Travel Tip: The Dangers of Going Over Your Travel Budget
Image Credit: Wikimedia Commons User Sprinno
It’s not just holidays or popular travel periods that pose a problem for budgets. It’s the month after. Why?
Vacations and holidays come with a lot of baggage—otherwise known as credit card debt.
More than 46 percent of travelers pay for a vacation with a credit card, and that means racking up debt.
Why? Because 68 percent of travelers go over their travel budgets.
The biggest source of that debt (not surprisingly) is hotels and airfare, followed by entertainment and dining.
So how do you take a vacation and not return with sticker shock?
Budget a payment plan BEFORE you leave home.
Or do something most of us don’t do: Try to save up for your vacation ahead of time, so when you return home and that bill arrives, you can pay those vacation charges in full.
It will give you an additional vacation—from lowering your credit report score due to high credit card balances.
For more information about traveling with credit cards, check out:
- Hidden Travel Perks in Your Credit Card
- How to Avoid Blocked Credit Cards
- Chip and Pin vs. Chip and Signature Credit Cards
Keep reading for more travel tips.