Currency markets are volatile and vary based on many factors, including world events that affect exchange rates. Consider these situations when exchanging money before or during your next vacation to beautiful France in Western Europe. If elections are coming up, it might be better to change money in advance. Currencies always move in uncertain political times.
France adopted the euro in 2002 when it replaced the franc. The centralized currency is useful when traveling within the eurozone to nearby countries such as Germany, Greece, Italy, the Netherlands, Portugal, and Spain.
How the exchange rate will affect you
If the US dollar falls in value and is worth less in euros, US travelers will have to shell out more cash for hotels, restaurants, and shopping while in France and other nations within the eurozone. Any trip to France means considering the issue of euros versus dollars and exchanging currencies.
Plan your trip
If you have a trip planned soon, prepare your vacation budget assuming the worst can alleviate the pinch.
Look at the latest exchange rate and add 10 percent to be sure. That way, you won’t fall short or come home broke. And if the situation is better, that leaves you with more money for gourmet meals and souvenirs – there are plenty of opportunities for those in France.
Exchange of dollars for euros
If possible, go to your bank in advance and exchange some cash to keep on hand. Be sure to contact your institution a couple of weeks in advance, as some banks need to ask for foreign exchange, particularly in smaller cities. Also check your rate, which will vary daily, and rates.
Make sure you get the most advantageous exchange rate. The exchange companies at the airport do not offer the best rates and charge you a fee. Only use these companies if you need euros when you arrive in France and you are not sure how easy it is to get the currency elsewhere immediately.
Also, try not to change money at your hotel unless you can easily see what the rate is. This will generally cost you more.
Getting euros from the ATM
Usually the best way to get euros is by using your ATM debit card, when you get the money processed immediately at a fair rate. But you will probably pay the ATM transaction fee; More and more banks charge a fee for any international transaction.
Research in advance whether it is better to use your debit card or your credit card, as the charges will vary. Check with your bank and credit card provider to see what their policies are before you leave. Some travel-oriented credit cards incur international transaction fees, and debit cards that refund a certain number of transaction fees can be useful on a trip to France.
Saving money on your trip
With advance planning, you can travel on a budget in France, just like anywhere. Keeping track of your expenses such as meals, transportation, and outings can help you save money. If you have some flexibility with travel dates, locations, and accommodations, it’s even easier to explore without spending a fortune.
A comprehensive search for accommodation deals is worth it, as it can often be the biggest expense. A slight jump in the value of the euro could hit your wallet hard. One strategy is to book a modest room in a good, centrally located hotel, and if rates become more favorable, you can explore an upgrade to a different room.
