The best exchange rate for converting Norwegian crowns is achieved by using a card for all transactions since it is by far the most economical option. And if you need to carry some cash, the best choice is to withdraw money from an ATM.
In other words, the most effective money-saving strategy would be to always pay with a card (as we will see later, in 2024, Wise’s card offers the best exchange rates and lowest costs in the market) and only withdraw the amount of cash you’ll need from an ATM.
Certainly, this technique to save the most money during your vacations may surprise you, as one might think that the logical thing to do is to exchange crowns for the current exchange rate at any exchange office or bank since they often advertise “no commissions.” But here’s the truth: everything comes with a cost, even paying with a card has a cost, even if they don’t explicitly tell you or you can’t see it at first glance.
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 frankly, 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 banking employees get discounts for exchanging currencies compared to the exchange rates offered to customers. But even with those discounts, we never exchange cash. At most, depending on the trip, we only exchange a small amount for certain payments or 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 lowest cost possible in both cases.
What is the best card for paying abroad?
Based on the study we conducted on all the cards available in the market for this year 2024, for payments in any foreign country, travel cards have a lower cost than regular bank cards, and among travel cards, Wise provides the lowest costs.
These results are valid not only regarding the costs of payments in international stores in foreign currency (Wise would offer the best conditions, other travel cards would be on average four times more expensive, and regular bank cards would be on average ten 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 four times more expensive, and regular bank cards would be on average twenty times more expensive).
Moreover, if you want to know precisely the cost and functionality differences among the different cards available in the market in 2024, don’t miss our comparative study at 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.).
Do you need to bring cards from your home country abroad?
As we mentioned, it’s preferable to use the Wise card instead of a regular bank card or other travel cards, as you’ll save a significant amount of money when paying in foreign stores and withdrawing money from international ATMs by paying the lowest possible commissions.
Therefore, in principle, you wouldn’t need to bring any other card. But keep in mind that if you plan to make payments like renting a car, you’ll need a credit card since most car rental companies will hold an amount as a deposit and will only accept credit cards.
If, on the other hand, you won’t be making these kinds of transactions, it’s recommended to leave your high-balance bank cards at home and only bring an extra debit card for security, with a small amount in case of emergencies (imagine that your other card gets damaged or stolen, and you lose your phone, so you have no way to pay).
Keep in mind that in case of theft, you run the risk of fraudulent operations with your cards, up to the limits they have, whereas with the Wise card we recommend, your balance will never go negative, so only the deposited amount can be spent.
Furthermore, you can instantly block your Wise card from your phone, while with your bank cards, you may need to call your bank to cancel them, risking not getting service immediately if it’s a holiday or outside of customer service hours.
For all these reasons, when traveling, it’s much better to carry a debit card like the one from Wise with the amount of money you’ll need. If you need more, you can always reload it instantly through the mobile app, and if you need to block it due to loss or theft, you can do it instantly through the app as well. This way, you’ll have full access to your money at all times, without paying any fees and minimizing the risk of theft.
As you can see, this card offers numerous features through the mobile phone, so it’s important to ensure that your phone’s battery is always charged. For this reason, remember that in many countries, the plugs are different. Therefore, it’s a good idea to acquire a universal plug adapter for traveling, as it will be useful for any trip you’ll take in the future. In this link, you can find a very affordable universal plug adapter, as well as other ideal and necessary products for traveling.
Lastly, it’s important to know that if you plan to bring your credit card from your bank to pay for deposits in operations such as car rentals, 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’ll likely spend more than usual, so if you have somewhat low limits without knowing it, you could reach your limit and find yourself in serious trouble.
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 still obtain money in a straightforward manner:
- If you have a bank card, contact a family member or friend who is a customer of the same bank to make a transfer to your account. Transfers between accounts within the same bank are instantaneous, so once the transfer is completed, your card will be able to use the new balance in your account. Another option is an “immediate transfer” between accounts from different banks, which is also processed instantly.
- If you have a prepaid card like Wise’s, you can reload it through the app (or someone else can do it for you), and you’ll receive the money instantly.
What to do if all my cards are stolen abroad?
If all your cards are stolen while you’re abroad, here are your options to get through the situation:
- Use cash you withdrew from an ATM: If you’ve made a withdrawal from an international ATM, you can use the cash in foreign currency to make payments.
- Exchange your home currency for cash: It’s always advisable to carry some cash in your home currency in case of emergencies, as you can exchange it for local currency at exchange offices if needed.
- Use mobile payment: If your phone has NFC technology, and your bank offers mobile payment services, you can link your phone with your card. Even if your physical card is cancelled or blocked due to theft, you can continue to make payments with your phone without any issues.
- Have someone pay for what you need from your home country: If you only need to purchase things like plane, train, or boat tickets, anyone you know in your home country can make the payment online and send you the boarding pass by mobile (or you can download it through the company’s app).
- Receive money through money transfer agencies: In most tourist cities, you’ll find numerous money transfer agencies. Anyone you know could send you money from your home country through one of these agencies.
- Sell your gold jewelry to a gold buying store: In most major cities worldwide, there are numerous gold buying establishments where you can easily sell any gold jewelry.
- Sell valuable belongings to a second-hand shop: The most sought-after items and easiest to sell would be technological products like phones or laptops, as well as high-quality clothing and watches.
- Ask for money: The easiest way to get what you need would be to ask fellow citizens who can trust you. If you only need a small amount, a good place to ask is near vending machines, as people often have change and are more likely to give you something when you ask.
- Contact your Embassy or Consulate: As a last resort, the representatives of your country can provide assistance.
Where to find the best exchange rate for Norwegian crowns in cash?
As mentioned before, the cheapest way to obtain Norwegian crowns in cash is by withdrawing money from ATMs.
In any case, if you were to exchange cash for Norwegian crowns at a currency exchange office or bank, a margin of less than 5% compared to the official exchange rate would be a good exchange rate. A margin between 5% to 10% would be acceptable, between 10% to 15% would be a poor rate, and anything beyond 15% would be considered usury.
You can easily find the official exchange rate for the Norwegian crown against your currency on Google. Subtracting the rate offered to you from the official rate and dividing the difference by the official rate will give you the percentage margin they are applying.
Usually, highly trafficked areas in tourist locations have the worst exchange rates since they apply higher margins on the rates. Therefore, it’s best to search online for a good exchange establishment instead of going to the first one you see.
In any case, if you need to exchange a small amount of money, it wouldn’t matter much where you exchange it in case of necessity and urgency, as it would involve assuming a small additional cost in the worst-case scenario.
What amount of cash is sufficient for traveling?
Exchanging cash only serves two purposes:
- It serves as an emergency backup if your card and phone are stolen, allowing you to at least manage basic needs like food, phone calls, transportation to the embassy if you need a duplicate passport, and getting to the airport to leave the country.
- It’s useful for making cash payments at some street vendors, vending machines, and for paying certain services like laundromats, phone booths, shopping carts that require coins, etc.
Depending on the number of days you’ll be traveling and your estimated cash expenses, you can calculate approximately how much you’ll need. In any case, it shouldn’t be a large amount.
Is it possible to know if the exchange rate for Norwegian crowns will improve or worsen in the future?
Official currency rates for all currencies work like any other financial market, just like the stock market. There are analysts and financial gurus who make predictions, but like predicting stock prices, there’s no evidence to prove that anyone can accurately predict future rates with certainty.
Generally, foreign exchange rates tend to be relatively stable, and over the course of a month, they don’t fluctuate much more than 5%, unless there’s an unexpected economic or political event, such as an unforeseen victory of an opposition party with a radical economic program.