Making travel plans can be stressful, but even more stressful is thinking about how to get funds in your destination’s currency. Have you also heard of the personal travel allowance (PTA), but you’re just not sure what it means?
You’re in the right place!
If you have plans to travel soon, this post is just what you need to understand the current requirements and features of a personal travel allowance.
Keep reading!
First, What is Personal Travel Allowance (PTA)?
Personal Travel Allowance is a currency exchange scheme specifically set up for Nigerians traveling abroad for personal reasons. Due to the fluctuating foreign exchange rates, Nigerians who spend Naira abroad are grossly shortchanged. This is primarily why the program was established– to level the gap between the Central Bank of Nigeria (CBN) rates and the black market rate.
What Are The Requirements For Personal Travel Allowance?
The Central Bank of Nigeria (CBN) has specific guidelines regarding the issuance of personal travel allowance to Nigerians.
These requirements include:
- PTA is available to Nigerians only.
- Applicants must be 18 years or above.
- PTA can be given for trips whose destination is at least 5 hours away by air
- The flight must be a return ticket.
- The PTA limit is $4,000 per quarter.
- If the applicant does not end up traveling, PTA must be returned to the bank where it was purchased within 2 weeks.
- Valid BVN
- A valid visa
- Flight tickets must originate from Nigeria.
- The credit balance of the equivalent amount being sold.
For students who are going to study abroad, CBN foreign exchange reforms allow them to be eligible to purchase Personal Travel Allowance. The following are additional requirements for students to buy PTA at the bank:
- International passport with valid student VISA page.
- Provisional admission letter
- Return flight ticket
How To Apply For PTA In Any Bank
If you want to apply for your PTA online using the CBN portal, here are the steps to follow:
- Fund your bank account with the Naira equivalent of the amount you need.
- Visit the CBN’s Trade Monitoring System Portal.
- Register with your BVN
- Verify your email with the OTP that will be sent to your registered email
- Log in and fill in the fields
- Upload your data page, ticket page, and visa page.
- Choose your preferred bank and branch
- Submit
- Visit the selected bank branch with your original international passport to collect the cash.
- The bank will start processing your request immediately.
Once approved, present your international passport for stamping to claim the cash.
Also, if your destination country offers a visa on arrival, you can upload a blank document as the visa page. An exception approval should be available once you explain to your bank that you do not require a visa to visit the destination country.
PTA Defaulters
The Central Bank of Nigeria (CBN) regulations require commercial banks to publish names and BVNs of PTA defaulters. One offense is when customers cancel their trip and fail to return the foreign exchange availed to them despite follow-up calls, emails, and text messages to do so. The punishment for this offense can be a jail term or a BVN blacklist.
In conclusion,
The existence of foreign exchange programs like PTA is a huge relief for those who legitimately need forex for their personal needs abroad. Finally, with PTA, you can plan trips and do all you need to do with minimal stress.
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