When you extensively use your credit card without having a strategic plan during your summer vacation trip, you may confront an unexpected bolt from the blue when you return from your vacation and get the credit card bill in your mailbox. Often vacation trips lead to debt hangovers due to their overspending on things which were found to be utterly unnecessary while recollecting after returning from the trip. It has been found in a study that about two-thirds of the vacationers suffer from this overspending burden and therefore end up with accumulated credit card debt. This is certainly a situation which you would never want after the pleasure you derived from the trip.
The First Choice
Credit cards are often considered to be the first choice for travelers which are the primary reason for their debt accumulation. As a traveler, you already know the how tempting it is to make a purchase on your credit card and how often you end up buying more than you want and therefore have to pay a huge amount each month to repay it. During travel, it is also found in a study, that most of the travelers use credit cards for meeting the hotel bills, airfare, dining, and entertainment.
Care For The Accumulated Debt
You may argue that credit card is the best tool to use while traveling as there is no risk of any theft or fraud as compared to cash which you may have to strap around your body during traveling. Also, you can get better rates for exchanging foreign currency and not forgetting the money-saving perks that are offered by the credit card companies like car rental insurance coverage and free baggage check in. But you should also care about the accumulated debt which would not bode well if you overspend during your vacation trip.
Budget And Save
Therefore the best thing to do to have a carefree travel trip is to plan early and make necessary arrangements like booking your tickets and reserving the hotel beforehand. Therefore, budgeting and saving from your monthly expense is very essential. If you plan to visit someplace next year, then you should start planning this year itself to have more time and money to save. The meals you want to eat, the souvenirs you want to collect, the tourist hot spots you want to visit all should feature in your travel plan.
Use The Right Card
The saved money would help you to meet all the expense and also for the usage of your credit if any so that you do not have to consolidate credit card debt when you return. Just make sure you get the right credit card that would offer you perks and certainly would have the lowest rate of interest, especially when foreign currency is concerned. If you are prone to overspending, then you should use a debit card or a prepaid card to strictly limit your spending capacity. If you do not want to damage your credit score at all, then you can also ask for a credit line decrease to lower your credit limit. People suffering from credit card debts should seek for credit card debt settlement options which one can easily search online these days. Such settle plans will help one to manage their debts easily and go ahead stress free.