personal finance

7 Wise Tips on Managing Your Finances Overseas

Travelling is definitely fun, but planning beforehand can get a bit tricky. Sure, deciding where you’re going and what activities you’re doing can be exciting, but I’m pretty sure packing and thinking about transaction fees stresses you out. You wouldn’t want to get stuck in a foreign country without any money (this can happen if you don’t plan carefully, as exchange rates can be a bit unstable), would you?

Do not fret though, as we have compiled some of the best tips and advice when dealing with your finances abroad.

Familiarize yourself with international transaction fees

Make sure to ask your bank about this. You might have gotten used to using your Australian bank card anywhere in the country, as it is totally free of charge. However, most banks charge for international transactions, which is usually 3% of your total transaction. This can pile up easily, leaving you with a hefty bill to pay.

Research about the country’s exchange rate

I’m sure you’re aware that while some countries are really cheap to travel to, some are extremely expensive. For example, 5 AUD could get you a full meal in Thailand (maybe even more), while in Norway, you couldn’t even buy a bar of chocolate with that money. Different countries have different costs of living, and researching before you travel is the wisest thing that you can do.

Bring some foreign cash with you

This will save you from the hassle of having to exchange your money at the airport. Also, exchange fees can be high when you’re trying to do it at the airport, so it’s best to be prepared even before you reach your destination.

Invest on a prepaid travel card

Not only are they super simple to use, they are also cost-effective. By using one, you can easily access your money in Australia without having to pay for a hefty amount of transaction fee. All you have to spend for is the ATM fee for cash withdrawal, which is very minimal.

Keep your belongings, especially your wallet, safe at all times

This is an essential reminder for travellers, as losing your wallet abroad is a very difficult feat to overcome. Always keep your wallet close to your body, as these kinds of stuff can get stolen or lost easily. Also, be sure to put your money everywhere – on your pants’ left pocket, on the right, on your jacket’s pocket, inside your shoe or in between the pages of your book. This way, if ever you lose your wallet, you still have money to spare.

Get a credit card and bring it with you at all times

This is a convenient way to pay for your expenses. You have to be careful though, as most banks charge for huge transaction fees when the card is used overseas. You can minimise your credit card usage by using it just for your accommodation and fare.

Bring your car to the airport

You have to make sure to keep your expenses low even before leaving the country. Instead of taking a cab to the airport, bring your own car instead and just leave it in an airport parking location. This will cost you much less, as airport taxis can be expensive.

Travelling is fun, but it is a huge responsibility as well. Make sure to heed our advice so you can earn more funds for travelling!

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