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Foreign Currency Exchange Saves You Money
You are used to dealing with America dollars and many foreign countries will readily accept these dollars when you pay for goods and services. This does not mean that it is a good idea for you to use American dollars in a foreign country. It may cost you significantly more to paying in American dollars than it would if you used foreign currency exchange to pay with the currency of the country you are in. For this reason, it is advisable to buy currency before traveling to a foreign country. One convenient way to buy currency is to buy foreign currency online trough Xchange of America.
American Dollars and Dynamic Currency Conversion
When making purchases in a foreign country, you may have the option to pay for these purchases with American dollars. Switching from paying in the local currency of the country to paying in American dollars is a process called dynamic currency conversion. When a store merchant gives you the option to pay for goods or service in America dollars, the currency exchange rate that the merchant will use is far worse that the currency exchange rate that you can get elsewhere. Because the currency conversion is taking place at the point of sale, the merchant does not need to offer a competitive foreign exchange rate and can offer foreign currency exchange at the highest rates that are charged. The merchant is allowing you to have the convenience of not having to buy currency, however, this convenience is coming at a significant price. The merchant may not even tell you what currency exchange rate he or she is using.
Foreign Transaction Fees and Dynamic Currency Conversion
You may be under the impression that if you use dynamic currency conversion you can escape the foreign transaction fees that many credit cards and debit cards charge when you use them in foreign countries. This may not be the case. Many credit card companies will charge you a foreign transaction fee even if you use dynamic currency conversion. This is because the credit card company’s ability to charge a foreign transaction fee is not limited to instances in which foreign currency is used. Instead, the credit card or debit card company may charge a foreign transaction fee for every time the card is used in a foreign country regardless of the currency of the purchase.
Save Money and Buy Foreign Currency Online from XChange of America
To avoid the often high cost of dynamic conversion which can be accompanies by foreign transaction fees, it is a good idea to buy foreign currency online before departing on your trip abroad. This allows you to receive a more favorable currency exchange rate that you would receive through dynamic currency conversion at the point of sale. XChange of America updates its foreign currency exchange rates daily and does not have hidden fees that can add up to you paying a lot more. Thus, it is wise for you to buy foreign currency online from XChange of America before traveling to a foreign country.