What is Forex Card?
When travelling abroad, a forex card is the most convenient way to keep foreign currency on hand to cover the expenses. A forex card is a foreign currency prepaid card that you can load with a pre-determined sum. As a result, rather than carrying cash, you can use the card to pay for your bills when travelling abroad. It is a safer and unquestionably superior method of storing foreign currency.
A forex card resembles a prepaid card, such as a debit card. With a forex card, you have the option of filling your account with funds in a foreign currency. Since it is approved worldwide, you can use your forex card to pay bills or withdraw money from a foreign currency ATM.
Types of forex cards
Forex cards are mostly categorized into two types. One is called single currency cards and the other one is known as multi currency cards. Let us get into more details for greater understanding of both types of cards:
- Single Currency Forex Card: In this card, you can load one foreign currency. If you are just travelling to one country, you can buy the forex card.
- Multi Currency Forex Card: As the name suggests it, you can load multiple currencies in this type of card. Forex card vendors allow you to load as many as 14 currencies in this card. This is perfect for someone who will be travelling to multiple countries and will require different currencies. In this scenario, you do not need to worry about carrying different foreign currency notes.
Features and Benefits of Forex Card
With a forex card, you enjoy a number of benefits. Here are some of these mentioned down below:
- As compared to buying foreign currency in cash, Forex Cards offer better exchange rates. It is also less costly for lenders to have Forex Cards rather than giving foreign currency in cash.
- Foreign currency is loaded on forex cards at fixed exchange rates. As a result, they are unaffected by currency movements in the forex market. For example, if you loaded 2000 Canadian Dollars on the Forex Card, the total sum would be 2000 CAD, regardless of the fluctuation in the CAD to INR exchange rate.
- Forex cards are a safer mode of carrying foreign currency than cash because chip and pin technology is used to protect your funds. If your forex card is lost or stolen, it can be quickly blocked and the balance frozen. The money can then be transferred to the secondary forex card that was issued in conjunction with the first one.
- Several foreign currencies may be kept on a single forex card at the same time. The number of currencies that a bank can provide varies by bank; however, an online forex and remittance platform like BookMyForex have a unique tie-up with banks, and if you purchase a forex card on our platform, you can get some great deals and offers. Some forex card vendors can hold up to 10 currencies, while some vendors offer cards which can hold up to 14 currencies in the multi-currency forex card.
- Unlike debit and credit cards, Forex Cards do not charge additional fees when used in some foreign locations. This, however, varies from card to card, and you should always double-check with the forex card provider on any upcoming charges. For these transactions, debit and credit cards charge exorbitant fees.
- Forex Cards are well-known and accepted around the world. They can also be used to withdraw cash from an ATM in another country. Cabs in some other countries accept the Forex Card as a form of payment. In fact, you can use a Forex Card to make online transactions in other countries, such as ordering food or making hotel reservations.
How does a forex card work?
As we previously said, it functions similarly to a debit card that you use on a regular basis. You must first submit an application for a card. When it’s approved, you’ll be given a card with a pin, just like a debit card. The pin can now be modified.
The forex cards are approved all over the world and are a less expensive and safer alternative to carrying currency notes. In a multi-currency card, BookMyForex lets you load upto 14 currencies.
You have to keep in mind that forex cards aren’t accepted at all places, for example some of the highway tolls do not accept transactions via forex card. If you have a single currency card and you try to do a payment in a currency other than the one on your card, there are high chances that it may fail and in case it becomes successful, you will have to pay high charges on the transaction. You can easily spot the fact about how similar a forex card and our normal debit card is.
When you’re in a foreign land, you can simply swipe your forex card to pay for all of your expenses, whether it’s shopping for clothes or eating dinner somewhere. When you use your regular debit or credit cards, you will receive an SMS as well as an email notification of your purchase and remaining balance.
You can load/unload the forex card using the vendor’s platform.
Get to know how to apply for a Forex Card.
What do I do in case my forex card gets stolen?
