Travelling is a great way of experiencing something new, yet one should always remember that the less explored areas bring not just new impressions but also sources of various risks. People tend to get caught off-guard during the holidays, thus getting into unwanted adventures. Therefore, when planning your holiday trip, please consider these simple yet useful tips that will help to keep you financially secure before, during and after your journey.
Useful tips
1. Set the budget.
Just like with all the other goods and services journeys have to be proportionate with the family budget. Although most Latvia’s residents tend to take the vacation pay before going on holidays in order to have sufficient funds at that particular time, one should keep in mind that also after the holidays there will be a need to cover one’s daily expenses. Besides, one can also save for the journey beforehand.
2. Select your destination and mode of transport.
After having determined the maximum budget, select your destination and mode of transport. In less developed countries prices are generally lower than in Latvia and also local travel arrangements are usually quite cheap. However, it might be quite costly to get flights to these destinations. The costs may also vary depending on whether you use a travel agency or make the arrangements on your own.
3. Look for bargains.
The budget should include costs related to transport, accommodation, meals, excursions, entertainment and various purchases (such as souvenirs). Each of these items can hold a potential for saving. For instance, if you opt for travelling in a group, travel agents tend to come up with sweet last-minute deals. Flight costs can be reduced by carefully comparing different offers, purchasing tickets online etc.
4. Secure online payments.
Generally speaking, internet offers vast opportunities to plan your journey independently, thus saving your money. However, there are certain security precautions that have to be adhered to while making online payments. It is advisable to register your card for secure online payments, which means issuing of an additional security password. Furthermore, before disclosing your card details (card number, expiry date and CVV2 code) make sure you are dealing with a trustworthy trader.
5. Learn about the most favourable type of payment in the country of destination.
Although a part of payments can be made from home (e.g. for online flight tickets), most expenses will have to be covered locally. Therefore, try and learn about the most favourable type of payment in the country of destination before your departure. Firstly, learn how elaborate the ATM network is. Secondly, learn about the commissions applicable to your card for payment and ATM transactions abroad. It is recommended not to carry the entire budget in cash, since it creates a higher degree of risk. In case of a lengthy stay it is safer to take cash for ATMs in smaller portions. It is also advisable to check whether the bank that operates the ATMs applies any additional commission on cash withdrawal operations.
6. Exchange your currency.
Quite often card payments turn out to be more advantageous than cash withdrawal from an ATM. However, you cannot do without cash in most countries; therefore exchange your currency, at least a small portion, before your departure in order to avoid stress of being in a need for cash as soon as you land in an unfamiliar country. The airport exchange rates tend to be quite steep, and having exchanged at least some money beforehand allows you to get acquainted with the currency, thus reducing the risk of fraud.
7. Insurance.
When planning a holiday, it is hard to believe that something might go wrong during the journey. However, it is clear that no one can plan for and anticipate all types of emergencies that may occur while abroad. In order to avoid additional costs, it is advisable to insure your journey. Before buying an insurance policy, study it thoroughly to learn what types of risks are covered under health and accidents (also in case of physical activities), personal belongings, change of flights etc. Select the offer that is most suited for your needs.
8. Safety and security.
There are various ways of providing for your own safety and financial security during a journey. Firstly, never keep all your cash together with your bank cards. Use the travel neck wallets or belts than can be used to carry your money and documents beneath clothing and always remain inconspicuous (leave your jewellery at home). Secondly, do not carry all your money with you. Use the hotel safes to securely keep a part of your money. Thirdly, only allow trustworthy personnel to handle your money, bank cards and documents. Make sure these items are handled in your presence. And finally, stick to the same safety rules you are used to at home, namely, exercise caution during cash withdrawal, keep your PIN secret, do not leave the ATM receipts. If, god forbid, you find yourself in a dangerous situation, always remember that the life and health of your loved-ones and yourself is something much more important than money and things.
9. Keep important contacts handy. If your bank card is lost or stolen during a journey, it is important to contact the bank immediately to disable the card.
Therefore it is important to have the bank’s emergency line number. Likewise, keep your insurance company’s, Latvian Embassy’s or representative office’s contact details handy. These details should be written down and kept in several safe places, as well as sent to your e-mail electronically (this is another way of safekeeping copies of your documents). You should also memorise the local emergency service number.
10. The journey does not end with homecoming.
Along with recalling the beautiful moments you have experienced during the journey, allocate some time to summarise the total budget of the trip and check all the transactions on your internet bank. Such an overview will come in handy when planning your future journeys.
