Things you should know about your banking before travelling abroad
Travelling is uplifting- it makes you feel happy and motivated in the weirdest ways. However, selecting the perfect holiday destination is difficult. After days of R&D, you finalize a destination and book the tickets and hotel rooms. You have got your passport sorted, packed the bags, and even insured your trip with a travel insurance policy. But before you get going, you need to ensure that you are financially prepared for travelling abroad.
Deciding how you are going to pay your travel expenses is one of the most important decisions you are going to take while travelling abroad. This can be done by planning your travel expenses in advance. You should inform your bank about your travelling plan like- the date of your departure, the country you are visiting and the kind of transactions you are going to initiate using your debit or credit card.
So, when you plan an abroad trip, be ready with these seven financial considerations.
Let your Bank Know when and where you’ll be Travelling–
Inform your bank before leaving for your trip. There’s a chance that your bank might freeze your account if it suspects fraudulent activity, like an unanticipated foreign purchase. Hence, it’s essential to inform your bank and your credit card issuer of your tour plans. This will ensure the security of your bank account.
Ask About International Transaction and Currency Conversion Fees-
You must know that you will charge for making ATM withdrawals or for using your debit or credit card. The conversion rates and fees vary widely when you are making a transaction abroad. Know about the transaction fees and currency fees to make the best deals and save money.
Know your Daily Withdrawal Limits-
Every bank has different withdrawal limit ATMs. Any ATM can have different withdrawal limits, and this may be expressed in the local currency. Know your withdrawal limit to strategize a backup plan that involves more than one way to pay.
Determine if your PIN Number will Work in the Country you’re Going to-
Inform your bank about your trip around two months in advance. Ask them if your PIN will work in the country you are visiting. Some non-network ATMs create a problem if your PIN contains a zero. Also, many foreign ATMs don’t recognize four-digit PINs. Informing your bank before flying out gives you plenty of time to change your PIN if needed.
Verify your Account Balance-
Ensure that you have enough money in your bank account before you finally fly. This will help you avoid overdrawing during your trip. To decrease any chance of overdrawing, transfer your funds from one account to another using a mobile banking app.
Use your Credit Card, When Booking your Hotel or Rental Car-
It’s advisable to use your credit card for booking purposes. This is because rental car companies and hotels may place a hold on your card for a certain amount for incidentals.
Obtain Telephone Numbers-
Get all the necessary information you will need to contact your bank/credit card issuer from international locales. It’ll help you in case of stolen or lost cards. Most banks and credit cards issuers have a local number that you can call to report any mishaps when you travel abroad.
You will cherish these travelling experiences for a lifetime. However, you should try to reduce the costs associated with it. You can do so by purchasing a travel insurance policy. A travel insurance plan offers a comprehensive coverage against several emergencies and other forms of risk you might face in abroad. You can easily purchase a travel insurance policy online at Reliance. But, remember to stick to these banking tips to ensure a safe and sound trip.