Travelex research indicates cost, convenience determine foreign currency exchange patterns

Date: May 22, 2009

New York – New research conducted by Travelex, the world’s leading currency exchanger, indicates that US travelers are exchanging currency prior to leaving the country due to worries about fees, exchange rates and exchange locations at their destinations.

The survey asked travelers bound for overseas destinations to name their top reasons for converting currency at a mall, airport or other domestic location. More than two-thirds of travelers said they preferred the convenience of converting currency in the US and indicated concern over locating an exchanger in an unfamiliar country.

Travelers also reported concerns about rates and fees at their destinations:

• Nearly 70 percent of survey respondents indicated that at least one of their top three reasons for exchanging domestically was price-related.
• 32 percent stated they exchanged domestically because value packs save them money.
• 29 percent exchanged domestically to receive a currency return guarantee.
• A combined 54 percent of customers said they were worried they’d pay higher fees or higher exchange rates at their destination.

As travelers’ checks lose favor among consumers and businesses, travelers are using cash, credit cards or card-like products for paying vacation bills. Despite overall declines in international travel, Travelex has seen a 70 percent increase in sales of its Cash Passport, a pre-paid currency card with bank-card functionality, as well as locked-in exchange rates, PIN protection and replacement in case of loss or theft.

Ends

About Travelex:
Travelex is the world's foreign exchange and business payments specialist. The group is also one of the world's leading providers of outsourced travel money to banks, travel agencies and other financial institutions. The group serves businesses and individual travelers through nearly 700 banks, stores, malls and airports in four regions: the Americas; United Kingdom; Europe, Middle East and Africa; and Asia Pacific.

Contact:
Annie Jensen, Travelex,
(303) 403-0772