Traveling overseas? How do you exchange dollars or use your credit card wisely?

For starters, never change US dollars for foreign currency in the US. You’ll get a highly unfavorable exchange rate. Do you have an ATM or debit card?

Make sure your bank offers a no fee deal to use it in ATMs anywhere.

And never travel with a credit card that doesn’t waive foreign exchange fees, which can be as much as 3% of anything you buy.

When making a credit card purchase abroad, most travelers opt for being charged in US dollars, because it’s easier to do the math.

Don’t ask to be charged in local currency. Many merchants play a game called dynamic currency conversion, and then set their own exchange rate, which could cost you between 3% and 10%, if you pay in dollars.