When traveling abroad, one of the most important things to consider is currency exchange. You are visiting a country that uses a different currency from the one you are used to. For this reason, getting the best exchange rates and avoiding unnecessary fees can help you save money and make your trip smoother. Whether you’re heading to Dubai for a shopping spree, Europe for a business trip, or the USA for a vacation, understanding how to exchange currency efficiently is essential.
In this guide, we guide Kenyans traveling abroad about currency exchanges. We’ll explore the best practices for exchanging money, avoiding scams, and making the most out of your travel budget.
DISCLOSURE: Our content is reader-supported, which means we earn commissions from links and adverts on Kenya Travel Hub. Commissions do not affect our editorial evaluations or opinions.
1. Understand the Exchange Rate Before You Travel
Before exchanging your money, it is very important to know the current exchange rate. This can help you determine if you’re getting a fair deal. You can check exchange rates through:
- Websites like XE.com or OANDA.
- Google’s currency converter.
- Mobile banking apps that offer forex rate updates.
Pro Tip: Currency exchange rates fluctuate daily, so it’s wise to monitor them in the weeks or days leading up to your trip.
2. Exchange Some Money Before Leaving Kenya
While you are likely get better exchange rates abroad in some cases, having some local currency upon arrival at your destination is essential for transportation, tips, or emergencies. For this reason, we advise that you do the following:
- Exchange a small amount at reputable forex bureaus in Nairobi.
- Avoid exchanging at the airport, as rates tend to be higher.
3. Use ATMs Wisely Abroad
Automated Teller Machines (ATMs) can be one of the best ways to get local currency. However, from experiences shared by our past guest, you should:
- Use bank-affiliated ATMs to avoid excessive fees.
- Withdraw larger amounts at once to minimize transaction fees.
- Check with your Kenyan bank about international withdrawal fees before you leave.
4. Avoid Airport and Hotel Exchange Counters
Nothing against hotels and airport forex kiosks. However, from our experience, exchange counters at airports and hotels often have the un-favourable, if not the worst rates and high commissions. Instead:
- Look for local banks or authorized forex bureaus in your destination.
- Consider using an international debit or travel card with low forex charges.
5. Consider Using Travel Cards or Multi-Currency Wallets
Many banks and financial institutions now offer prepaid travel cards that allow you to load multiple currencies.
- These cards protect against currency fluctuations.
- They reduce the risk of carrying cash.
- They can be used for both online and in-store purchases.
Examples of travel-friendly cards include:
- Visa Travel Money Cards
- Mastercard Prepaid Cards
- Wise (formerly TransferWise) Multi-Currency Account
6. Be Aware of Hidden Fees and Charges
Some common hidden fees that travelers encounter when exchanging currency include:
- Conversion fees: Banks and forex bureaus may charge additional conversion fees.
- Dynamic Currency Conversion (DCC): Always choose to be charged in the local currency rather than Kenyan Shillings when using your card.
- Transaction fees: Some banks charge per transaction when withdrawing or paying internationally.
7. Use Online and Mobile Banking for Better Rates
Some Kenyan banks offer forex services via mobile banking apps, where you can exchange currency at competitive rates before traveling.
- Check if your bank has online forex exchange options.
- Use fintech apps like Wise or Revolut to get real-time rates.
- rate for large exchanges.
- Always compare rates at different locations before making a transaction.
8. Negotiate When Exchanging Large Amounts
If you need to exchange a significant amount of money, ask if the forex bureau offers better rates for bulk transactions.
- Authorized forex traders may be willing to offer a better rate for large exchanges.
- Always compare rates at different locations before making a transaction.
9. Keep Your Exchange Receipts
Some countries may require proof of currency exchange when departing. Additionally:
- Keeping receipts helps track your spending.
- Some exchange bureaus allow you to sell back unused currency at a similar rate if you show a receipt.
10. Be Cautious of Street Money Changers
While you may come across money changers offering attractive rates on the street, avoid them due to:
- High chances of counterfeit currency.
- Lack of transparency in the exchange process.
- Potential security risks.
Proper planning and awareness can help Kenyan travelers get the best currency exchange rates and avoid unnecessary fees while abroad. By understanding exchange rates, using trusted forex services, and leveraging digital banking solutions, you can maximize your travel budget and enjoy a hassle-free financial experience.
Always remember: a little preparation goes a long way in making international transactions smoother and more cost-effective. Safe travels!
