If you are heading abroad (or even down the street) this year, you must take the proper precautions to protect your personal finances. Knowing how to manage your financial situation no matter where you are is a key element to navigating the modern digital world.
Here are some tips on how to manage your personal finances while traveling the globe.
- Always Keep Copies of Your Documents
If you’re leaving the country, there’s a good chance that you’re traveling with items of value. It’s a good idea to carry a copy of your passport (both the photo page and the identification page), any other identification that you may be carrying (such as a driver’s license), and copies of all credit cards.
- Automate Your Finances
Automate all of your savings accounts, credit card payments, and investments. This can all be done through the Internet or customer service lines at your various financial institutions.
- Use a Travel Debit or Credit Card
If you aren’t carrying your entire bank account worldwide with you, it’s a good idea to use a travel debit or credit card. This way, you don’t have to worry about carrying around a huge amount of cash. However, always use these cards at ATMs that are in controlled environments such as banks.
- Know Your Financial Access When You Arrive at Your Destination
Your bank or credit card company may have limited access to your destination country. Be sure to contact them before your departure for updates on their services while you are away.
- Set up a Travel Budget
Since you are carrying around less cash, it’s important to have a set of rules about how much money (if any) you can spend while overseas. If you are traveling with a companion, consider setting up a joint account with specific spending parameters.
- Know the Local Exchange Rate
When traveling abroad, it’s important to always know the local exchange rate for currency conversion. You may need to use this information when converting currency at the airport or to use an ATM while on vacation.
With these tips, you can rest assured that you’ll be able to have a safe and healthy vacation no matter where you’re headed.