How to Avoid Currency Exchange Scams

Using RBI-authorised Full-Fledged Money Changers (FFMCs) is a good way to ensure safety. Though there are multiple options when it comes to money exchanges, RBI-authorised changers are far safer than the alternatives and provide competitive exchange rates. They offer secure, transparent, and legitimate transactions. It also eliminates the risk of receiving counterfeit currency, which is a major concern when it comes to money exchange with other unauthorised dealers.

Avoid Airport Kiosks

Airport kiosks are generally considered a popular way to exchange money. They are convenient for those traveling, but airport kiosks can be overpriced. They often have higher margins and charge commission fees, which can lead to you losing more money than you would if you were to exchange money from other trusted sources like banks, ATMs, etc.

Watch for Hidden Fees or Charges

Before exchanging, it is essential to make sure there aren't any hidden fees or service charges involved. You can enquire about the charges and go for the service that doesn't have high hidden charges.

Compare Forex-Rates Online

Another important step is to research the forex rates in your city online and compare those. This will allow you to have a sound knowledge about the real-time rates and choose the one that is best for you.

Use International Debit Cards or Forex Cards

Using forex cards (Foreign Exchange Cards) or international debit cards has many benefits. Primarily, it is safer to use either of these instead of carrying cash. Especially while traveling, carrying cash can be inconvenient.

A forex card is a prepaid travel card that you can use like a debit card while traveling abroad. You can load the card with the currency of your destination and use it. They are safe and easy to use. Using international debit cards with low foreign transaction rates is also a great option, as they can be cheaper than using real money. It is convenient, has lower fees, and is flexible, as it can be used for both online and offline purchases.

Points to Note While Making Currency Exchanges

Aside from the points mentioned above, there are a few other things to keep in mind while doing currency transactions, which are:

1. If the exchange rate offered to you is quite different from the actual rate, it is safer to not accept it.
2. Ask for a receipt.
3. Avoid unverified or unlicensed shops/centres to exchange money.
4. Always count the money before leaving the counter.· Look out for sleight-of-hand tactics.
5. Look out for rigged calculators that show incorrect totals. Always check and verify the calculations on your device before accepting.
6. While traveling, familiarise yourself with the currency of the destination.