How to handle your money safely while travelling overseas

Managing your money overseas doesn't have to be stressful. Knowing how to protect your money can help you travel with greater confidence.

Our guide explains how to manage your money safely while travelling, what to do if something goes wrong. Learn why Travel Insurance can provide an extra layer of protection while you’re away.

* Any recommendations made about the insurance is general advice only and doesn't take account of your particular needs and circumstances. You must read the Combined Financial Services Guide and Product Disclosure Statement and Target Market Determination before you decide to buy the travel insurance to ensure that it meets your needs and financial situation. Sub-limits, terms, conditions, and exclusions may apply. Please refer to the PDS for full details.   The FSG/PDS also contains information about the Cooling Off Period, and how you can access EAA’s privacy policy and complaints handling procedures. 

Why planning your travel money matters

Many travellers don't realise they could pay extra every time they use their card overseas. Foreign transaction fees, ATM charges and poor exchange rates can quickly add up if you're not prepared.

Taking a few minutes to understand how your bank charges for overseas spending can help you avoid unnecessary costs and make your travel budget go further.

Before you travel

Managing your money safely starts before you leave home. From checking your cards to understanding any fees you might be charged overseas, a few simple checks now can help you avoid unexpected surprises later.

1. Tell your bank you're travelling

One of the easiest ways to avoid problems overseas is to let your bank know where you're going.

Banks monitor spending patterns to help prevent fraud. If your card suddenly starts being used overseas without warning, your bank may temporarily block it until they can confirm the transactions are genuine.

Some Australian banks allow you to register your travel plans through their banking app or online banking.

Before you leave, let your bank know:

• Your travel dates
• The countries you'll be visiting
• A contact number while you're away
• Your expected spending habits

Doing this only takes a few minutes but could save you significant inconvenience during your holiday.

2. Check your cards before you travel

Before you leave, take a few minutes to review your debit and credit cards.

Find out whether they charge foreign transaction fees, what your daily withdrawal limits are, and whether they'll work in the countries you're visiting. Some banks also have partner ATM networks overseas, which can help reduce withdrawal fees.

Understanding how your cards work before you travel can help you avoid unexpected costs while you're away.

3. Choose more than one way to pay

Even if your main card works perfectly, it's always worth having a backup.

Cards can be lost, damaged or temporarily blocked, so carrying more than one payment method means you'll still be able to pay for essentials if something unexpected happens.

Consider travelling with:

• A debit card for everyday spending and ATM withdrawals
• A credit card for larger purchases
• A small amount of local cash for places that don't accept cards
• A backup card stored separately from your wallet

Having more than one way to access your money can make dealing with unexpected situations much less stressful.

4. Research your destination

Every destination handles payments differently. Some countries rely heavily on cash, while others have widely adopted contactless payments and digital wallets.

Before travelling, find out:

• Whether cash is commonly used
• If contactless payments are widely accepted
• Which cards are most commonly accepted
• Whether tipping is expected

Understanding local payment habits can help you prepare the right mix of payment methods before you arrive.

How to carry money safely overseas

One of the simplest ways to reduce your risk of loss or theft is to avoid keeping all your money in one place. Instead, spread your money across different secure locations.

For example:

• Carry only what you'll need for the day
• Keep spare cards and cash in your hotel safe
• Store emergency money separately from your everyday wallet
• Consider using a money belt when appropriate

If one payment method becomes unavailable, you'll still have access to another.

Using cards and ATMs safely

Knowing how to use your cards and ATMs safely overseas can help you avoid extra charges and reduce the risk of fraud. These simple tips can help you spend with confidence throughout your trip.

Always pay in the local currency

When paying by card overseas, you may be asked whether you'd like to pay in Australian dollars instead of the local currency. Although this might seem convenient, it's usually better to choose the local currency.

Known as Dynamic Currency Conversion (DCC), paying in Australian dollars may be more expensive than paying in the local currency. This is because the exchange rate often includes a margin or mark-up, and your card provider may still charge an international transaction fee.

Use ATMs carefully

ATMs remain one of the easiest ways to access cash overseas, but it's worth taking a few simple precautions. Where possible, use ATMs in well-lit, busy locations such as inside banks or shopping centres.

Before using the machine:

• Check for anything unusual or loose around the card slot
• Cover the keypad when entering your PIN
• Stay aware of your surroundings
• Keep your receipt and regularly monitor your bank account

These simple habits can help reduce the risk of card fraud.

Watch out for foreign transaction fees

Using your cards overseas can attract additional charges.

Using your debit or credit card overseas may incur international transaction fees, depending on your card provider. Before you travel, check what fees apply and compare your options to help avoid unexpected costs.

To minimise fees:

• Compare cards before you travel
• Consider cards that don't charge foreign transaction fees
• Withdraw larger amounts less frequently
• Check whether your bank has international ATM partnerships

Understanding these costs before departure can help you avoid surprises later.

Can digital wallets make travelling easier?

Digital wallets such as Apple Pay and Google Pay are becoming increasingly accepted around the world. Because your physical card details aren't shared with merchants, they can provide an additional level of security while travelling.

They're also useful if you've left your wallet securely stored at your accommodation and only need your phone for everyday purchases.

Common travel money scams to avoid

Scams targeting tourists can happen anywhere, so it's worth staying alert.

Some common situations include:

• Strangers offering unsolicited help at ATMs
• Card machines that appear to malfunction
• Pickpocket distraction techniques in busy tourist areas
• Businesses insisting on cash despite accepting cards

Trust your instincts. If something doesn't feel right, it's usually worth walking away.

What if your wallet is lost or stolen?

Even with careful planning, things can still go wrong. If your wallet or cards are lost or stolen:

1. Contact your bank immediately and freeze or cancel your cards.
2. Report the incident to local police.
3. Contact your Travel Insurance provider as soon as possible.
4. Monitor your bank accounts for unusual activity.
5. Contact the nearest Australian embassy or consulate if your passport has also been stolen.

Having important contact numbers saved separately from your wallet can make this process much easier.

Why Travel Insurance still matters

Protecting your money is only one part of travelling safely. Unexpected medical emergencies, cancelled trips or stolen belongings can create costs that go far beyond replacing a bank card.

Travel Insurance may provide support for eligible overseas medical expenses, lost belongings and other unexpected events covered under your policy.

Before travelling, take time to understand what your policy includes and read the Product Disclosure Statement (PDS) and Target Market Determination (TMD) carefully.

Enjoy your trip with confidence

Managing your money while you're overseas is mostly about being prepared. A few simple steps before you leave, like checking your cards, understanding any fees and having a backup payment method, can make a real difference if something doesn't go to plan.

It's also worth thinking beyond your wallet. While careful planning can help you avoid everyday money problems, it can't prevent unexpected events like medical emergencies, cancellations or lost belongings. Taking out AllClear Travel Insurance before you travel can give you support should you need it, so you can focus on enjoying your trip.