5 Financial Plans to Set Before Traveling

As of the third quarter of 2023, many tourist spots worldwide have eased their entry rules, leading to a surge in travel after the pandemic. However, it’s worth noting that both increased demand and rising prices have made traveling a bit more expensive. 

The good news is you can take steps to manage these factors. Here are five financial plans to help you make sure your next international trip goes smoothly. 

Improve Your Credit Score

A strong credit score makes international travel much easier. It speeds up approvals for applications you might need abroad, including travel packages, rental cars, longer-term accommodations for extended stays, and even online loans same day release.

It also opens up access to many travel perks and advantages. These can include savings on flights and places to stay, access to exclusive lounges, and even upgrades to premium services. A good credit score can help you get a travel credit card, which is a great tool to save money on travel.

Secure Travel Insurance

Life insurance and travel insurance aren’t the same. Life insurance provides coverage in the event of your passing, typically offering a death benefit and a cash value component. On the other hand, travel insurance protects you while you’re traveling.

Specifically, travel insurance primarily focuses on providing 24/7 emergency services. These include rebooking canceled flights, replacing lost passports, covering medical expenses, and assisting with cash transfers. All of these perks can give added peace of mind on your trips.

Get Travel-Friendly Credit Cards

A travel-friendly credit card means you won’t have to worry about converting currency or paying extra fees for foreign transactions. It can also make international travel much easier since they’re accepted everywhere.

They also come with travel benefits that debit cards don’t offer. Every purchase can earn you miles or points that can be used for your travel expenses. These purchases may also automatically qualify for insurance coverage for consumer goods, lost luggage or documents, and travel delays.

Keep Some Emergency Cash Handy

Alongside your credit cards, it’s a smart move to have a stash of emergency cash. Experts suggest carrying two credit cards and having $80-$100 in cash for unexpected expenses like transportation and lodging. If you have old currency from previous trips, then it would be a good idea to exchange it to your currency then onto the currency you need for your location. You can even get obsolete portuguese currency exchanged so you aren’t wasting any of it.

Notify Your Banks

Before you set off on your adventure, make sure to shoot your banks an email. Tell them all about your travel plans, where you’re going, and how long you’ll be there. If you don’t do so, your bank might think your international transactions are suspicious and temporarily freeze your card.

Final Thoughts 

Preparing for a vacation isn’t just about packing your clothes and planning your activities. It’s also crucial to think about the money you’ll need. Being financially prepared before and during your trip is essential. Make sure you handle your funds wisely so you don’t lose your savings or end up with a load of travel debt when you return. Happy travels!

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