Exchanging GBP for Dollars
 

I've read a lot about the best way to get GBP but how about at the end of the trip- what is the best way to exchange GBP for Dollars? Thanks for any comments......

Try not to have many GBP left at the end of your trip. Use them to pay for meals your last day or two, or even ask your hotel if you may pay part of your bill in cash - they are usually more that happy to allow you to do so! :)

Use whatever's left to buy food, drink, or a magazine at the airport.

If you think you'll be returning to the UK in the next couple of years, you might want to just hang onto a small amount. Otherwise, you can change them at an airport Travelex window. But you will not get a great exchange rate there.

When you're checking out of your hotel, estimate how much you'll need for the rest of the day -- getting to the airport, snacks, etc. Add £10 to that, then put the rest of your cash towards your hotel bill. You won't find anyplace else that will take your assorted bills for face value.

Or, better yet, watch your spending during the trip, use your ATM card a couple of times, and make sure you don't end up with excess.

I totally agree with the above two responses, but here's an even better idea. Plan on returning the next year. Bring those extra pounds home and put in a safe deposit box until your next trip. Then you will have them to use on arrival. By the way, last summer I brought home a couple hundred euro and about a hundred-fifty pounds. That currency sitting in my safe deposit box has increased more than any of my other "investments" over the past year. They're worth a whole lot more now than they were worth when I put them in there.

Patrick, I never thought of it as an investment. That's a great idea. We always save our European money for the next trip. That way we have to go back!

. . . and of course there are the duty free shops if you have a long wait in the airport!

>I brought home a couple hundred euro and about a hundred-fifty pounds. That currency sitting in my safe deposit box has increased more than any of my other "investments" over the past year. They're worth a whole lot more now than they were worth when I put them in there. <

But only if you exchange them for dollars. When you take them back to the UK or the Eurozone they will actually buy a little less than when you got them.

I'd be embarassed to admit "That currency sitting in my safe deposit box has increased more than any of my other "investments" over the past year."

The Nasdaq Composite is up 50%, biotech 57%, S&P Midcap 47%, Smallcap 600 55%.

May I suggest, Patrick, you find a different financial advisor.

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Author: SalB
Date: 04/09/2004, 11:47 pm
Message: Patrick, I never thought of it as an investment. That's a great idea. We always save our European money for the next trip. That way we have to go back!

. . . and of course there are the duty free shops if you have a long wait in the airport!



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Author: ira
Date: 04/10/2004, 08:57 am
Message: >I brought home a couple hundred euro and about a hundred-fifty pounds. That currency sitting in my safe deposit box has increased more than any of my other "investments" over the past year. They're worth a whole lot more now than they were worth when I put them in there. <

But only if you exchange them for dollars. When you take them back to the UK or the Eurozone they will actually buy a little less than when you got them.



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Whoops, sorry salb and irs, copied more than intended and didn't properly edit.

There are always a lot of different ways to look at things. Ira says that those euro and pounds arent' worth any more than they were last year unless I change them to dollars. Here's another way to look at them. Let's imagine that when I came back last year I didn't have them or cashed them in, but this year when I go I will start out getting a couple hundred euro and a hundred-fifty or so pounds. It would cost me a whole lot more to buy those for a "starter" this year than what I paid for them last year. So the way I look at it, yes, they are worth a whole lot more than they were worth last year. And they will be saving me quite a little bit of money than if I had to go out now and buy them.

Jsmith, I was being a bit facetious. But congratulations on telling me that your advisor was able to provide you with an approximate increase of 50% on all your investments in the past year. At least, I guess that's what you're trying to tell me.

Patrick, you misread my comments. You said "your currency --- increased by more than ANY of my other investments".
I simply suggested you should have had SOME of your investments do better.

My total investment return was not 50% and I never said that it was. Closer to 30% after tax but 36% of assets were in fixed income or cash. Damn, I'm making excuses.

I agree with everyone who says to save your GBP for your next trip. However, if you know you're not going back in the foreseeable future, sell them to someone else who is going. Last year a freind of mine went to Europe and came back with 125 Euros. She was planning to exchange them at the bank. I asked her if I could buy them at the wholesale rate. It was a win-win situation, as I paid less for these euros than I would have paid in Europe (even using the ATM), and she got a little more than the bank would have paid her. Of course, this won't work with all currencies, but there are always people going to either Europe or the UK.

Thank you for all of the great suggestions. Sounds like the best approach, in the near future anyway, is to hold onto any leftovers until the next time around. I appreciate the feedback.......