Responsible use of credit cards is a very useful financial tool. Consistent on-time payments can increase your credit rating, some credit cards offer purchase rewards, and even offer a 0% interest rate on balances transferred from other credit cards in the short term.
Tourism is expensive. In addition, why should cities and countries work so hard to host events such as the Super Bowl, the Final Four, the Olympics and the World Cup? Although these activities are costly in terms of infrastructure, planning and security, they also contribute to the local economy as a result of increased business in local hotels, restaurants and shops. Therefore, whether we are aware of this or not, most of our travel expenses are generated by trading with merchants at the destination. Whether you are booking a hotel and day trip before departure, or simply shopping and dining after you arrive, this is all right. So you might ask yourself what is the best way to pay for all these merchants? Is it cash? Is it a traveler's check? Is it a credit card?Although you always need some cash, it is mainly to pay for all your consumer needs with a credit card, which can greatly simplify overseas travel. With a credit card, you don't have to deal with the exchange currency anymore, which means you don't have to worry about redeeming the correct currency, you will automatically get a minimum exchange rate. In addition, the threat of a hand pocket is smaller, not only because credit cards are easier to hide and keep, but because even if your credit card is stolen, you won't really lose money. Just report that your card is lost and you will get rid of any unauthorized purchases.
Tip 1: Get a credit card without foreign transaction fees
The Pew Charitable Trust is a non-profit organization dedicated to providing information to the public. According to a study conducted by the agency, 91% of bank cards and 57% of credit cards are charged for foreign transactions. These fees are usually between 2-3% of each purchase, which may result in you paying far more than the price of any product you purchase overseas.
So, before you leave, check your credit and debit card agreements to see if they are included. If so, apply for a credit card that does not charge foreign currency transaction fees, and a debit card that does not charge extra fees for ATM withdrawals in other countries. This consumer tool is becoming more popular, but Capital One is still the number one publisher of credit cards that don't have to pay for foreign exchange transactions.
Tip 2: Call your credit card issuer before leaving
Once you have the necessary cards, remind your publisher of your travel plans and ask for your number, you can call to collect overseas assistance. Not only does this ensure that your card will not be suspended for suspicious activity, but you can also contact your card-issuing bank for free when problems arise.
Tip 3: Avoid dynamic currency conversion
It is difficult for us to link foreign currency to the US dollar, at least when shopping. Foreign merchants use this fact at the checkout counter to make a final offer in US dollars, and exchange them at uncompetitive exchange rates without the visitor's knowledge. However, avoiding these unnecessary costs is very simple. All you have to do is refuse to sign any checks or receipts that are not expressed in local currency. If you are concerned about deciphering meals and merchandise fees on the go, just swipe the conversion rate before you leave, or just prepare an app for your phone.
Tip 4: Carry your passport with you
With the development of chip and PIN technology, European credit cards have surpassed US credit cards in terms of fraudulent security. US credit cards still use less complex magnetic stripe systems, which are no longer credible abroad. Therefore, many foreign businessmen, especially those in Europe, will not accept your credit card if you do not have the correct identification. However, as long as you carry your passport, you will be fine. Merchants only want to be able to verify that the person using the credit card is actually the person authorized to do so.
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In many ways, these are better than using coupons because there is nothing to track. Simply log in with your existing bank or airline and start shopping. In many cases, they can even be combined with other discounts, sales and coupons. So if you don't use them, you may lose some valuable extra allowance.