It depends which country we’re in and the local conditions. We don’t usually use much currency abroad, just cards. (Just as we rarely use cash here at home). We tend to take a small amount of cash for the first day, just in case, which we change at a bureau in town here. It’s cheaper than a bank. If we need more we just go to an atm. But for some destinations it’s not possible to get currency outside the country and you need to go to a bank when you get there. And in some places they’d rather have dollars or euros than the local currency.

When I lived abroad I earned abroad and banked abroad, so didn’t the need to change money.

One tip for travellers to the UK. I’ve seen some American tourists attempting to pay in Euros. We don’t use them.

I get a hundred bucks or so in local currency before I go, then ATM in-country. We use our MasterCard (no exchange fees) on larger purchases and cash otherwise.

ATM with no fee card for some spending money. Mostly just use my bank cards with Visa/Mastercard affiliation while traveling.

For an expat, usually the cheapest way to exchange money is by bank transfer, from a bank account in one country to a bank account in another. A credit card approximates that but many issuers have unattractive fees or expensive/unfavorable exchange rates. Some issuers use the gimmick of "no fee foreign transactions" but make up for it by screwing you with an awful exchange rate. Fees and rates do vary from issuer to issuer. For cash, a retail ATM in a public place (not an airport other than for needed pocket change to get into town) is usually the best choice but rates for cash (a physical commodity) are less favorable than bank transfers.

I don't know about Canadian debit cards but I've found my American debit cards from major banks are usually accepted in regular ATMs worldwide.

Absent unusual postings, expats are usually paid in whole or in part in the currency of their location. Exchange requirements are usually limited to transfers of saved money back home. For some transactions, there can be a flat fee plus a percentage so limiting the number and increasing the amounts can save a bit.

For travelers, exchange rates and fees variations aren't going to make or break the affordability of the trip - accept it as just an added, unavoidable cost. What is avoidable is getting a cash advance from a credit card, that's the most expensive way to get money in any event.

As others, use an ATM that doesn't charge exchange fees. Be aware that is some countries credit cards are not as accepted and cash is more common.

Make sure you have a card with no fees as they really add up.

I have no fees on two of my cards, but the exchange rates on those are not really optimal. No sense in saving on foreign transaction fees when they make it back from you on exchange rates. Where is the best exchange rate to be had? It feels like a strategy game where the house always wins.

“Where is the best exchange rate to be had?”

I hope that’s a rhetorical question because no one can answer it. You need to check just before you travel. But obviously the house always wins. They won’t provide a service free of charge. You just have to research the house that wins the least. To be honest I don’t spend much time trying to save a few pounds. It’s a tiny proportion of the cost of the trip. Just a few coffees or a meal. Take a bus instead of a taxi and you’ve clawed it back.

To extend floral's comment the exchange rate for those that are not aware can change constantly including from minute to minute.

Just remember if you can at the ATM to request some small bills for tipping and small purchases.

I do realize exchange rates fluctuate. But some methods of currency exchange offer better rates than others. I was hoping some here may have a good suggestion with what they do to get the best rate...something I haven’t tried yet.

And floral, this isn’t just for a short visit and a taxi ride. I’m also doing some preliminary research for a longer term move to Europe, which would involve larger transfers of cash. So any suggestions on your best methods of currency exchange would be helpful.

HG you need to call your bank and talk to someone who routinely does international monetary exchanges. Each country has slightly different laws and transferring money wrong can see it seized and you disappearing for a number of years.

We have many temporary foreign workers, mainly seasonal, and mainly from Mexico and the Caribbean, some the Philippines, working in Canada, largely on farms, greenhouses, etc. and there has been complex health issues dealing with their travel back and forth recently.

A half dozen or so have worked during several summers on a tobacco farm locally and I've talked to them occasionally.

I think they've been using transfer agencies, e.g. Western Union, to send money home during their time here, who charge fairly high fees.

I asked at the Bank of Nova Scotia, which has a substantial presence in the Caribbean, whether they could open accounts here and some near their homes and transfer money between them. Their reply was that it can't be done simply, that there has to be a third party related to such transfers.

I want to spend some more time on it, to try to find the least costly and simplest way to get the job done.

I expect that the agencies that deal with this will have some experience, thus information.

ole joyful

"HG you need to call your bank and talk to someone who routinely does international monetary exchanges. Each country has slightly different laws and transferring money wrong can see it seized and you disappearing for a number of years.."

Oh my.

Most American banks, and perhaps Canadian ones too and especially ones with retail rather than business focuses and outside of large cities, do very little in the way of international transfers and foreign exchange.

If you want to move a lot of money to buy real estate, as an example, you probably need to be on the other end first establishing a relationship with a bank in the foreign country. Which in many countries is not a trivial thing to do. For most European banks of reasonable size, money exchange is a daily matter and not restricted to simply large businesses. Don't be surprised to receive a more favorable exchange rate and fees on the receiving side (a European bank) than the originating bank in North America would offer. Check both but that was always my experience. They can also guide you on how to arrange a transfer. You can usually specify a transfer as being either in the currency of the recipient (sending bank does the exchange) or the sending bank (receiving bank does the exchange)

There's a service named Wise, akin to the US Zelle but with much higher limits (hundreds of thousands of dollars, for example), that reputedly has cheap exchange rates. European banks have what are called Swift codes - the equivalent of routing numbers as used in the US but usable internationally and cross border - that are used to identify the destination bank.

