Forex card is a handy pre-loaded instrument with a single or multiple currency of the country or countries you plan to travel. Just like the debit or credit, you can also withdraw funds using it and at the same time can make payments at merchant outlets.
Securing a forex card comes with its own set of costs that includes currency conversion charges, fees and other charges.
Currency conversion charge vary on a daily basis worldwide and is the currency rate for a particular currency say for 1$ you need to shell out the exchange rate applicable for that particular day. Money changers and banks ask for money over and above this rate to meet up their cost as margin money, while this is high in case of money changers of between 3-3.5%, some of the online companies in the domain including buyforexonline provide it sometimes at no additional charges.
Plus there are additional charges in case you get the forex card issued from a bank
1. Issuance charge : Rs. 150-Rs. 200
2. Reload charges: Rs. 100-Rs. 200
3. Transaction cost: Every time you do a transaction using the forex card, a levy of Rs. 200-Rs. 400 is charged.
4. GST charges also apply @ 0.25%-0.30%
But if you wish to get rid of all such charges you can approach an online facilitator for the purpose and buy the currency of the country you are travelling to by providing some basic relevant details. Depending on the city of your residence, the time shall be taken for delivery. So, if you know the basic rules, avoid going to a bank or money changer for the forex card who charge heftly over and above the basic currency rates.