If you plan to travel frequently to the same foreign countries or are planning to travel soon it may be a very good idea to plan the purchase of forex by monitoring the current currency exchange rates. The South African Rand is very volatile and reacts to many financial and market disruptions worldwide.
The exchange rates can fluctuate and if by monitoring the rates you become aware of a good rate it is a good investment to purchase foreign exchange at that time.
Monitoring the exchange rates is a very easy task. You simply need to find a site which has up to date current currency exchange rates. Once you have identified a good site the rest is very easy. Just check the rates at least once day to see a trend.
Some sites have extensive features like exchange rate calculators. You simply put in the amount that you would like to convert and then choose the currency you want to convert to and from.
Buying foreign exchange before you travel also will allow you to budget. By having bought at a fixed rate, you will not be caught out when traveling and the exchange rate might change for the worst.
It can also be confusing if you try to exchange money at a financial institution in the country you are visiting. Although most foreign banks have English speaking associates who will explain the current currency exchange rates to you, some don’t.
If this is the case and you don’t speak the language of the country you are visiting it can be frustrating exchanging your money there.
Many people wait until they arrive in their destination country before exchanging their money. In many airports there are foreign exchange outlets who will facilitate this. This is a very convenient method of exchanging money but it can also be one of the more costly methods depending on competition at the airport.
If you are traveling in the future and want to ensure that you get the best exchange rate at the lowest fees for your South African Rand you better start monitoring the daily rates and plan ahead.