Prepaid Travel Card

#1 Jul 23rd, 2010, 03:07
Join Date:
Jul 2010
Location:
England
Posts:
10
  • Danster is offline
#1
This would seem by far the best method to avoid fees and exchange rate charges however I cannot find a prepaid travel card that can be loaded with Ruppes, instead you can load them in GBP USD EURO and then you have to pay the exchange rate fees when used, there is absolutely no reason you cannot load a prepaid card with rupees.

Maybe you can buy a prepaid card once in India does anyone know of any?

Thanks
#2 Jul 23rd, 2010, 06:06
Join Date:
May 2005
Location:
Western NC USA
Posts:
3,794
  • camelgirl is offline
#2
The reason may be because you are not allowed to bring any rupees into or out of India. Perhaps a card loaded with rupees counts as bringing in money. Or maybe not and someone else will tell you how it's done. Or can be done once you are there.

However, you are allowed to bring in foreign currency undeclared up to $5,000 (U.S.)

See bottom of this page: foreign exchange for tourists http://www.chennaicustoms.gov.in/passen/travel.htm

It says "Chennai" but it's for all of India.
#3 Jul 23rd, 2010, 07:19
Join Date:
Oct 2005
Location:
Brisbane
Posts:
611
  • obione980 is offline
#3
Prepaid travel cards are normally 'loaded' with the currency of the country where you buy them - your home country. They are heavily ridden with fees and conditions. Commission when you load them, charges when you withdraw from them and finally a whopping fee when you choose to 'unload' any cash left on them.

Your own home bank credit or debit card is usually the best option. Indian ATMs are tied into most of the worldwide networks - Cirrus, Plus, Maestro, Star etc. The fees charged by banks differ - but there are low or no fee options in most countries
#4 Jul 24th, 2010, 01:09
Join Date:
Jul 2010
Location:
England
Posts:
10
  • Danster is offline
#4
its a real strange rule you cant bring rupees in or out of India when this happening constantly at the speed of light over millions of peoples FXaccounts :/

The fees on debit/credit cards are about 2-3% exchange rate +atm fee consider also that the exchange rate is not competitive they still take their margin for example if the exchange is 1 = 70INR you will likely get 66INR + a 2-3% fee for "service" of doing the exchange + a 2+ atm fee

so if you took out say 40 they would charge 3% for the exchange fee 40 - 1.2 = 38.8
Their margin would take another 3% which they dont mention 38.8 - 1.2 = 37.6
1.50 - 2.50 atm fee = 37.6 - 2 = 35.6

So it costs you roughly 12% on every transaction
#5 Jul 24th, 2010, 02:54
Join Date:
May 2005
Location:
Western NC USA
Posts:
3,794
  • camelgirl is offline
#5

Wink Danster, Not necessarily

I pay very little using my ATM card. In fact, no ATM fee at all only a currency conversion of either 2% or 3%. It all depends on who you have the card with & what they offer.

Yes, maybe India seems archaic, but all countries have rules about how much cash you can physically bring in & out and many countries don't allow you to do either. India is not alone.

Here is a short & interesting article: http://fceservices.com/index.php?page=ellen-creager
#6 Jul 24th, 2010, 12:48
Join Date:
Oct 2005
Location:
Brisbane
Posts:
611
  • obione980 is offline
#6
>>its a real strange rule you cant bring rupees in or out of India <<

Most countries have similar rules covering cash imports and exports. It's to inhibit tax evasion. Electronic transactions are recorded, so can not be used to evade taxes readily.

Card fees vary from bank to bank. I use a Wizard Clear Advantage card (Australian) - no forex fees whatsoever, and I get the interbank exchange rate. There are several US credit unions that are fee free - and nationwide used to be in the UK.
#7 Jul 24th, 2010, 23:48
Join Date:
Oct 2004
Location:
Vancouver
Posts:
4,016
  • GoanCanuck is offline
#7
Quote:
Originally Posted by Danster View Post This would seem by far the best method to avoid fees and exchange rate charges

That is incorrect. Prepaid travel cards have the highest fees and surcharges when compared to debit cards and credit cards. Just use your British ATM card when you are in India and to avoid paying too much in withdrawal fees try to withdraw Rupees 10,000 at one time. The maximum amount you can withdraw at one time is 10,000 using a non-Indian debit card.
#8 Jul 27th, 2010, 08:30
Join Date:
Sep 2008
Location:
जोर बाग़,New Delhi
Posts:
2,071
  • dillichaat is offline
#8
Quote:
its a real strange rule you cant bring rupees in or out of India when this happening constantly at the speed of light over millions of peoples FXaccounts :/
The rules are what they are and the rupee is not freely convertible. Each and every one of those transactions is registered and notified to authorities via a FIR filed by your bank. It mentions (among other stuff) the reason for the transfer. Getting money in is not a problem, getting money out is. If you use the formal banking system and not hawala/the mob. If you bring in more than 5000 USD in foreign currency notes you have to declare them, you also have to declare if the aggregate value of financial instruments brought in is 10000 USD or more. Some types of prepaid cards would be deemed to fall under the 'other financial instruments' clause, but not all of them.

Anyway, at best the rules are very ineffective at stopping tax evasion/financing of terrorist groups.

Get a bank that charges low rates (they exist) and use your debit card at an ATM, the prepaid stuff is way too expensive.
"It is preferable to have a criminal for a servant rather than a fool because a criminal's actions are predictable and you can protect yourself against them, whereas there is no telling what a fool's next move will be.

Similar Threads

Title, Username, & Date Last Post Replies Views Forum
Good UK prepaid or credit card for India Dec 8th, 2009 01:30 0 1251 Money Issues and India Travel
Prepaid SIM Card at IGI Airport Sep 19th, 2009 08:47 18 10627 Electronics in India
Need a prepaid SIM card with data/voice Mar 15th, 2008 17:00 2 8611 Electronics in India
Hutch prepaid SIM card for your mobile phone Nov 10th, 2003 16:00 3 13073 Electronics in India
Citibank PrePaid Card Aug 14th, 2003 04:14 10 6870 India Travel News and Commentary


Posting Rules

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
Forum Rules»
Trackbacks are Off
Pingbacks are Off
Refbacks are Off
Thread Tools
Display Modes

Search Engine Optimization by vBSEO 3.3.2
© IndiaMike.com 2014
Page Load Success