Ways to save on fees while you travel

The key to a great holiday is relaxation, regardless of whether you’re lying on the beach with a good book or getting your adrenaline fix with adventure activities. After what can feel like forever of living on the cheap to save for your trip, we think you deserve to worry less while you’re there. But how, you ask…

Using the right card

Before you head off, you need to think about how you’ll pay for things from accommodation to market trinkets. If you play your cards right, you could save on fees, charges and travel insurance so you have more to spend on the fun stuff.

Saving on travel insurance

Relaxing is easier when you know you’re covered for the unexpected. Travel insurance is an absolute must when you head overseas, even though it’s the least exciting purchase of your trip.

You could save yourself on travel insurance by simply purchasing your flights and accommodation, above a certain value, on your credit card. You won’t just save yourself the money either, your spouse and children could also be covered.

Not every credit card offers this, so if you’re looking to save on travel insurance, track down a credit card that does. Not needing to buy travel insurance means more dollars in your pocket to splurge on snow globes and key rings.

Saving on annual fees

Some cards, whether they’re credit, debit or specific travel cards, might have an annual fee attached to them. That annual fee will vary across them all, but not having to pay an annual fee will leave more funds for your trip. Even just saving a $100 annual fee, could mean a night with your own bathroom, or you could skip the line at the Rockefeller Centre.

Saving on foreign transaction fees

Travelling overseas could end up costing you more than you budgeted for. Perhaps you budget to spend $100 a day, but find yourself spending a bit more.

It can be common to be charged a fee for overseas transactions. This fee could be say, 3% on every transaction you make when you’re overseas. Sure, that might only be an extra $3 a day when you budget $100, but over time that figure builds up. Once you spend $5,000 on overseas transactions, you’ve just paid $150 in fees. Isn’t that money better spent on an experience of a lifetime? We think so too.

So, have a look at the foreign transaction fee on your credit card. It’s easy to find a card that waives these fees if this is something important to you.

Spend on what you want, not fees

Spend your hard earned dollars on experiences and save on fees when you can. A few dollars here and there might not seem like a lot, but it adds up and is often forgotten from the budget sheet. When you work hard and save hard to get away, you want to spend your money on things you want. Taking the time to choose the right credit card can help make this happen.

Things you should know

The information contained in this article is of a general nature and is not intended to be nor should it be considered as professional advice. You should not act on the basis of anything contained in this article without first obtaining specific professional advice. To the extent permitted by law, Bankwest, a division of Commonwealth Bank of Australia ABN 48123123124 AFSL / Australian credit licence 234945, its related bodies corporate, employees and contractors accepts no liability or responsibility to any persons for any loss which may be incurred or suffered as a result of acting on or refraining from acting as a result of anything contained in this article.