TIPS FOR UTILIZING LEFTOVER FOREIGN CURRENCY WHEN RETURNING FROM YOUR ABROAD TRIP
After returning from abroad, there is every possibility that you have some leftover foreign currency notes and funds in your forex card. Back in the foreign land, you have the options to either convert it there or play the waiting game if the currency value of the notes you will have to rise.
There are a few rules you must be aware of when keeping the foreign currency. The maximum amount of foreign money allowed is USD 3000, and all excess should declare at the airport by completing a CDF from which is known as the Currency Declaration Form.
Reserve Bank of India policy says an Indian national has the right to hold up to 2,000 US dollars in foreign currency or its equivalent indefinitely. Foreign currencies worth more than the above-specified limit must be encashed within 180 once you are back in India.
Now, let’s hover on to a few tips to deal with the leftover currency you have :
Keep the foreign currency for the next trip.
If you are a person who frequently travels for work or often visits the same country, it’s necessary to save the money for the next trip. If you are visiting the same country at regular intervals for work or other related activities, you can decide not to encash the forex card and use the currency notes on the next trip.
If you abide by the Reserve Bank of India’s limit on retaining the foreign currency, you can keep the money for later usage while you make the next trip abroad.
Don’t play the waiting game.
Some of the travelers play the waiting game so that they convert once the currency value goes up. For example, suppose you went to the US and purchased US dollars. Now you are back in India; you want Indian currency to depreciate against US Dollars to fetch more INR during currency conversion.
As this strategy can backfire quickly, it is highly advisable not to go for this option. Most of us are not currency experts, so we should not be making out predictions. An average person may assume that there is not much currency fluctuation during the trip, and you might think there will not be much loss/profit on the currency conversion.
If you play this waiting game, there is every possibility that the currency you are holding may depreciate, and you get less value when you go through the currency conversion process.
Encash the funds in the forex card and sell foreign currency notes via the online forex platform
Most travelers use this simple method to encash the funds for the local currency (Indian rupee) and sell the leftover foreign currency notes. Using the encashment feature, convert the foreign money available on the card into Indian rupees by simply contacting the company that issued the travel card. There is an option to exchange the foreign currency notes on the forex platforms at the best exchange rates. Both the options have complete transparency as far as it is concerned.
Keep a few currency notes as a souvenir and gift.
If you have leftover currency after an abroad trip, it’s good to keep it as a token of remembrance. Some who have no plans to visit that country again can often use the coins and keep them as a showpiece. The other thing you can do is gift a few currencies to your family and friends as gifts. It would be an exceptional gift!
These are the few essential tips to be kept in mind on what to deal with the leftover money. Use it wisely. To know more about the same just contact UNIMONI FINANCIAL SERVICES or visit our website.
