Tuesday, April 27, 2010

Dealing with Money

 Part of avoiding culture shock is simply realizing that any foreign country is just that, a completely different country, and accept that almost everything will seem different and new.

Money:

The unit of money in India is called the rupee. The rupee was originally a silver coin. A rupee is made up of 100 paise.  100,000 rupees are called a lakh, and 100 lakhs are called a crore. (Trivia: India has a Hindi version of "Who Wants to Be A Millionaire" called "Kaun Banega Crorepati.")


Rupees look like this:





Who knows who that is on the Rupee notes? (Notes = bills) Yup. It is Mohandas K. Gandhi. If you don't know who he is, you have some research to do. Clicking on his name will take you to his wikipedia page.

Usually, a visitor exchanges their dollars for rupees at a bank or exchange kiosk in India. The amount of money you get in return depends on the current "exchange rate." The way the exchange rate goes up and down has to do with economics, and I admit that is not my strong suit. Maybe your teacher can explain it, or you can research it on your own.  An easy way to figure out the exchange rate is to use a website like XE.  1 rupee is currently worth .02 cents. That means one lakh = $2244.42 and 1 crore= $2, 244,417.00 (and one paisa= .0002 cents!)  I plan to save up some money to take to India with me, so that I can buy things for myself, plus gifts for all my friends and family. Because there are a lot of rupees to the dollar, I think I'll feel really rich! $100.00 will equal 4,455.50 in rupees! One traveler to India said that she lived in India for 2 months and only spent $400.00 USD. Things are very inexpensive in India. Even 100% silk designer saris can be bought for around $150.00 USD. You can rarely buy a nice silk skirt for that much at a department store in the U.S.!


People are not supposed to take rupees out of the country, so they have to exchange them before they leave. It’s a lot easier just to spend them on last minute items like drinks, snacks or souvenirs. Because he is a dual citizen (that means he is a citizen of both countries, India and the U.S. How cool!) and has property there, Raja has a bank account in India. He told me that he’ll deposit my U.S. money there, so he can take some rupees out for me whenever I need them. I assume I can put any I have left over back in before I go (like I'm going to have any left! ha ha.) I am also going to take my debit and credit cards, as they can be used in most places in India.  Still, credit card companies may charge an overseas fee, so I have to call ahead before I go to see how much that will be. I may be safer (or at least save more money) just using cash as much as I can.



Keeping your Money Safe:


If you have money on you, you are going to want to keep it safe so that you still have it when you want or need to spend it! Big cities, especially ones in which there tons and tons of people packed together and many of them are poor, are risky places to carry a lot of money. Thieves can pick your pocket, purse, or backpack without you even noticing. Some even cut open your bag when you're not looking in order to steal your stuff out of it! If you let go of it for a moment, it can disappear without a trace. If you trust the wrong person, they can rob you blind. This doesn't mean everyone is bad or "out to get you," but it is always better to be safe than sorry!

Some suggestions for keeping your money safe include:

  • Carry money in small bills and coins, and in different places: some in a coin purse, some in a pocket, your shoe, or some in a travel wallet like this one  on the left (from R.E.I.) I made one of my own out of duct tape, because I'm cool like that.
  • Don't carry large amounts of money with you. Carry some travellers checks, your ATM card, or a credit card (or two). They will fit nicely in your travel wallet.
  • Don't flash around your money, it can be really tempting, and especially to people who figure you have a lot more where that came from anyway. Don't just leave it in your hotel room (you'll probably be safe leaving it at home if you are visiting friends/relatives.) One idea is to use a diversion safe. This is a safe that looks like something else: a book, a can of shaving cream, or something else that will be passed over by most thieves. Some unique suggestions I found on the internet for hiding money are: hide it in different clothes, duct tape a baggie of cash to the top inside of your dresser,  drop a sealed and taped baggie of cash into the tank of the toilet, or roll up a wad of cash and hide it in the shower curtain or toilet paper rod. Some even said to screw open the bottom of the telephone or the back of the T.V. and put your money there. These last ones seem a little extreme to me, but whatever makes you feel secure. 
Buying Stuff/Bargaining:


In India, people haggle.  That means the seller offers a price higher than the item is worth, and the buyer offers a much, much lower price, then they make a deal by going down a little/up a little over and over until they meet somewhere in the middle. Some stores are "fixed price" which means no haggling, but it's part of the fun of shopping in most places. Remember, in comparison to most Indians, Americans and Europeans are very rich. Therefore, tourists (and any white people) are always charged more. Luckily I’ll have Raja with me. Not only is he from the area* and speaks the language, but he is a shrewd shopper (some might say frugal) and he will no doubt  keep me from getting cheated too badly.

*even though he is now considered an NRI= "Non Resident Indian."

Because people make their living selling their wares for cheap prices, and because it takes some time to haggle (some people can spend hours haggling over more expensive items) it is considered very rude to haggle over things you aren't really interested in buying. However, you may want to keep it to yourself how much you really want an item, as you might not be able to get as good of a deal once the seller knows he has the advantage.

Also be aware that if you buy something, it's yours forever. There are no return policies in markets and vendor stalls. If something breaks after you've paid for it, it's yours...even if you are still standing right in front of the guy who sold it to you!

