The best exchange rate for Hungarian forints is obtained by always paying with a card, as it is by far the most economical option. And to carry 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 the lowest costs in the market) and only withdraw the amount of cash we will need from an ATM.
Certainly, this technique to save as much money as possible during your vacation might surprise you, as one could think that it would be logical to exchange forints at the current exchange rate at any currency exchange or bank, especially since they advertise that there are “no commissions.” But no! Everything comes with a cost, even paying with a card has a cost, although they may not tell you or you may not see it at first glance.
Let me tell you a secret: we, the creators of this website, are a group of friends who have worked for several years in currency exchange offices, and frankly, changing cash is the worst option by far. In fact, to give you an idea of the magnitude of this bad alternative, you should know that most currency exchange operators or bank employees get discounts when exchanging currencies compared to the exchange rates offered to customers. And yet, we never exchange cash. At most, depending on the trip, we carry only a small amount for certain payments or in case it is necessary to enter the country.
So, it’s clear: always pay with a card and only withdraw the cash forints you’ll need from an ATM. Now let’s see how to pay the lowest possible cost in both cases:
What is the best card for paying abroad?
Based on the study we have conducted of all the cards available in the market for this year 2024, for making payments in any foreign country, travel cards have a lower cost than regular bank cards, and among the travel cards, Wise card offers the lowest costs.
These results are valid not only for payments in international stores in foreign currency (Wise would offer the best conditions, other travel cards would be on average about 4 times more expensive, and regular bank cards 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 on average about 4 times more expensive, and regular bank cards about 20 times more expensive).
Also, if you want to know exactly the cost differences and functionalities among the different cards available in the market in 2024, check out our comparative study at this link. As you will see, this comprehensive study analyzes all types of cards (debit, credit, and prepaid) and all types of providers (banks, fintech companies, financial institutions, etc.).
Is it necessary to take cards from our home country abroad?
As we mentioned, it is preferable to use the Wise card instead of a conventional bank card or other travel cards since you will save a significant amount of money when paying at foreign stores and withdrawing money from international ATMs by paying the lowest possible fees.
Therefore, you may not need to carry any other card, but keep in mind that if you are planning to make payments such as renting a car, you will need a credit card, as most car rental companies will hold an amount as a deposit and will only accept credit cards.
If, on the other hand, you will not be making this type of transaction, it is advisable to leave your bank cards with higher balances at home and only carry an extra debit card for security purposes with a small amount of balance in case of emergencies (imagine that your other card gets damaged or stolen, and you also lose your phone, leaving you with no means to pay).
Keep in mind that in case of theft, there is a risk of fraudulent operations with your cards up to their limits, while with the Wise card we recommend, your balance will never go negative, so only the deposited balance can be spent.
Additionally, you can instantly block your Wise card from your phone, whereas with your bank cards, you may need to call your bank to cancel them, running the risk of them not providing service at that time due to being a holiday or outside customer service hours.
For all these reasons, when traveling, it is much better to carry a debit card like the Wise card with the amount of money you will need. If you need more, you can always top it up instantly through the mobile application, and if you want to block it due to loss or theft, you can do so immediately through the app as well. This way, you will have full access to your money at all times, without paying commissions for it and minimizing the risk of theft.
As you can see, this card offers numerous features through the mobile phone, so it is important to ensure that your phone’s battery is always fully charged. Keep in mind that many countries have different plug types. Therefore, it would be a good idea to purchase a universal plug adapter for travel, as it will be useful for any future trips you may take. In this link, for a very affordable price, we show you a universal plug adapter, as well as other ideal and necessary products for traveling.
Finally, it is essential to know that if you are taking your credit card to pay deposits for operations such as car rentals, it is advisable to inform your bank before traveling abroad about your travel plans and the limits you will need. Remember that all cards have daily, weekly, and monthly limits, and when traveling, you are likely to spend more than usual, so if you have relatively low limits without knowing it, you could reach your limit and find yourself in a serious predicament.
What to do if my card runs out of balance abroad?
If your debit card runs out of balance while you’re abroad, you can always obtain money in a straightforward way:
- If you have a bank card, you can contact a family member or friend who is a customer of the same bank to make a transfer to your account. Transfers between accounts of 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 of different banks, which is 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 you will receive the money instantly.
What should I do if all my cards are stolen abroad?
If all your cards are stolen while you are abroad, here are some alternatives to help you get by:
- Use forints you have withdrawn from an ATM: You can pay with cash in foreign currency if you have made a withdrawal from an international ATM.
- Exchange your currency in cash: It’s always advisable to carry some of your home country’s currency in cash in case of emergencies, as you can exchange it to forints at currency exchange establishments if needed.
- Pay with your mobile phone: If your phone has NFC technology and your bank offers mobile payment service, you can link your mobile phone to your card, and even if the card is canceled or blocked due to theft, you can continue to pay with your mobile phone without any problems.
- Have someone pay for what you need from your home country: If you only need to purchase a plane, train, or boat ticket, anyone you know in your home country could pay for it online and send you the boarding pass via 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 of these agencies. Any contact you have could send 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 stores that will buy any gold jewelry from you without any problem.
- Sell your valuable belongings at a second-hand store: The most sought-after and easiest-to-sell items would be technological products like phones or laptops, as well as good-quality clothing and watches.
- Ask for money: The easiest way to get what you need would be to ask fellow countrymen who can trust you. If you need a small amount, a perfect place to ask would be next to vending machines, as people usually receive change from them, making it easy for them to give something.
- Go to your Embassy or Consulate: As a last resort, the representatives of your country can always provide you with assistance.
Where to find the best exchange for Hungarian forints in cash?
As mentioned before, the cheapest way to obtain Hungarian forints in cash is by withdrawing money from ATMs.
In any case, if you want to exchange Hungarian forints in cash at a currency exchange or bank, a margin of less than 5% compared to the official exchange rate would be a good rate. A margin between 5%-10% would be an acceptable rate; between 10%-15% would be a poor rate, and beyond 15% would be usurious.
You can easily find the official exchange rate of the Hungarian forint against your currency on Google. By subtracting the rate they offer you and dividing the difference between both by the official rate, you will get the percentage margin they are applying to you.
Usually, highly touristy areas are the worst places to exchange currencies, as they apply higher margins on exchange rates. Therefore, it is best to look for a good exchange establishment online rather than going to the first one you see.
However, if you need to exchange a small amount of money, it wouldn’t matter much where you exchange it in case of urgency and need, as it would mean assuming a small extra cost in the worst-case scenario.
What amount of cash is enough for traveling?
Exchanging cash only serves two purposes:
- It serves as an emergency fund in case your card and phone are stolen, allowing you to at least get by: buy something to eat, make a phone call, go to the embassy if you need to request a duplicate passport, and get to the airport to leave the country.
- It serves for making cash payments: at some street stores, some vending machines, and for paying for certain services, such as laundries, telephone booths, coin-operated shopping carts, etc.
Depending on the number of days you’ll be traveling and how much you plan to spend in cash, you can roughly calculate what you need, which, in any case, shouldn’t be a large amount.
Is it possible to know if the Hungarian forint exchange rate will be better or worse in the future?
Official exchange rates of all currencies function like any financial market, just like the stock market. While there are analysts and financial experts who make predictions, similar to stock market predictions, there is no evidence to prove that anyone can accurately predict future prices based on data.
Generally, exchange rates in the foreign exchange market tend to be quite stable, and over the course of a month, they do not vary much more than 5%, unless there is an unexpected economic or political event, such as the unexpected victory of an opposition party with a groundbreaking economic program.