Aussie dollar climb to US75 cents a win for those travelling overseas
The Aussie dollar rose to US75 cents overnight as part of a series of exchange rate movements that have been favourable since last week. This comes as the exchange rate for the AU dollar was at a low point in January at only US68 cents.
While the dollar has been kicking goals this week, RBA board member Phillip Lowe said the Aussie is depreciating overall.
Lowe made a keynote speech on the resilience of the Australian economy and said that the country’s growth is finding balance partially thanks to exchange rate movements.
“The effect of the exchange rate depreciation is evident in the improved conditions and prospects for a number of industries, including tourism, education, agriculture and parts of manufacturing.”
“Just as the earlier appreciation helped the economy avoid overheating during the resources boom, the depreciation is now helping the economy adjust to lower commodity prices and lower investment in the resources sector,” said Lowe in the speech.
The Commonwealth Bank seemed to agree in a report this morning which noted the Australian dollar would struggle to stay high due to “disappointing trade data out of China.”
Currency analysts at the Commonwealth Bank forecasted earlier this year that the AU dollar will drop to US65 cents by the end of March before recovering to around US70 cents by the end of 2016.
How Aussies can take advantage of the AU dollar surge
For Australians planning a winter escape abroad, this could be the perfect time to lock in a competitive exchange rate on a prepaid travel card, before the Aussie dollar drops, as predicted.
Scenario: Travel money outcome for a US holiday
Say you’re going to enjoy a mid-winter break in the states with a friend. Given the strong AU dollar might not last, loading AUD$8,000 into the Cash Passport Prepaid Currency Card with a high exchange rate of 0.71, at the time of writing would secure you a tidy sum of US$5,680 for your travels.
That rate combined with the travel card benefit of having no ATM withdrawal fees while you’re there could give you just the confidence you need for a budget-friendly vacay.
But if you waited until the end of the month and the Aussie dropped to 65 cents against the US dollar as predicted by CommBank currency analysts, you would only get $5,200 out of your $8,000 Australian dollars in US currency. The $480 you missed out on for not locking in your dollar sooner could have been put towards shopping up a storm on Rodeo Drive!
Do you have a serious case of wanderlust and want to remedy it by locking your funds into a prepaid travel card now? Visit the Mozo prepaid travel card hub to compare features and rates from a range of providers.
Prepaid travel card comparisons on Mozo - rates updated daily
Revolut Account
Today's rates
Purchase fee
Overseas ATM withdrawal
USD: 0.6512
GBP: 0.5169
EUR: 0.6013
NZD: 1.0851$0$0 under AUD $350 or 5 withdrawals for Standard, AUD $700 for Premium, then 2% (AUD $1.50 min)Revolut Account
- Currencies available
30+ currencies
- Reload fee
- up to 1% using domestic cards (up to 2.5% from international cards)
- Closure fee
- $0
- Cross currency conversion fee
- 0% - 1.50% (depending on amount and time when transfer is made)
- Other benefits
- A Revolut account includes International Money Transfers, Share Trading and Multi-Currency Account features.
- Other restrictions
- Exchange fees apply on transactions made between Friday 5pm (New York time) and Sunday 6pm (New York time).
Read our Mozo Review to learn more about the Revolut Account
Money Card
Today's rates
Purchase fee
Overseas ATM withdrawal
USD: 0.6347
GBP: 0.5009
EUR: 0.5841
NZD: 1.0520$0 Online (greater of 1.1% of initial load amount or $15 in-store)0 AUDThe Travelex Money Card can be used wherever Mastercard is accepted online or in-store at millions of outlets around the world. $0 Eftpos and ATM fees, $0 currency conversion and online shopping fees. Better rates available on amounts over AUD$2,000.
Money Card
The Travelex Money Card can be used wherever Mastercard is accepted online or in-store at millions of outlets around the world. $0 Eftpos and ATM fees, $0 currency conversion and online shopping fees. Better rates available on amounts over AUD$2,000.
- Currencies available
AUD, USD, NZD, EUR, GBP, SGD, HKD, JPY, CAD, THB
- Reload fee
- $0 when booked via www.travelex.com.au, otherwise 1% using BPay (BPay fee applies when not loading via the website or app).
- Closure fee
- $10
- Cross currency conversion fee
- $0
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about the Money Card
Platinum Prepaid Currency Mastercard
Today's rates
Purchase fee
Overseas ATM withdrawal
USD: 0.6254
GBP: 0.4936
EUR: 0.5756
NZD: 1.0383$0 online (greater of 1.1% of initial load amount or $15 in-store)2.50 USDGet Free Global Wi-Fi when you travel with Cash Passport. The Platinum card has many beneficial attributes, including free global WiFi.
Platinum Prepaid Currency Mastercard
Get Free Global Wi-Fi when you travel with Cash Passport. The Platinum card has many beneficial attributes, including free global WiFi.
- Currencies available
AUD, USD, NZD, EUR, GBP, SGD, HKD, JPY, CAD, THB, AED
- Reload fee
- $0 online (free using BPay, 0.5% of the amount loaded per transaction using debit card)
- Closure fee
- $0
- Cross currency conversion fee
- 0%
- Other benefits
- Free global Wi-Fi at millions of Boingo hotspots, complimentary access to LoungeKey airport lounges worldwide upon a flight delay, and instantly transfer money from one Cash Passport account to another with Card to Card.
- Other restrictions
- -
Read our Mozo Review to learn more about the Platinum Prepaid Currency Mastercard
Travel Platinum Mastercard
Today's rates
Purchase fee
Overseas ATM withdrawal
USD: 0.6189
GBP: 0.4849
EUR: 0.5623
NZD: 1.0241$0 when loaded at Australia Post or online. (1.1% when loading AUD)3.50 AUDTravel Platinum Mastercard
- Currencies available
AUD, USD, NZD, EUR, GBP, SGD, HKD, JPY, CAD, THB, AED
- Reload fee
- $0 online (1% using BPay, $5 using debit card)
- Closure fee
- $0
- Cross currency conversion fee
- 0%
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about the Travel Platinum Mastercard
Currency Pass
Today's rates
Purchase fee
Overseas ATM withdrawal
USD: 0.6300
GBP: 0.4908
EUR: 0.5726
NZD: 1.0324$0 online2.50 USDCurrency Pass
- Currencies available
USD, AUD, NZD, EUR, GBP, SGD, HKD, JPY, CAD, THB
- Reload fee
- $0 online (1% using BPay, 1.1% using debit/credit)
- Closure fee
- $10
- Cross currency conversion fee
- No percentage or flat fee, based on Spend Rates set by Travel Money Oz
- Other benefits
- -
- Other restrictions
- -
Read our Mozo Review to learn more about the Currency Pass
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