Students
Banking
Contents
- Hard Currency
- Check Cards
- Credit Cards
- Travelers Checks
- Wire Transfers
- Tax Free Shopping
- ATM Locators
Hard Currency
Carrying hard currency is a must when traveling abroad. However, carrying to much cash with you can be a bad thing. Use a check card to withdraw smaller amounts of money so you do not have to carry as much on yourself.
Also be wary that certain currencies can be hard to exchange in other countries. A good example of this is the Scottish bank note. It is the pound which is the same currency as the rest of the UK except that the bank notes have different images. Because the images on the notes are different they are not readily accepted outside of Scotland. The point here is that you should not always count on being able to exchange your cash, have a back up.
We also suggest that you do not make large money exchanges for foreign currency. The high surcharges that you will be charged to make these exchanges are just not worth it. Here again we recommend using a check card to withdraw money because you will get the best exchange rate. Yet, if you need to exchange hard currency try not to use currency exchanges at the airport or near tourist areas as these typically have higher exchange rates. Instead exchange money at banks. Also, shop around by looking for the lowest surcharges and best exchange rates.
Check Cards
Check cards are the way to go when studying abroad. This is because of several reasons. First, you will not have to carry large amounts of cash because ATM’s are easily accessed in most locations. Second, if your check card is stolen most banks will not hold you liable for fraudulent charges. Third, most hostels require a small deposit online to book rooms. Fourth, if you need more money quickly anyone can easily deposit money into your checking account at home. Finally, most banks allow online access to your checking account so that you may easily track your money.
World Flex Studies suggests that you open two checking accounts. This is because you will then receive a check card for each account. Use your primary account but keep the second one as your back up. If your primary card should become lost or stolen simply go to the nearest online computer and transfer your funds to the secondary account. Of course you should also call your stolen card in as soon as possible, but having a secondary account might give you just enough time to beat a would be thief to the punch.
We also suggest that you specifically obtain a VISA check card. This is because VISA is more widely accepted then any other debit service internationally.
Credit Cards
It is recommended to have at least one credit card when studying abroad for emergency purposes. Like the check cards, we recommend students bring a VISA credit card.
Travelers Checks
To put it bluntly, travelers checks have become dinosaurs. They can be hard to cash, difficult to use in stores, and just a nuisance in general. However, if you are stickler for them we suggest the new American Express Travelers card. It has the same guarantees as a travelers check but the versatility of an American Express credit card. Check out the link below if you are interested.
Wire Transfers
If you need money quick a wire transfer can be made to you overseas. However, it can be costly. In a bank to bank wire transfer both parties are usually charged about a $15 fee. The person sending you the money will need your bank account number and the specific routing number for your bank. Contact your bank for this information. You can also use a third party to wire money. We recommend Western Union because they have the most locations world wide. Yet, this can also cost a large surcharge depending on the amount of money being wired. If you have a checking account and check card this can all be bypassed by having someone at home deposit money directly into your bank account.
Tax Free Shopping
While shopping in Europe you will notice a VAT (value added tax) on merchandise you purchase. This can be as high as 25% in some countries. As a foreigner you can sometimes circumvent these charges by shopping in stores displaying the tax free shopping emblem. When purchasing items in these stores you can request the salesperson to fill out a tax free shopping form for you. They will fill it out and staple your receipt to it. During your time abroad you may accumulate many of these forms. When you get to the airport on your way home show your purchases, receipts and passport to customs officials and have your Global Refund forms export validated.
Then Collect your refund in cash at a Cash Refund Office (usually in most major European airports) or send the forms to Global Refund for a bank check sent to your address or direct crediting of your credit card. See the site below for more information.
ATM Locaters
Mastercard/ Maestro/ Cirrus ATM locater
