Taking a sightseeing tour abroad? Essential transaction cards are required!!
Posted on: 21/Jul/2022 11:14:51 AM
Over the last few years, the `Forex` cards were very handy and utilised to a great extent by the citizens travelling on sightseeing tours abroad!
Presently Neo-Banks (Banks which do not have direct branches but operate digitally) offer cards under the name `Global Rupees Travel Cards`
As such, you may presently have some confusion regarding this aspect of what would be profitable! Here are the details! You may go through and decide yourself on the best approach!
What is Forex Card?
It is not advisable and not safe to travel abroad with a lot of cash on hand! There are Fores Cards which can be used for your financial transactions!
These cards are of foreign currency value. Banks issue these Forex Cards. For example, there are US Dollar Forex Card, Australian Dollar Forex Cards, UK Pound and Euro Forex Card, Dirham Forex Card, etc.,
As US Dollar is acceptable in most foreign countries, the US Dollar Forex Cards are the most popular!
In India, so far banks which issue Forex Cards are – Axis, HDFC, ICICI, etc,
Some Finance-technology organisations such as BookMY Forex also offer Forex Cards!
Global Rupees Card:
In this card, we can load Indian Currency instead of foreign currency. These cards can be used in as many as 180 countries in the world!
There are debit cards Niyo and HoB. HobPay is available as a prepaid International Card.
To use the Niyo and HoB cards, one needs to open an account in their partner banks. The account can be opened using an app or a website.
DCB, Bank of Mauritius, Yes Bank, and Equitas Small Fund Bank issue these global cards
Difference between the 2 types of cards
When we compare the Credit/Debit Cards with these global cards, the charges for transactions are lesser!
When buying items or services abroad, if we use our credit or debit cards, a 5% mark-off charge will be levied on the transactions. In Forex Cards this is 1% to 4%. In the case of Global Cards, it will be a maximum of 1.5%!
The amount we paid for buying the Forex Cards will not change! In case a dollar has been transacted at Rs. 75, , even if the Dollar value changes, the value of the Forex Card will not change!
Global Rupee Card will vary according to the fluctuation of the foreign currency! In case the Indian Rupee has appreciated during the visit, one may need to spend more!
In Forex Cards, we may fill up the balance through Net Banking. Even in Global Rupee Card, money can be added through IMPL, NEFT, RDGS, and ONLINE Banking!
When drawing money through ATM using Forex Card, a charge of 2 to 3 Dollars will be taken for a single time! For Global Cards, 3 types of charges – Rs. 150/- to Rs. 450, GST, and ATM Usage Charges – will be levied!
Forex Cards can be procured through Agents or Card Distributors! No new bank account needs to be opened! For Global Rupee Debit Cards, an account must be opened in one of the associated partner banks and need to keep a minimum balance!
While using a Prepaid Card, no bank account is required!
If required to change the foreign currency account in the Forex Card into Indian Rupees, there are charges levied from bank to bank!
Global Rupee Card can be used in India as well!
