FAQ

Questions our customers have been asking us:

1. Why should I buy foreign money before I leave home?
2. Can I use my credit card or bank debit card to obtain local currency in other countries?
3. What about travellers' cheques?
4. Should I exchange money at the airport?
5. Where can I find the rate a currency was trading at a few months ago?

Why should I buy foreign money before I leave home?

You should always try to have some local currency with you when you arrive at a foreign destination. You will need some for immediate expenses such as bus or taxi fares, phone calls or tips, and you may find it difficult to change money in the place or at the time you arrive. Exchanging money at some airports or other high-traffic tourist locations can be quite expensive - you are likely to do better if you buy what you need before you start your trip. You should not carry more cash than you are comfortable with, but you should always have some.

Wellington Foreign Exchange offers rates which we believe are better than those available at many airports and currency exchanges in other countries (and we would be glad to hear of any comparisons you make).

Can I use my credit card or bank debit card to obtain local currency in other countries?

You can use one card or the other in most countries, either in a bank or at a banking machine. However you should be aware that machines that accept Canadian bank cards may not be widespread in some countries.

It's a good idea to use your debit card if you can (look for the "Plus" or "Cirrus" or other logo shown on your card). The exchange rate which is applied is sometimes but not always a favourable one. Don't forget that each withdrawal will cost you a fee, usually between $2.00 and $5.00, depending on your card agreement with your bank. The money is withdrawn immediately from your account in Canada. You will not have much difficulty finding a compatible banking machine in the United States. Machines which take Canadian bank cards are quite readily found in Britain and Germany but may be hard to find in Japan and China, for example. In some countries your card will give you access only to the account identified as your "chequing" account. Ask your bank for information about the countries you plan to visit. Remember, too, that machines in some countries will not accept a PIN of more than four digits.

Canadian credit cards (particularly Visa) are accepted in most countries and generally will work in more machines than will our bank cards. You must have a PIN, of course. You may be required to pay interest on any cash advance from the time of the advance, in addition to the service charges set out in your card agreement. Some people avoid interest charges by making a payment in advance so as to have a credit in their account. If there's no machine available, you may be able to get a cash advance on your credit card at a bank service counter. Don't forget that retailers in some countries may not be equipped to handle credit card transactions.

What about travellers' cheques?

Travellers' cheques have the advantage that they can be replaced if they are lost or stolen. However many retailers outside North America will not accept them, and banks in some countries charge a commission to cash them.

Wellington Foreign Exchange does not sell travellers' cheques, but we do accept travellers' cheques in U.S. dollars, Pounds Sterling, and Euros if the proceeds are being converted to another currency.

Should I exchange money at the airport?

It's convenient, but we suggest you check and compare rates. It is quite common for buying and selling rates at airport exchanges to be less favourable to the consumer than rates offered elsewhere. In addition, airport exchanges often charge a commission. Together, these factors can produce a price differential of 5-10%.

Where can I find the rate a currency was trading at a few months ago?

Historical rates for most currencies can be found at www.oanda.com/

Notes on Particular Currencies

These notes, which we will add to from time to time, may be of interest when you travel to various parts of the world. We would welcome comments and suggestions.

Currencies of the British Isles

Travellers to some parts of the British Isles are sometimes perplexed by the types of paper money they find in use. It's really not that confusing.

The basic rule is simple: the United Kingdom (England, Wales, Scotland and Northern Ireland) uses the Pound Sterling; the Republic of Ireland(or Eire, with Dublin as its capital) uses Euro notes and coins.

In England and Wales the paper money in daily use is issued by the Bank of England. It comes in denominations of £5, £10, £20 and £50. This money will be accepted anywhere in the United Kingdom.

Scotland uses its own paper money, issued by three Scottish banks in notes of £1, £5, £10, £20, £50 and £100, with designs depicting Scottish historical and literary figures. It is the money in everyday use, but Bank of England notes are also accepted, and of course have the same value.

The six counties of Northern Ireland also have their own paper money, which again is a Sterling currency with the same value as the pounds used elsewhere in the U.K. Four banks in Northern Ireland issue notes in denominations of £5, £10, £20, £50 and £100. As in Scotland, Bank of England notes are also accepted.

Distinctive paper money is also in use in each of Guernsey, Jersey and the Isle of Man.

All of these banknotes are legal tender throughout the U.K., but as a practical matter you may find people reluctant to accept some of the less-familiar notes in places where they are not in daily use.

Euro notes, in use in the Republic of Ireland, come in denominations of: €5, €10, €20, €50, €100, €200 and €500.

COINS: The same coinage is used everywhere in the U. K.

Wellington Foreign Exchange regularly carries, and buys, the paper money of the Bank of England and the Euro. We usually also have the money of Scotland and Northern Ireland on hand, and are of course ready to buy it. We are prepared to buy the larger British and Euro coins, at a discount, and usually have some available for sale, at a lower rate than paper money. We will be pleased to try to fill any special requirements you may have for any of these currencies, and to answer any questions you may have.

The Euro - €

Many of the twenty-seven member countries of the European Union have adopted a common currency known as the Euro. The Euro countries are Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Slovenia and Spain; three other members of the E.U., Britain, Denmark and Sweden, have chosen not to participate at the present time.

The new currency has been in use since January 1, 2002. Notes of the former currencies of some of the countries are exchangeable for Euros at that country's central bank. A few countries will exchange their old currencies for Euros in this way indefinitely, but most have set deadlines of a few years, with shorter periods for coins.