How to pay when traveling to China?

Conquering Cash & Cards: A Traveler’s Guide to Payment in China

China’s a vibrant and exciting destination, but its payment landscape can sometimes feel like stepping back in time, especially for those accustomed to relying solely on credit cards. While digital payment giants like Alipay and WeChat Pay dominate daily life for locals, tourists often find themselves navigating a system that still heavily favors cash. Understanding the nuances of payment in China before you go can significantly enhance your travel experience.

The Reign of the Renminbi (RMB): Why Cash is King (Still!)

The truth is, for a smoother and more convenient trip, you’ll want to have a good supply of Chinese Yuan, officially known as Renminbi (RMB). Why?

• Ubiquitous Acceptance: Unlike credit cards, cash is accepted everywhere. From bustling street food vendors and small shops to taxi drivers and rural markets, RMB will be your go-to currency.
• Avoiding Transaction Fees: Credit card usage often incurs foreign transaction fees from your bank. Using cash eliminates this unnecessary cost, allowing you to stretch your travel budget further.
• Lower Risk of Card Skimming: While credit card fraud is a global issue, carrying cash reduces the potential risk of your card being skimmed, especially in less regulated establishments.
• Bargaining Power: In some markets and smaller businesses, having cash readily available might give you a slight edge when negotiating prices.

When and Where Can You Use Credit Cards?

While cash is paramount, credit cards aren’t entirely useless. You’ll likely find acceptance in:

• Larger Hotels: Most international hotel chains readily accept major credit cards like Visa, Mastercard, and sometimes American Express.
• Upscale Restaurants: Restaurants catering to tourists and expatriates generally accept credit cards.
• Department Stores and Larger Shopping Malls: Similar to upscale restaurants, major department stores and shopping malls are more likely to accept credit cards.
• Ticket Counters at Major Attractions: Museums, historical sites, and other popular attractions often have credit card facilities.

However, even in these situations, it’s wise to double-check beforehand. Don’t assume your card will be accepted; a quick verbal confirmation can save you from an embarrassing situation at the checkout.

Navigating Digital Payments: A Complex Landscape for Tourists

You’ll likely hear about Alipay and WeChat Pay, the ubiquitous digital payment systems in China. While these platforms offer incredible convenience, signing up as a tourist can be challenging.

• Challenges with Registration: Registration often requires a Chinese bank account and a Chinese phone number, which can be difficult for short-term visitors to obtain.
• Limited Support for Foreign Credit Cards: Even if you manage to sign up, some versions of these apps might not support foreign credit cards for topping up your account.

While efforts are being made to make these platforms more accessible to tourists, they are not currently a reliable primary payment method.

Tips for Managing Money in China:

• Exchange Currency Before You Go: Getting some RMB before you leave your home country can be helpful for initial expenses like transportation from the airport.
• Use ATMs in China: ATMs are readily available in major cities and often offer a good exchange rate. Look for ATMs from major international banks.
• Notify Your Bank Before You Travel: Inform your bank that you’ll be traveling to China to avoid your credit or debit card being flagged for suspicious activity.
• Carry Smaller Denominations: Having a mix of smaller bills (1, 5, 10, 20 RMB) will be incredibly useful for smaller purchases and tips.
• Be Aware of Counterfeit Currency: While not as rampant as in the past, counterfeit RMB still exists. Be vigilant and inspect bills carefully.
• Negotiate Responsibly: Bargaining is common in markets, but be respectful and polite. Remember that a small difference in price can be a significant amount for the vendor.

In Conclusion:

While China is rapidly evolving technologically, cash remains the most reliable and universally accepted form of payment for tourists. Planning to use cash primarily, with credit cards as a backup for larger establishments, will ensure a smoother and more enjoyable travel experience. By understanding the nuances of payment in China, you can focus on exploring the country’s rich culture, stunning landscapes, and delicious cuisine without the stress of payment hurdles. So, pack your RMB and prepare for an unforgettable adventure!