The best exchange rate for Czech Crowns can be obtained by always paying with a card since it is by far the most economical option. And for carrying some cash, the best choice is to withdraw money from an ATM.
In other words, the best strategy to save money to the maximum would be to always pay with a card (as we will see later, in 2024 Wise card offers the best exchange rates and lowest costs in the market) and only withdraw the amount of cash we will need from an ATM.
This may surprise you as a technique to save the most money on your vacations since if you visit any exchange house or bank, you will see advertisements boasting “no commissions,” and one might think that logically, you could exchange Crowns at the prevailing rate and be done with it, right? Well, not exactly! Everything comes with a cost, even paying with a card, though it might not be apparent or disclosed upfront.
Let me tell you a secret: this website was created by a group of friends who have worked for several years in currency exchange offices, and truthfully, exchanging cash is the worst option by far. In fact, to give you an idea of how bad this alternative is, you should know that most currency exchange operators or bank employees receive discounts to exchange currencies compared to the rates offered to customers. But even with that advantage, we never exchange cash. At most, depending on the trip, we carry only a small amount for certain expenses or just in case it’s necessary to enter a country.
So, it’s clear: always pay with a card and only withdraw the necessary amount of cash from an ATM. Now, let’s see how to pay the least possible cost in both cases:
Which is the best card for paying abroad?
Based on the study we conducted of all the cards available in the market for this year 2024, for payments in any foreign country, travel cards have lower costs than regular bank cards. Among travel cards, the one with the lowest costs is the Wise card.
These results are valid not only for payments in international stores in foreign currency (Wise offers the best conditions, other travel cards are on average about 4 times more expensive, and regular bank cards are on average about 10 times more expensive); but also for the costs of withdrawing cash in foreign currencies from ATMs outside your country (Wise would again have the lowest fees, other travel cards would be about 4 times more expensive on average, and regular bank cards would be about 20 times more expensive on average).
Also, if you want to know the exact differences in costs and functionalities among the different cards available in the market in 2024, don’t miss our comparative study in this link. As you’ll see, this extensive study analyzes all types of cards (debit, credit, and prepaid) and all kinds of providers (banks, fintech companies, financial institutions, etc.).
Is it necessary to bring cards from our home country when traveling abroad?
As we mentioned earlier, it’s preferable to use the Wise card instead of a regular bank card or other travel cards since you’ll save a significant amount of money on payments in foreign stores and when withdrawing money from international ATMs by paying the lowest possible fees.
In this regard, you wouldn’t need to bring any other card initially, but keep in mind that if you plan to make payments like renting a car, you’ll need a credit card, as most car rental companies will place a hold on a certain amount as a deposit and will only accept credit cards.
If, on the other hand, you won’t be engaging in such transactions, it’s advisable to leave your main bank cards with higher balances at home and only carry an extra debit card with a small amount of funds for emergencies (imagine that your other card gets damaged or stolen, and you also lose your mobile phone, leaving you with no means to pay).
Keep in mind that in case of theft, you risk having fraudulent operations with your cards within their limits. With the Wise card we recommend, your balance will never go negative, so only the amount deposited in it can be spent.
Additionally, you can instantly block your Wise card from your phone, while with your bank cards, you may have to call your bank to cancel them, risking that they might not provide service at that moment if it’s a holiday or outside of customer service hours.
For these reasons, it’s much better to travel with a debit card like Wise, with the amount of money you’ll need. If you need more, you can always reload it instantly through the mobile application. And if you need to block it due to loss or theft, you can do it right away through the app as well. This way, you’ll have full access to your money at all times, without paying any commissions and minimizing the risk of theft.
As you can see, this card offers numerous functionalities through your mobile phone, so it’s essential to ensure your phone’s battery is always well-charged. Remember that in many countries, the plugs are different. Therefore, it’s a good idea to get a universal plug adapter for travel, as it can be useful for any future trips you plan. In this link, we show you a very affordable universal plug adapter, as well as other ideal and necessary products for traveling.
Lastly, it’s essential to know that if you intend to bring your credit card from your home country for operations like renting vehicles, it’s advisable to inform your bank in advance that you’ll be traveling abroad and the limits you’ll need. Keep in mind that all cards have daily, weekly, and monthly limits, and while traveling, you’re likely to spend more than usual. If your limits are somewhat low and you’re unaware of it, you could find yourself in a serious predicament.
