logo
Experts advise packing lightly on cash when travelling

Experts advise packing lightly on cash when travelling

When was the last time you pulled out cash to pay for something? Many Canadians might have to think long and hard, especially if they're younger.
Canada has gradually moved toward becoming a cashless society, with most people paying for purchases with smartphones or credit cards. However, whether or not you should carry cash — and how much — can still be a point of contention when travelling abroad.
'The question shouldn't be whether cash is still worth it, but it's how to use it wisely, especially when every dollar counts,' said Amra Durakovic, a spokesperson for Flight Centre Travel Group Canada Inc.
She said the decision to carry cash and the amount depends on the destination, purpose of travel and how prepared a traveller wants to be.
When Durakovic was travelling to Nicaragua, she knew the airport transfer cost and driver tips would likely be a cash-on-hand situation. For her Morocco trip not too long ago, she said she carried small bills in U.S. dollars when visiting local markets and to pay for taxis.
Even if you're going on a cruise or to an all-inclusive resort, carry some cash for tipping staff, Durakovic suggested.
'We would recommend that you do carry a modest amount in bills, ideally in the currency that's most widely accepted locally,' she said.
Durakovic said she personally takes at least US$100 in cash when travelling abroad, mostly in smaller bills.
She also emphasized paying gratuities on all-inclusive trips in Canadian dollars ahead of time to avoid exchange rate surprises or finding out there are no ATMs on-site at the resort.
Sometimes, all-inclusive resorts and cruises can include gratuities in a daily service charge, allowing travellers to account for tips in their budget ahead of time. Prepaid gratuities are typically broken down per night and per guest. For example, Disney Cruise recommends a prepaid gratuity of between US$16 and US$27.25 per night, per guest.
When Nicole Hui was preparing to travel to Japan earlier this year, one of the first things she researched was whether it's a cash-reliant economy.
The travel and lifestyle content creator said she brought some cash to cover the initial transit from the airport, meals and tipping. But she took out money she needed after that from an ATM at a Japanese 7-Eleven — with a better exchange rate than what she would have received at Canadian banks.
But usually, Hui's go-to is her no-fee credit card.
'If it's a less cash-heavy place, I usually just stick with using (a credit) card, but still bring $100 to $200 of local currency for the trip, just in case it's needed,' Hui said.
But experts say exchange rates should be kept top of mind when travelling abroad.
'My issue with cash going abroad is it's really expensive to exchange, depending on where you're going,' said personal finance and travel expert Barry Choi.
Choi's turning point was when he travelled to Brazil and Argentina almost a decade ago and faced an exorbitant exchange fee at the bank.
Ever since, Choi said he prefers either a no-fee credit or prepaid cards, or he will withdraw money at ATMs abroad, if needed.
He advised looking for a travel card that allows charge-free ATM withdrawals, credit cards with no or lower exchange-rate fees or a multi-currency card, such as Wise.
He does not recommend exchanging money at the airport.
Choi's decision to carry cash and the amount comes down to researching what the acceptable currency is in the country he's visiting.
He recalled travelling to the United States earlier this year and not using cash once during his trip.
Another downside to getting cash is the leftover local currency you may never use, Choi said.
'Why I tell people to carry less cash is: Back in the day, you would keep exchanging all this money, you'd pay high fees to begin with, and then you're left with these random currencies that you may or may not use,' he said.
There's a chance of losing money when exchanging leftover local currency for Canadian dollars, depending on the exchange rate fluctuations.
But Choi said he still carries US$50 in local currency that can cover a meal or taxi ride, just in case.
'There are still a lot of stores that only take cash, so you could be in the middle of nowhere or even a country where you don't speak the language,' he said.
'You should always have some kind of backup cash, even if it's U.S. dollars, Canadian dollars, or whatever.'
This report by The Canadian Press was first published July 22, 2025.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Copper Rises to Start Pivotal Week Ahead of US Tariff Deadline
Copper Rises to Start Pivotal Week Ahead of US Tariff Deadline

Bloomberg

time29 minutes ago

  • Bloomberg

Copper Rises to Start Pivotal Week Ahead of US Tariff Deadline

Copper rose to kick off a critical week that includes a Federal Reserve meeting, a swathe of key economic data and the prospect of final details on imminent US tariffs on the industrial metal. The metal rose with other risk assets after the European Union and the US reached a deal that avoids a more catastrophic rupture between two major economies. The agreement comes ahead of a US-China meeting in Stockholm that's expected to extend a trade truce for 90 more days.

US-China talks to restart as hopes grow for trade war truce extension
US-China talks to restart as hopes grow for trade war truce extension

Yahoo

timean hour ago

  • Yahoo

US-China talks to restart as hopes grow for trade war truce extension

The US and China are due to start a fresh round of talks on Monday as expectations grow that the world's two biggest economies could agree a 90-day extension to their trade war truce. The meetings in Sweden - led on Washington's side by Treasury Secretary Scott Bessent and for Beijing by Vice Premier He Lifeng - come hours after US President Donald Trump announced a framework tariffs deal with the European Union. The current 90-day truce between the US and China - which saw the two countries temporarily lowering tariffs on each other - is set to end on 12 August. Since Trump returned to the White House in January, the US and China had raised import levies on each other to more than 100%. The current 90-day tariffs pause came after top officials from the US and China met in Geneva and London earlier this year. Last week, Bessent said talks with China were in "a very good place" and suggested the new round of talks could result in a second truce. On Monday, citing sources on both sides, the Hong Kong-based South China Morning Post reported that the US and China are expected to extend the truce by another three months. The BBC has contacted the Chinese embassy in the US and the US Treasury Department for comment. The latest US-China talks come after Washington struck deals with both the EU and Japan in the last week. On Sunday, Trump and European Commission President Ursula von der Leyen announced a trade agreement framework. It ended a months-long standoff between two of the world's biggest economic partners. Last week, Trump said Washington had agreed a "massive" trade deal with Tokyo. Under the agreement, Japan would invest $550bn (£407bn) in the US while its goods sold to America would be taxed at 15% when they reach the country - below the 25% tariff Trump had threatened. The US has also struck tariffs deals with the UK, Indonesia and Vietnam. At 10%, Britain has negotiated the lowest US tariff rate so far. No similar breakthrough is expected from the US-China talks this week but, with expectations of an extension to their truce, there are hopes that global trade will not be hit by fresh tariffs disruption. Asia is reeling from Trump's tariff salvo – is anyone winning? What the US-Japan deal means for Asia and the world Sign in to access your portfolio

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store