

3. How much money is needed for a frugal holiday abroad?

Adjust to budget, destination countries, and vacation plans.