One thing I advise you to not worry about is to pay to much attention trying to play the exchange rate game. You'll never get the timing right. As before, accept the differences over time as just a cost of doing business.

Good luck.

I have a Charles Schwab account for my travel money. They refund all ATM fees worldwide, and there is no minimum balance or monthly fee. I also use a no foreign transaction fee credit card.

https://www.schwab.com/checking

Where I live if we are going to the US and using cash we find the best place to exchange our money is at the VIA Train station, they always seem to have the better rate. When I used to travel in the late 1980's and early 1990's to Europe I used to always use American Express Travellers Cheques. I haven't travelled since then so I don't even know if they are used any more. I always ordered a small amount of cash from the Country I was visiting for tips and cab fares for when I first arrived.

Another thing to be aware of when using your credit card overseas: Be sure the charge is processed in the local currency, not your home currency, to avoid a foreign currency fee. The merchant is supposed to offer you a choice but often they don’t.

Travellers cheques are a thing of the past.

Citibank Plus credit card offers excellent exchange rates and no fees. As Pam says, when you use it you need to be sure you are being charged in local currency.

If you are exchanging cash, do so in the country that issues that currency for the best rates, i.e, buy Sterling in the UK, Euros in the European Union, AUD in Australia etc. Even airport exchjange rates (typically the worst) in the airport you arrive in are usually better than the rates you encounter at home. If possible we just get a hundred dollars or so to be getting on with when we arrive and get any more cash we require later after seeing what the rates are on offer.

Another thing to be aware of when using your credit card overseas: Be sure the charge is processed in the local currency, not your home currency, to avoid a foreign currency fee.

And you are also given a similar choice at some ATMs - never choose your own currency, always the local currency.

It wasn’t clear from the OP that this was more about a longer move to Europe since it conflated travel and living. Most of us answered about travel. I’m sure there are more specialist fora than this one for information on long term arrangements. This website is a well known one here https://www.moneysavingexpert.com/banking/foreign-currency-exchange/ and bear in mind that Europe isn’t a homogenous bloc. You’ll need to check details for each individual country and if you’re going to be earning in the country you’ll need to open a bank account there.

Travellers cheques don't exist any more and regular cheques are barely used. Card or phone payment is ubiquitous. I don’t know about other countries but here the limit for contactless has just gone up to £100. Another point: tipping is far less common than in the US.

Elmer,

Wise being the company formerly known as TransferWise, correct? I understood (and my info may be outdated) that using my bank to transfer money would be one of the more expensive ways, and a currency service like this would be better.

You have some relevant information there. If I read correctly, you did spend time living in Europe (I think that was you). So thank you for that feedback. And thank you for the tip about the better rate usually being on the receiving side. I did some digging and that seems to be the consensus. I will try to avoid that mistake.

The bank account we have already taken care of and yes, there will be a property purchase involved. There will occasional short term visits for the first couple years, but after that, there will be monthly transfers of money involved.

We are keeping Canadian accounts as well as Canadian credit cards as there are assets and expenses still here in Canada. There are some things I can still purchase while in Europe, in Canadian funds, with Canadian financial services and avoid exchange rates and fees altogether.

And I agree. I am not going to attempt to time the exchange rate. Never going to win that game. But I’m also trying to avoid paying too much on the exchange frees and commission portion if there is a better way.

Floral,

You are right, I did mention both travelling and living. All ideas are welcome?

I will be spending time both travelling and living, so it’s good. I will obtain a credit card at the new bank once I move permanently, but I will still have to transfer my Canadian funds from Canada into my other account.

Cha-ching!! Haircut, right off the top, please.

Even once there, still a lot of travel...with plenty of it in the UK. Our favourite place in the world.

I've heard that currency exchange transactions are more expensive in Canada than in the US, I have no way to know if that's true.

Yes, I lived abroad for several years but I was working and was paid both in local currency and US dollars. So my major money movements were on a much smaller scale than buying property and because it was at an earlier stage of my adult life, were triggered by having meager funds in both places and having to move money from where I had it to where I needed it at times, in either direction from time to time. I spent my career working in international business and am generally familiar with cross border banking and exchange matters.

As the time gets nearer for the large transfer, set up a comparative quote for the two movement alternatives. Just to make up circumstances - tell your Canadian bank or a transfer service that you want to move $100,000 converted to that day's equivalent in pounds next Wednesday to your bank in the UK. You wish to learn on that day how many pounds would have been the net result. Also do the reverse - tell your UK bank you will hypothetically send them a deposit of $100,000 on the same day, please report how many pounds will result from the transaction. That should give you an idea.

Good luck.