Processing .....please wait.. 
The article has been forwarded.... 
Local dealers to give better forex deal than hotels or airports
By siliconindia
|
Friday, 23 July 2010, 19:15 IST
Bangalore: Airports and hotels exchange currency at rates higher than what one would get at banks or local dealers. A lot of hotels are not even authorized money exchangers. Forex should be purchased, keeping enough time in hand, so that the rates can be compared among various sources. There is a need to know what currency will work in the country one is visiting and one can try to procure it, reports Prashant Mukherjee and Harshada Karnik from the Mint.
"Major currencies are usually always available, but if there is a shortage then you will have to pay a premium. Generally, from April to June Euros and pounds may be scarce as many people go there (Europe) during this period. Similarly, miscellaneous currencies, such as Swiss franc, Thai Baht and Singapore dollar, may not always be easily available because there aren't many buyers of these in the market," said Ravi Menon, Head, Cox & Kings (India).
According to RBI, every citizen going for a leisure travel is allowed to carry $10,000 or its equivalent and for business trips $25,000 or its equivalent is allowed to be carried. RBI regulates all foreign currency business across the country and issues licences to money changers to do businesses in India. RBI declares a reference rate for all international currencies everyday, which acts as a benchmark rate for all foreign currency transactions, upon which the money exchangers charge a commission.
Before dealing with a local money exchanger, its authorization by RBI should be checked. If forex from an unauthorized dealer turns out to be counterfeit, one is stuck with them because of the absence of receipts and documents.