You should not worry; we will now tell you the things to keep in mind in case your forex card gets misplaced somewhere or stolen in the worst case scenario.
- As soon as you realise the card has been lost, you must try to contact the forex card’s provider. Many of the providers are also available through WhatsApp, so you can contact them and inform them of the situation. The customer service team will block it immediately, and they can also freeze the amount available on your forex card.
- When you buy a Forex Card, a replacement card is usually included in the Welcome Kit. You can use this replacement card if your main Forex card is missing or stolen. You must unlock this card and transfer the remaining funds from your missing forex card to a replacement card, which you must then use.
- Some Forex Card providers offer an emergency cash assistance functionality. Customers can use some emergency funds if their forex card is lost on a foreign land (most of this is dependent on the forex card vendor). It can be delivered globally or picked up at your local address from a designated pickup location. Whatever the forex card provider sends will be deducted from your forex card’s main balance.
- Check the balance on your forex card to see if your funds are secure. In the case of a discrepancy, the customer’s forex card provider will be made aware. You should also have the phone number for the banking department that handles all forex card issues so that you are not concerned when your card is lost or misplaced on the spot.
Quick Tips for Using a Forex Card While Travelling
A forex card is a godsend for those looking for a quick and secure way to make payments when travelling abroad. Although forex cards are secure to use and offer a range of benefits, there are a few items that applicants should be aware of when using one.
- After each payment, do not forget to check the balance on the forex card. It is extremely important that you keep a check on the transactions made via the card so that there is no discrepancy on the amount that was deducted for your expenses. Most forex card vendors have a separate mobile app as well that can track your transactions just like a mobile banking app.
- Take a backup card in case your forex card is lost, stolen, or fails. Usually, a replacement card is always given in the welcome kit alongside but in case the forex card vendor has not provided it for some reason, you should definitely ask for a backup card so that in case anything goes wrong, you are not left stranded on a foreign land.
- Before leaving on your adventure, change your PIN at a nearby ATM. It is highly recommended to do this without fail.
- Look at the card’s expiration date to see if it’s still valid. This is another thing to watch out for before you head off to your foreign destination. There may be a few cases where the vendor might have provided forex cards whose expiry date might have passed, so it is very important to keep an eye.
- When travelling abroad, never use a forex card to reserve a space or pay a deposit for a rental home, vehicle, or room. This is one of the tips given by regular travellers.
- Do keep in mind to use the forex card only to pay in the currency that is loaded on the card. In case it is a single-currency forex card loaded in USD and you try to make a payment in CAD, it might fail and in case it’s successful, you might have to bear a number of unnecessary charges.
- When travelling abroad, do not use the forex card to pay tolls at toll booths because it will not operate.
Why BookMyForex’s Multi Currency Prepaid Forex Card is the Best Option for You?
There are a number of reasons why you should get a BookMyForex multi currency travel card before you head to your international destination:
- Zero charges: With the BookMyForex travel card, you do not have to pay any sort of charges for getting the card issued. You also pay absolutely zero charges on reloading the card as well as unloading the card. With this, you save up on a significant amount of charges that can be spent elsewhere during your trip.
- Exact interbank rates: With the BookMyForex travel card, our users enjoy loading the card with foreign currency at exact interbank rates. The users do not have to bear any added margins, we take care of that. As a result, the travel card users save around 0.5% – 2% over foreign currency notes, 0.5% – 2.5% over traveller’s cheque and a whooping 3.5% – 6% over your credit/debit cards. BookMyForex travel card will act as your true companion while you do the spending overseas.
- Free Insurance Cover: Even in case of a mishap where you encounter a fraud, you have an insurance cover that will take care of the situation. So you can be rest assured and enjoy your trip with peace of mind.
At BookMyForex, we have sold over 1.25 lac forex cards and our users have loaded over INR 1400 crores in the forex cards that they have purchased. Our customers have saved a combined total of over INR 19 crores.
So what are you waiting for? Go get your BookMyForex travel card now.