Using credit cards when traveling is convenient. You don’t have to carry lots of cash to spend during the trip. You also don’t have to find a currency converter in the area. However, you might also be tempted to spend a lot since you can barely feel the spending. Here are some tips to help you when using credit cards while traveling.
Inform your bank before the trip
Make sure you inform your bank about your plan to travel to another country. You don’t want the card to be declined after you’ve already purchased the items. Some banks are strict, especially if it involves a huge amount. The transaction might be deemed unusual and fraud. Therefore, it helps to inform your bank before heading to another country.
Check if the credit card is accepted
Find out if the credit card you currently hold is valid in your country of destination. Some cards are only accepted within the country. Some countries are also quite behind in terms of financial technology. You might be surprised to know that ATM has only been introduced in some countries a few years ago. Locals usually use cash for transactions. Bring sufficient cash on top of your credit card just in case.
Find out if you can avail of the perks
Traveling to other countries is the best time to use your credit card points and perks. Determine if you can avail of any discount or promotion during your trip. For instance, some credit card companies allow you to use airport lounges for free. You may also use your points for Duty Free shopping. Car rentals, hotel booking, and air tickets are among other expenses you might not have to pay for anymore because of these perks.
Always watch your spending
The good thing about using credit card these days is you can immediately check how much you’ve spent. Apps are available to inform you how much you’ve spent so far and how much you have left. You will also be notified as soon as you paid for an expense. It is easier to track your transactions during the trip and not overspend. When you’re close to the limit, stop. Better yet, budget your expenses before traveling.
Never withdraw cash
Again, it is crucial to check if your destination accepts credit cards or if cash is the most widely used payment method. Withdrawing the amount in cash from a local ATM could lead to unnecessary expenses. You might also see terrible conversion rates. You should only do this if you have no other choice.
Keep your credit card close
Make sure your credit card is in a safe location. When using public transportation, you should be vigilant. The last thing you want is to lose your card in a foreign country. Informing your credit card company can be a daunting task. The thieves might also use the card as soon as it was stolen from you.
Hopefully, you use your credit cards wisely when traveling and not encounter problems.
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