Media Blog
Financial Tips Before You Travel
Traveling is exciting, but it requires a high level of planning. Remembering everything can be consuming; what if you forget something then realize it in the foreign country, where you can do nothing to change it? Planning for the overall trip requires a number of different planning lists, including a financial planning list, which is the list people forget to create most often. From foreign currency exchange online to understanding foreign banks, there is a full list of to-do’s to complete if you want a financially sound trip.
Prepare a Budget
It’s important to prepare a budget while planning for the trip. Not only does this help you prepare for the necessary money exchange, it will help you understand exactly how much cash you’ll need to exchange. Costs to work into this budget include, but are not limited to, daily food, transportation, shopping, and entertainment options throughout the trip. In fact, the budget should be one of the first parts of planning the trip – this way, you will be able to watch the exchange rates and get the cash exchanged at the best rate possible before leaving. It’s wise to add 10% to what you believe you will need to account for unexpected expenses.
Call the Bank
It’s always wise to tell your bank about your trip. If you elect to use a credit card, your bank will know of your plans, and will not cancel your card, as use of a card in a foreign country signals to the bank that it might be stolen. If your card is declined because your bank is trying to protect you, you may find yourself stranded. Don’t do this to yourself. Tell your bank of your intention to use the card in a new location, and, while you’re on the phone, find out if your bank offers any services in the country of travel.
Use Back Up Plans
Back up plans are always wise, as you never know what might happen. Consider purchasing traveler’s insurance to back you up in case that card is declined, or something else goes wrong. Also, split the cash you have with your travel partner, if you have one. This way, if one person is robbed, you have a fallback plan. Wear a moneybelt when traveling alone, or hide your currency in inner pockets, such as inside jackets or inner pants compartments.
Exchange Online
It’s always smart to exchange online with a service such as Xchange for America. Exchanging early, before the trip, saves the stress of having to research reliable foreign places for exchange, and it puts cash in your hand as soon as you get off the plane. You are free to proceed directly to a taxi or other transportation service without waiting in line at exchange centers. You’ll get more out of your vacation, and you’ll have more freedom to do what you want, instead of what you have to do.
Planning financially is the most overlooked necessity in traveling. When you make a financial to-do list, you come home feeling relaxed and secure in the knowledge of exactly where each penny of your money lies.