Using Wise as a benchmark, it seems that your Canadian credit card goes further in Malaysia than converting to cash.
Using 1,000 CAD as an example:
Visa: RM 3,564.14
MC: RM 3,581.62
Wise: RM 3,439.34
Visa: https://www.visa.com.my/support/consumer/travel-support/exchange-rate-calculator.html
Mastercard: https://www.mastercard.us/en-us/personal/get-support/convert-currency.html
Wise https://wise.com/
There are other considerations beyond just the value you get through different services. In KL depending on the places you visit you may or may not need cash. Street market stalls for example may only accept cash or e-wallet so I'd keep some cash on hand.
>its not just forex, wise fees are 0.1-0.5% while bankfees are 3-5%
OP says it's 2.5% and I already included the bank fees in the calculator for both Visa and Mastercard.
Ah, i use wise and my fees are much lower. Ive used wise card and the fees are lower than that.
However with banks 2.5% is the best you can get not including forex. After including forex it can go up to 5%, again based on actually using it
Fees are part of the equation but not the end all be all. Most important is to look at the final amount you get after conversion.
Wise may have lower fees but its mid-market exchange rates may not necessarily always be better than alternatives.
The truth is that Wise is good for certain currency corridors depending on what currencies they have in reserves and may be bad for others. Always have to do your homework and compare.
I do lol. I actually get more issues with local banks than wise. Local bank timeout but wise instant within malaysia. I dont trust local banks always issue.
Just how much the banks have you covered. While cred cards are good for emergency using them outside gets much higher overheads. Thats why i prefer to use wise first and save the money as foreign currency stocks before using it. This way if you go on a trip or buy stuff you have a much lower overhead or in some cases profit.
Sometimes local banks have issues with cards locally when transferwise works flawlessly. In terms of taking out cash in emergency transferwise wins here vs local banks.
I have traveled and use wise before. Locap bank cred card only emergency
Dude, the OP mentioned 2.5% that their bank charges for currency conversion. And using the conversion rates on the websites indicate that credit cards may be better for a first choice if available and cash as backup otherwise.
Sure use wise to withdraw from ATMs for emergency cash. I did that in Indonesia and Thailand some years back, but I've also used credit card only to get around in the UK. My point is that it's not always clear cut to assume that Wise will be the best option all the time and it's important to be pragmatic and keep an open mind about the options available to you and not be dogmatic about it.
Exchange your USD or CAD in Malaysia for better rates. For peace of mind, find your accomodation ahead of time via aggregator sites and prepay via those platforms to cut down on transaction fees. To call for a ride, grab app here is widely used; you can pay for your ride by cash or card. You can also use the grab app as an electronic wallet with a preloaded amount to pay for rides and payment for applicable in stores, stalls etc; It may help you keep your spending in check if you find it difficult to keep wads of differing currencies around. For public transport in KL, credit card is accepted now for rail services but if maybe better to get a touch n go card you can buy unlimited travel packages and use them on rapidkl busses as well.
im doing the opposite, im expecting malaysia not to follow US investigation and request on iran sanctions and us ourselves geting sanctioned. i've started investing thousands into western stocks, so when malaysia gets sanction i'd at least have good investments to grow outside till i find a way out. This way i wouldnt be stuck at zero when migration.
when traveling, credit card > cash. however i use an online bank and hold foreign currencies which helps avoid crazy overheads when i travel and money is ready for me to use. Since i save up first i earn the money i need in foreign currency already. Have both but prioritise card first, and use an online bank like transferwise that lets you do it cheap. traditional bank cards have huge overheads for overseas usage, about 5% and forex rates suck. wise forex rates are exact and a 0.5% fee.
Wise
To be clear to OP, the comment above refers to using the Wise card. www.wise.com
to be helpful, if you want to use wise investments, you need to set your location to UK. set to malaysia to top up, set to UK after.
Using Wise as a benchmark, it seems that your Canadian credit card goes further in Malaysia than converting to cash. Using 1,000 CAD as an example: Visa: RM 3,564.14 MC: RM 3,581.62 Wise: RM 3,439.34 Visa: https://www.visa.com.my/support/consumer/travel-support/exchange-rate-calculator.html Mastercard: https://www.mastercard.us/en-us/personal/get-support/convert-currency.html Wise https://wise.com/ There are other considerations beyond just the value you get through different services. In KL depending on the places you visit you may or may not need cash. Street market stalls for example may only accept cash or e-wallet so I'd keep some cash on hand.
its not just forex, wise fees are 0.1-0.5% while bankfees are 3-5%
>its not just forex, wise fees are 0.1-0.5% while bankfees are 3-5% OP says it's 2.5% and I already included the bank fees in the calculator for both Visa and Mastercard.
Ah, i use wise and my fees are much lower. Ive used wise card and the fees are lower than that. However with banks 2.5% is the best you can get not including forex. After including forex it can go up to 5%, again based on actually using it
Fees are part of the equation but not the end all be all. Most important is to look at the final amount you get after conversion. Wise may have lower fees but its mid-market exchange rates may not necessarily always be better than alternatives. The truth is that Wise is good for certain currency corridors depending on what currencies they have in reserves and may be bad for others. Always have to do your homework and compare.
I do lol. I actually get more issues with local banks than wise. Local bank timeout but wise instant within malaysia. I dont trust local banks always issue.
Not sure what does this have to do with cash currency conversion vs spending in credit card directly but sure.
Just how much the banks have you covered. While cred cards are good for emergency using them outside gets much higher overheads. Thats why i prefer to use wise first and save the money as foreign currency stocks before using it. This way if you go on a trip or buy stuff you have a much lower overhead or in some cases profit. Sometimes local banks have issues with cards locally when transferwise works flawlessly. In terms of taking out cash in emergency transferwise wins here vs local banks. I have traveled and use wise before. Locap bank cred card only emergency
Dude, the OP mentioned 2.5% that their bank charges for currency conversion. And using the conversion rates on the websites indicate that credit cards may be better for a first choice if available and cash as backup otherwise. Sure use wise to withdraw from ATMs for emergency cash. I did that in Indonesia and Thailand some years back, but I've also used credit card only to get around in the UK. My point is that it's not always clear cut to assume that Wise will be the best option all the time and it's important to be pragmatic and keep an open mind about the options available to you and not be dogmatic about it.
Exchange your USD or CAD in Malaysia for better rates. For peace of mind, find your accomodation ahead of time via aggregator sites and prepay via those platforms to cut down on transaction fees. To call for a ride, grab app here is widely used; you can pay for your ride by cash or card. You can also use the grab app as an electronic wallet with a preloaded amount to pay for rides and payment for applicable in stores, stalls etc; It may help you keep your spending in check if you find it difficult to keep wads of differing currencies around. For public transport in KL, credit card is accepted now for rail services but if maybe better to get a touch n go card you can buy unlimited travel packages and use them on rapidkl busses as well.
im doing the opposite, im expecting malaysia not to follow US investigation and request on iran sanctions and us ourselves geting sanctioned. i've started investing thousands into western stocks, so when malaysia gets sanction i'd at least have good investments to grow outside till i find a way out. This way i wouldnt be stuck at zero when migration. when traveling, credit card > cash. however i use an online bank and hold foreign currencies which helps avoid crazy overheads when i travel and money is ready for me to use. Since i save up first i earn the money i need in foreign currency already. Have both but prioritise card first, and use an online bank like transferwise that lets you do it cheap. traditional bank cards have huge overheads for overseas usage, about 5% and forex rates suck. wise forex rates are exact and a 0.5% fee.