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By Kevin Wilkerson, PubClub.com Travel Blogger
A friend recently traveled from California to Australia and afterward, was kind of bragging about how he did not once use cash during his trip.
Yet when I quizzed him about it, he started to regret not having some cash with him.
One of the pieces of advice I give to people when traveling abroad is to have at least $100 in that country’s currency with you. If I’m visiting a country I am likely to return to in the future, I always hold onto cash in case I can’t get any at the airport.
Yet traveling cashless is becoming a huge trend in the wake of the pandemic but here are five reasons it’s still smart to carry cash. Even in a cashless country, I say it’s always good to have a little cash on you for the following reasons.
Why Having Local Currency Is Important For Travelers
1.) You Never Know When You Might Need Cash
There are all sorts of situations in which having a little bit of cash with you is convenient. For instance, maybe you overpacked and need one of those luggage carriers in the airport. Or you simply want some water or a snack after arrival. You may need it for public transportation or to get into a shared van. If a country doesn’t have shared rides such as Lyft or Uber, you may need to take a cab.
2.) You Need Cash for Tips
This was the biggest regret of my friend during his trip to Australia.
He took a tour and because he had no cash, realized he could not tip the tour guide. Well I can tell you, having been a tour guide, those workers rely on tips in order to make a living. You certainly don’t do it for the salary, which is often minimum wage. Some savvy guides do take Venmo for those who do not have cash so it’s always good to ask.
The same goes for valet workers, bellhops, bartenders and waitress in countries that take tips (it’s not a custom to tip for meals and drinks in Australia, tho these days they do appreciate a dollar or two).
3.) Local Cashless Apps May Not Work
I read a story in the travel section of a U.S. newspaper where the writer traveled to Dubai. He was unable to download the local cashless app required there because it required putting in a local phone number. So you can’t always rely on local cashless apps.
Apps also require that your phone be charged. This can be a problem because when traveling we are on the go a lot and don’t have a lot of places to charge our phone.
Plus, how much space do you have on your phone to keep adding apps? This is a major issue for some people and may require you do delete photos and videos to make room for them. The last thing I want to do is keep adding apps to my phone.
4.) It’s Good To Have Cash For Small Items & Shopping
When I go to the Greek Islands, I grab those big waters because it’s needed during those hot summer days. I’ll also stop at a gyro stand, get a few drinks at different bars and for all these types of transactions, it’s good to have cash. It’s the same with shopping for small items in cities, towns and villages; some shopkeepers may only take cash, too. Heck, some small, locals bars only take cash. For small items like water or a beer or two, it really doesn’t make much sense – at least to me – not to pay cash for it.
5.) When You’re Out With A Group You May Need To Pay The Person Who Picks Up The Tab
This is a frequent situation with many travelers. Someone in your group may put the cost of a meal or a bar tab, a tour or some other activity and say “just pay me your part in cash.” And if you don’t have any, you’re screwed! At the very least you will feel embarrassed until you can repay them.
Cashless Countries Conclusion
My suggestion is, even in near-cashless countries, to always have enough local currency so you don’t have to sweat the small stuff. So always pack your ATM card; using it provides you with the best exchange rate because you are using it at a bank.
I also recommend that Americans have a couple of $20 bills with them. People abroad love American currency and if you find yourself stuck or in any kind of small bind, that $20 bill can usually do the trick.
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