first_img Facebook Twitter: @NeosKosmos Instagram According to a recent study by online currency conversion website ‘The Currency Shop’ commissioned by the Herald Sun, the majority of Australian travellers opt to exchange currency at the airport just before they jet off.Choosing convenience over careful planning can result in losing hundreds of dollars by exchanging money instead of going to a local bank. Many Australian travellers end up paying up to 23 per cent more in commission fees and extra charges than they would by exchanging their currency before they get to the airport.“There is a huge difference between the prices of buying currency at official foreign currency exchange providers inside and outside the airport. A difference that is ultimately deducted from a traveller’s spending money; what they have allocated to spend at their final destination,” said Justin Rampono, head of The Currency Shop.“For a A$2,000 transaction one could lose between $200 and $400, depending on the currency they wish to exchange,” Mr Rampono explained.“Even ordering the amount online prior to travel and arranging to receive the money at an airport exchange counter would save them money.”A good example is the New Zealand dollar value comparison; at Melbourne International airport it is sold at NZ$0.99 for every Australian dollar, while a currency exchange business in the CBD could give NZ$1.06.“This example makes more sense if we think of how A$2,000 translate into, say, NZ$1,928 at the airport, whereas if Australian travellers were to exchange the same amount of money beforehand they could get NZ$2,130,” he added.Increased fees at airport currency exchange shops may be attributed to a three per cent commission being charged for every transaction over $400.According to Travelex manager Dion Jensen, travellers who have their currency exchanged at the airport also pay for convenience on top of value.“Currency exchange at the airport is more expensive as one needs to take into consideration the service offered, being able to choose from 60 different currencies at the very last moment.Naturally, airport currency exchange shops pay more rent and are charged with higher fees across the broad in comparison to shops located at shopping malls or in the city,” Mr Jensen said.For currency exchange margin comparisions, go to choice.com.au/travel/money/travel-money/articles/travel-money-cards#rate-questionlast_img

Exchanging money at the airport could see travellers lose up to 20

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