Sometimes cash works just as well
When I travel abroad, I usually assume that digital payments are going to be the easiest option. Most of the time they are. But sometimes, convenience comes with a cost.
I found this out on a recent trip to the USA to watch England play football. While I was in the US, I needed to send some money to a friend who had helped arrange tickets.
Like many people would, I used PayPal. It was quick, familiar and easy.
But when I checked the numbers afterwards, the exchange rate told a different story.
The PayPal rate
I sent $790.63 using PayPal. The amount converted from pounds was £625, with a further £2.99 fee, making the total cost £627.99. The PayPal exchange rate shown was around £1 = $1.27
That meant I received $790.63 for the £625 converted.
What if I had bought travel money before leaving?
At around the same time, besttravelmoney.com was showing a top cash dollar rate of around £1 = $1.30+. One provider, TravelFX, was offering a USD rate of 1.3112.
At that rate, £625 would have bought approximately $819.50. That is around $28.87 more than I received through PayPal.
And once you include the PayPal fee, the total difference is closer to $32, or around £25.
That is not life-changing money, but it is enough for a meal, a few drinks, airport snacks, or a chunk of match-day spending.
Why the difference matters