Managing Money while You Travel Part 1

The world today seems smaller than it ever has before, due to the increases in technology in transportation, as well as our constant coverage of social media, which makes the planet seem like it is merely in our backyard. However small it seems, though, one cannot truly begin to understand the planet until they have truly seen it. This is why, even as we can see what is happening on the other side of the planet on our cellphones, human beings still travel so frequently. Travel has complications, though, particularly when it comes to money. There is a wide series of financial factors that must be considered when you are getting ready to travel. Here are some tips about managing money while you travel…

International fees

The first thing that you need to take into account when you are getting ready to travel is that your bank account might have fees for using it, internationally. These fees are all based on percentages, so they can add up to a lot, rather quickly. For this reason, it is a really good idea to open up a separate bank account for traveling, and to pick a bank with no fees, or at least ones that have a set fee for withdrawals, so that you don’t end up paying an added percentage. This is also true with credit cards, as some credit cards will actually not work in every country, and may require extra fees. Whatever your method of payment is going to be, while you travel, be sure to do research about international fees and either find ways to avoid them, or simply budget them into your expenses.

Use savings accounts and automatic transfers

Although traveling has been democratized with vastly cheaper methods, it is still quite expensive. Through all of the frequent happenings, it can be difficult to keep track of your spending. This means it is especially important to find a proper system of budgeting that will keep you from sinking below water. One useful way to do this is to set up your banking system to automatically move a certain amount from your savings to your checkings every week, that way you can assure that you are on track with your spending. Also, you always want to make sure that you have at least one other method of payment from your regular bank card, just in case there are complications that arise with payment.

Continued in Part 2.