Getting Around


I'm not sure how we'll be getting around in India. Some people have cars, but a lot of people ride motorbikes, scooters, take buses, taxis, or auto-rickshaws, which are like three-wheeled taxis. There are also regular rickshaws (carts, even trucks) powered by a guy on a bicycle! There are also lots of trucks on the road, transporting stuff (and people.) Also, there are the cows.  Streets in Chennai are busy places, and not the safest places to walk or try to cross the street. Just remember, drivers would rather hit a person than strike a sacred cow. (More about the cows elsewhere.)


Tips /Services


In India there are many people who earn their living by performing services for others. Even middle class families often have domestic servants, and most expatriates (people from other countries living in India) do have someone to help with the cooking, the cleaning, or the kids. Dhobiwallahs are laundry cleaners, and they clean, dry, press and fold your laundry for you. It doesn't cost much money, and your clothes are delivered the next day. You will not find a lot of laundromats in India.  Not a lot of tourists drive in India because the roads are so crazy. They hire drivers, take auto-rickshaws or taxis. A lot of drivers will try to take advantage of "rich" foreigners, so you have to agree on a price before you go.

Tips are not expected (although they are certainly appreciated) in most places in India. As in other countries, tips are pretty much expected in restaurants and hotels, although sometimes a restaurant will automatically add the tip to your bill. People you might like to tip: waiters, of course, and bartenders, the doorman, the bellboy (that's the person who carries your bags at the hotel), drivers (you don't usually tip your taxi driver, but you can round off the bill), delivery boys, and the people who help you at gas stations, spas, barber shops or beauty salons, or even in bathrooms! (Some restrooms will have an attendant who keeps the restroom clean an offers you a towel for your hands or even a spray of cologne.) You can also tip people who help you around your home or garden, but that's usually done with small, personalized gifts.

Reference: Rediff India Abroad

Touts: Touts are everywhere in India. They are those people who are willing to help you get whatever you need, at a great price. However, they are also master scammers. They will offer to get you a better exchange rate, and pass off counterfeit money, or tell you the train ticket office is closed, and that you can get tickets across the street. Imagine your surprise when you are not allowed on the train with your useless, fake ticket! They will offer tours, taking you wherever you want to go: the "best" shops, restaurants, spas, hotels...all owned (unbeknownst to you) by their relatives, who give them a slice of the cash. Taxi driving touts may tell you the place you want to go (a restaurant, shop, even your hotel) has burned down or is out of business, but they can take you someplace even better. You pay a high price; they get a commission.

Touts often swarm tourists at airports, train stations, or tourist sites. The only way to get rid of them is to ignore them. If you look at them, talk to them (even to say "No Thanks"), or otherwise acknowledge them, they will not leave you alone, but will follow you and pester you, hoping you will be so annoyed that you will finally give in (kind of like some kids!)

The one time touts can be useful is if you really do want to explore someplace, especially the more unique or remote areas of a city or village. Then it is a great idea to find a local to help you. Once he knows you are truly interested in his services, a local tout can show you sights and out of the way "hidden gems" that guide books might not mention. Hiring one specific guide for your entire stay might afford you an opportunity to have a very special experience you might not otherwise have had.


Reference

Beggars:

One of the most difficult sights for foreigners in India are the homeless beggars, many of whom are malnourished,  disabled, or children.  There are an estimated 170 million slum dwellers in India, and over 18 million homeless children. Many of these work on the streets. Begging is a profession in India, sometimes several generations are in the business. Many groups of beggars are led by unscrupulous leaders who manipulate and exploit others, especially children, in order to make money. Some women will approach carrying a malnourished baby, and begging for money for food. Often the baby is not even theirs, but borrowed for the day in order to help the beggar gain more sympathy!

It is really hard not to feel sorry for the people who live in the slums of India. Their lives are more difficult than most of us can ever imagine. However, it is not possible to help them all. If tourists give money to one person, they will be swarmed by others wanting the same. Here are some tips to dealing with beggars:
  • It seems mean, but if you can, ignore them. If you want to help, consider giving money to a reputable service organization that serves the poor, or doing some volunteer work.
  • If you feel you must give something, do so just as you are leaving the area. Otherwise, you will be swarmed by other beggars once the person you gave to shows off your generosity.
  • Don't give money. Often money goes to the criminal leader of the begging ring, and not to the beggar. Instead give something to eat, or to children give pencils, stickers, or candy.

Here are some interesting websites that talk about begging in India:
Homeless International
Begging as a Profession

Questions/Challenges:

1. What kind of currency (money) do they use in the country you plan to visit? What does it look like?How does it compare to the currency of your country? Draw (or print out and color) some money from the country you plan to visit.
2. What are the rules regarding bringing foreign money in and/or out of the country? How is money exchanged in the country you are visiting?
3. What kind of things would you like to buy in the country you are visiting? what kinds of things do they have there that they don't have here, or that are native to that area? Research to see if you can find out how much those things might cost.
4. How do you plan to keep your money safe when you travel? Use your imagination to design and make a passport wallet or diversion safe to keep your money safe from thieves. You can use Google to find some ideas on how to make diversion safes. Here's a site that tells how to make a cool one from a book. Make sure to buy the book at a garage sale or thrift store...don't use your mom or dad's (at least not without asking!)  How to make a book safe
5. Role play a day in the market. Practice haggling. It can be fun!

Have fun, and be good!



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