6 Financial Mistakes To Avoid During Travel
Nic here - my recent trip to Europe was my 5th time crossing the Atlantic to visit some new cities, walk a bajillion miles, and ultimately embrace the lack of air conditioning in the summer heat.
It's humbling to know mistakes still happen on trips like these - so I wanted to write an article in hopes you do not make the same financial errors I did.
1️⃣ Using The Wrong Card
I was so excited to use my Chase Freedom Flex® for 5X back on public transit while in Europe this quarter.
But then I failed to remember that no foreign transaction fees on this card begins September 20 (even after writing an article about this weeks ago 🤦♂️).
I was charged a 3% fee on some things for the first few days of the trip - so make sure you have a card that does not charge foreign transaction fees.
2️⃣ Airport Transfers
In Lisbon, we booked an airport bus transfer and then had to take the subway to our hotel.
Yet, the cost for an Uber would’ve been less and we would’ve arrived quicker.
Solo travelers likely save money on public transportation for airport transfers - but couples or families may be better off with rideshares or taxis.
Download a local rideshare app before your flight and then double check pricing when you land.
3️⃣ Paying for Water
We’re spoiled in the states with free water at all restaurants, but Europeans charge and servers will typically ask if you want still or sparkling water.
A third, unadvertised option does exist in most restaurants where you can ask for tap water, which is free!
Certain cities even have free and clean public drinking fountains, so you can bring a refillable water bottle for walking around.
Doing a bit of research on the water situation in the European city you're traveling to could save you some money!
4️⃣ Late For Dinner
Making reservations in advance for popular restaurants is an absolute must when abroad.
We did a great job finding the best spots, but then almost ran late for several reservations.
Instead of taking public transportation, we opted for an Uber to get there in time.
5️⃣ ATM Conversion Fees
I’m kinda most upset about this one because I even opened up the Charles Schwab Investor Checking Account for unlimited ATM rebates on withdrawals worldwide.
Separately though, some European ATMs charge an outrageous conversion fee from USD to Euros…
For example, we withdrew $100 in cash and it cost us over $130.
A few days later, we found a bank-owned ATM that only charged a withdrawal fee (later reimbursed by Charles Schwab) and no conversion fee.
Avoid independent machines like Euronet, Travelex, or Cashzone and stick to bank-owned ATMs - and use a debit card that reimburses for ATM withdrawal fees.
6️⃣ Wrong Checkout Option
Always pay in local currency when paying with credit card since the card network (Visa, Mastercard) or bank will give you a better exchange rate than the merchant.
A quick lapse in judgement at the train station and I selected USD instead of EUR one time at checkout - luckily it was a small purchase. 👍
In total, none of these 6 mistakes alone would be a big deal - but together they added up to several hundred dollars wasted and could have been avoided in the first place.
Live and learn, they say - and don't make the same mistakes we did!