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Be money smart when you’re abroad

When you’re overseas, spending money wisely and safely can help ensure a stress-free holiday experience. Here are our top tips for being money smart while abroad.

4 minute read

1. Cash or card?

Minimise the risk of being stuck without money overseas by taking a mix of both cash and cards. That way you’re covered should you lose one, or if you come across places that don’t accept cards. Credit cards offer extra protection. As with debit cards, most credit cards offer a zero fraud liability guarantee¹ which means you’re covered for any fraudulent transactions as long as you’ve complied with the terms of service. Some credit cards even come with travel insurance benefits.

2. Buy cash before you leave New Zealand

Even though getting cash out at an ATM once you arrive at your destination is easy², it could be a good idea to take at least some foreign currency with you. This means you’ve ticked an item off the to-do list when you first arrive.  

3. Take a back-up card

When it comes to overseas travel, don’t put all your financial eggs in one basket – along with cash, take a couple of cards with you. The second card could be a credit card or your debit card, but whatever it is, the peace of mind of having alternative access to money will be invaluable if disaster strikes.

Make sure you don’t keep both cards in the same place. Take one with you when you're shopping, and leave the backup card in the hotel safe if possible.

4. Link your bank accounts to your credit card

Some banks may allow you to you link your bank accounts to your credit card. This is not only convenient, but will be more cost effective than getting a cash advance off your credit card². With your regular accounts linked, you can simply choose ‘chq’ (cheque) or ‘sav’ (savings) at some ATMs or terminals. It’s also a handy safety net should you lose your debit card. Please note, this service isn’t available in all countries.

5. Let your bank know you're travelling

Contact your bank before you leave and let them know where you’re travelling to, and when. That way they’ll know it’s you using your card overseas and not a criminal. If they don’t know it’s you, you run the risk of having your card temporarily blocked as they may try to ascertain whether there’s fraud being committed.

6. Use a travel money card

A travel money card is a prepaid debit card that you load with your own money. Once loaded with money, it can be used to buy goods and services in stores and online just as you would with an ordinary credit or debit card, but in the local currency. A travel money card can also be used to get cash out at an ATM.

The main difference from credit and debit cards is that travel money cards are prepaid. Instead of paying for things using credit or money sitting in your bank account, you’re paying with money that you have preloaded onto the card. Some travel cards also allow you to transfer money via their app, just like doing a normal bank transfer. What’s more, you can load the card with multiple foreign currencies if you know you’ll be visiting more than one destination.

7. Be fee savvy

Fees can mount up when travelling, so ensure you’re aware of how your accounts may be affected when using your card. In addition to having to do the maths on currency exchange with each transaction, you may find some ATMs will charge extra fees on top of those charged by your own bank.

8. And finally...

Ensure you’ve saved your bank’s overseas contact number in your phone in case you need to call them from overseas – the normal 0800 number may not work. Also, don’t forget to take your second factor authentication (for BNZ customers this is your mobile with the BNZ app set up) so you can access Internet Banking. Another important tip is to avoid public Wi-Fi networks for accessing sensitive information wherever possible.

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¹We’ll repay any transactions that you didn’t make as long as you’ve complied with your credit card or debit card T&Cs.

²Cash advance fees may apply. Foreign currency service fees apply if not in NZ dollars. Overseas bank & other charges may also apply. See our card support page for more information.

BNZ Standard terms and conditions apply to all BNZ transaction and savings accounts, and debit cards. For credit cards, eligibility criteria and credit card terms and conditions apply. See our Fees Guide for rates & fees

Internet access required for the BNZ app and internet banking. BNZ Internet T&Cs apply. Maintenance sometimes required.

This article is solely for information purposes. It’s not financial or other professional advice. For help, please contact BNZ or your professional adviser. No party, including BNZ, is liable for direct or indirect loss or damage resulting from the content of this article.

References to third party websites are provided for your convenience only. BNZ accepts no responsibility for the availability or content of such websites.