I am taking an overseas trip shortly and I applied for an Ozforex travel pre-paid master card. The website claims to show that their rates are excellent and also has a section to check the conversion rates. “Before I applied for the card” I checked their foreign exchange rates and I found it to be very good. This was done on their home page, a section called “currency converter”.
So I applied for the Ozforex travel pre-paid master card. It took 7 business days to arrive by postal mail. I transferred about $1600 AU dollars to the card so that I can convert that to US Dollars for my trip. On 27 April 2012 when I logged into their website to convert Aussie dollar to US Dollar I was shocked to see the difference in the rates that are shown on their website to lure customers and also the rates that they actually provide “after you transfer money” to the pre-paid credit card.
The rate on 27 April 2012, for $1500 AUD to be converted to US Dollars was $1554.29. The rates that I got “after” I transferred money to the pre-paid credit card was US Dollars 1493.41
A difference of $60.88 (How insane is this!). There is nowhere on the website that tells that the exchange rates provided for the pre-paid credit card are different to the rates shown on their website. Moreover, you can only find out the actual rates when you transfer the money to the pre-paid credit card and when you want to convert that to the foreign currency.
If they had provided a section on the website saying “Currency conversion rates for pre-paid travel credit card” then I would not have applied for this card.
So travelers BEWARE. Other than losing your money, you are gaining nothing from this card. When you lure customers by showing incorrect exchange rates on the website, this is what I call as a dishonest business.
The Golden Lesson learned – use your normal credit card when traveling overseas. Don’t waste your time with pre-paid credit cards especially with Ozforex travel pre-paid master card. Other than losing money, I did not get anything.