Best Ways to Save Money on Travel
We believe that budget travel is about gaining the most enriching, adventure-laden experience possible while spending a minimal amount of cash. To help you find the most bang for your buck, our researchers constantly investigate the most effective ways to have a great time without going bankrupt. While specific sights and activities vary by region, some general principles can be applied to budget traveling anywhere.
Saving just a few dollars a day over the course of your entire trip may add up and allow you to fund days or weeks of additional travel. If you find that you want to stay on the road for longer than you expected or absolutely cannot leave the area without that authentic (and expensive) Himalayan sherpa coat, keep an eye on your budget as you move along.
Take advantage of little bonuses along the way, such as museums that have free visiting days once every week or month. During the summer months, many cities often hold cultural festivals or open-air concerts that are free and open to the public.
Be sure to search for free entertainment wherever you are able to find it. Street performances, public parks, and people-watching in interesting areas of town cost absolutely nothing, but are priceless entertainment. When traveling with a group, you may wish to split accommodation and food costs. Multi-bed rooms almost always cost less per person than singles would, and food usually costs less when shared.
Shopping in supermarkets, in addition to giving you the authentic experience of seeing fresh, local produce and traditional cuts of meat, can be quite a bit cheaper than eating out every day. To save on the cost of sheets, bring a sleepsack (a sheet folded into a rectangle and sewn together on one short end and one long end, making a little tube-like enclosure for your body): they feel undeniably adventurous, and they cost nothing if you make them yourself.
If you're feeling particularly intrepid, you can save cash by doing your laundry in the sink, but be sure this is allowed in your establishment before doing so. Above all, remember that as important as sticking to your budget may seem, don't go crazy: your safety and basic comfort should always come first.
Carrying Money
Travelers carry several different forms of money, each of which has its benefits and disadvantages. Knowing how much to bring, and in what form, can be a challenge. Below are some pros and cons of the various forms:
Traveler's Checks. Traveler's checks - though somewhat outdated - are by far the safest way to carry currency abroad; if checks are stolen, they can be canceled and no one else can spend them. Try to order checks from a bank back home that waives the fee (anywhere from 1 to 5%), or contact organizations like AAA that offer discounts to their members. Depending on where you are going, specific kinds of checks (AmEx vs. Thomas Cook vs. MasterCard, etc.) will be more useful than others.
It's unwise to carry wads of cash - instead, you should carry traveler's checks in U.S. dollars or Euros and convert them gradually into the currency of your locale, usually at a post office (which typically offers the lowest fees). Bring a list of the check numbers with you - you'll need these numbers to cancel unused checks, should they be lost or stolen.
ATM/Debit Cards. If your ATM card works in your destination region - contact the network carrier if you're not sure - this may provide a tempting alternative to traveler's checks. ATMs and credit cards often yield better exchange rates (by about 5%) than what you'll get over the counter at a bank. Ask your bank what its surcharge policy is when you withdraw money in other states or overseas: in most cases, charges range anywhere from $1 to 20% of your withdrawal amount.
Credit Cards. If you have a credit card, consider bringing it along to charge all major purchases (such as ferry tickets and rail passes). Credit cards let you save your more readily depleted resources, like cash and traveler's checks. However, keep in mind that all major credit card companies charge a flat foreign transaction fee (usually 2-4%). If you call ahead and ask your card company to assign you a PIN number, you can use your card at most ATMs (with the same rate).
If you don't have online account access, you might leave a signed, blank check behind, and ask a friend or relation to pay your card's bill when it arrives at your mailbox, lest you accrue monstrous interest payments while you're away. In Europe, if a place accepts any cards, they will most likely accept MasterCard and Visa. In other areas of the world, AmEx may well be the card to carry.
Cash. All of these surrogates are well and good, but it is sweet, sweet cash that truly greases the wheels of commerce. You will want to bring enough local currency to get you out of the airport and to an open bank or post office, perhaps even with a snack, telephone call, or bus ride along the way. If you're arriving on a weekend, you may need to bring more cash, as post offices and banks may be closed. The point is to avoid having to change money at the airport, where rates will make even the most highly priced banks look dirt cheap.
Keep in mind that in some countries, customers exchange more than one type of cash: some establishments accept U.S. dollars or Euros and may even fix prices to one of these currencies. However, usually, the prices are lower in local coinage.
If you choose to carry cash in any amount, make sure to divide it into small amounts and keep them in separate places. That way, if you get pickpocketed, you won't lose your entire stash. If you're heading to remote areas, make sure to bring enough cash so that you don't get stranded. You don't want to get stuck begging for lodging in a remote village because the local postal hut doesn't change traveler's checks and the only unoccupied place in town doesn't take plastic.
Wired Money. Money can be wired to you in a pinch in almost all major cities in the world and in many secondary cities and towns as well. Western Union is a reputable company with offices that span the globe.
Currency Conversion. For the latest exchange rates, check out the convenient currency converter at www.xe.com.
For more great travel information and advice, check out www.letsgo.com or pick up a Let's Go guidebook at your local bookstore.
Copyright © 2006 Let's Go Travel
Comments
A good way to save money with food is to limit the amount of meals you eat. Instead of having a full breakfast, maybe a snack will suffice before lunch, or have a small lunch before dinner. Free sites such as parks are a great way to go. My experiences in traveling abroad are the best way to really learn the local culture and adapt is to just walk around and get lost for an hour or two before making your way back. In terms of taking out money, always take out from the ATM the exchange rates are the best and hopefully your bank is international (Citibank) and you can waiver ATM fees. Craig