What to do if your card runs out of funds abroad?
If your debit card runs out of funds while you are abroad, you can easily obtain money using the following methods:
- If you have a bank card, get in touch with a family member or friend who is a customer of the same bank and ask them to transfer funds to your account. Transfers between accounts within the same bank are instant, so once the transfer is completed, your card can use the new balance in your account. Another option would be to make an “immediate transfer” between accounts from different banks, as these transfers are also processed instantly.
- If you have a prepaid card like the Wise card, you can reload it through the app (or someone else can do it for you) and receive the money instantly.
What to do if all your cards are stolen abroad?
If all your cards are stolen while you are abroad, here are some alternatives to handle the situation:
- Use cash you have withdrawn from an ATM: If you have made a withdrawal from an international ATM, you can pay with the cash in foreign currency in case of emergencies.
- Exchange your home currency in cash: It’s always advisable to carry some cash in your home currency just in case of emergencies, as you can exchange it for local currency at exchange establishments if needed.
- Use mobile payment: If your mobile phone has NFC technology and your bank offers mobile payment services, you can link your mobile phone with your card. Even if your card is canceled or blocked due to theft, you can continue to make payments with your phone without any problem.
- Have someone pay for you from your home country: If you only need to purchase a plane, train, or boat ticket, anyone you know in your home country can pay for it online and send you the boarding pass on your mobile phone (or you can download it through the company’s app).
- Receive money through money transfer agencies: In most tourist cities, there are many money transfer agencies. Through these agencies, anyone you know can make a transfer from your home country for you to receive the money abroad.
- Sell your jewelry at a gold buying store: In most major cities around the world, there are numerous gold buying establishments that will easily purchase any gold jewelry from you.
- Sell your higher-value belongings at a second-hand shop: The most desirable and easiest-to-sell items would be technological products like mobile phones or laptops, as well as quality clothing and watches.
- Ask for money: The easiest way to get what you need would be to ask compatriots who can trust you. If you need a small amount, the perfect spot to ask is near vending machines, as everyone receives change from them, making it very likely that people will give you something when you ask.
- Go to your Embassy or Consulate: As a last resort, the representatives of your home country can provide you with assistance.
Where to find the best cash Czech Crowns exchange?
As mentioned before, the cheapest way to obtain cash Czech Crowns is by withdrawing money from ATMs.
However, if you prefer to exchange cash at a currency exchange office or bank, a good exchange rate would be one with a margin of less than 5% compared to the official exchange rate. An acceptable exchange rate would have a margin of 5%-10%; a poor exchange rate would have a margin of 10%-15%, and anything above 15% would be considered exorbitant.
You can easily find the official exchange rate of the Czech Crown against your currency on Google. By subtracting the rate offered to you and dividing the difference by the official rate, you’ll obtain the percentage margin being applied.
Usually, heavily frequented areas in tourist sites are the worst places to exchange currency, as they apply higher margins on the exchange rates. Therefore, it’s best to search online beforehand for a reputable exchange establishment instead of going to the first one you come across.
In any case, if you are changing a small amount of money, the location wouldn’t matter much in case of need and urgency, as it would only entail a small extra cost in the worst-case scenario.
What amount of cash is sufficient for traveling?
Exchanging cash serves two purposes:
• It serves as emergency funds in case your card and phone are stolen, allowing you to handle immediate needs such as buying food, making calls, getting to the embassy to request a duplicate passport, and reaching the airport to leave the country.
• It’s useful for making cash payments at certain places, such as street vendors, some vending machines, and for services like laundromats, payphones, coin-operated shopping carts, etc.
Depending on the number of days you plan to stay and your estimated cash expenses, you can calculate roughly how much you’ll need, which, in any case, should not be a large amount.
Is it possible to predict if the Czech Crown exchange rate will improve or worsen in the future?
Official exchange rates for all currencies work like any other financial market, similar to the stock market. While there are analysts and financial gurus who make predictions, just like stock market predictions, there is no evidence that anyone can reliably predict future prices based on available data.
In general, foreign exchange market rates tend to be quite stable, and over the course of a month, they don’t fluctuate much more than 5%, unless there is an unexpected economic or political event, such as an unexpected victory of an opposition party with a groundbreaking economic program.