How to Protect Your Finances While Traveling

Whether you’re a seasoned globetrotter or planning your very first international getaway, protecting your finances while traveling is essential. From card security to smart currency exchanges, financial missteps abroad can turn a dream trip into a logistical and emotional nightmare. Planning, being prepared before you leave home, and maintaining awareness of your financial activity while traveling can safeguard your financial wellbeing and let you enjoy your journey with peace of mind.

Below are our financial safety tips to help you travel smarter, safer, and more confidently.

Your credit and debit cards are powerful tools that can provide you with convenience and protection while traveling—when used wisely.

1. Notify your bank before you travel.
   Inform your card issuers of your travel dates and destinations. This helps prevent your purchases from being flagged as fraudulent and your card from being frozen unexpectedly.
2. Carry multiple cards.
   Never rely on a single card. If it is lost, stolen, or blocked, you will want a backup. Ideally, bring at least one credit card and one debit card from different issuers. Some places may not always accept American Express or Discover cards, so have a VISA or MasterCard on hand to ensure you can make purchases no matter where you are.
3. Use credit cards for major purchases.
   Credit cards typically offer stronger fraud protection than debit cards. Use them for hotels, transportation, and expensive tours—and check to be sure your card has no foreign transaction fees.
4. Keep cards secure.
   Invest in an RFID-blocking wallet or money belt – especially if you are going to be in crowded places – and never keep all your cards in one place. Store backup cards in your hotel room safe or other secure location.
5. Monitor statements frequently.
   Use your mobile banking app to regularly check for unauthorized transactions. Report suspicious activity at once to your financial institution.

Travel insurance can provide valuable financial protection for travelers.

1. Choose the right policy.
   Look for travel insurance that covers not only trip cancellation and medical emergencies but also lost or stolen personal items, including wallets and credit cards.
2. Consider coverage limits.
   Make sure your policy’s limits are adequate for your trip’s value and duration. If you are carrying expensive electronics or planning adventurous activities, additional coverage might be necessary.
3. Use a credit card that includes travel insurance.
   Many premium credit cards offer complimentary travel insurance when you use the card to book flights or hotels. Confirm the details with your card issuer before your trip.
4. Save digital and paper copies.
   Store a digital copy of your policy and claim instructions in a secure cloud folder and keep a printed copy with you in case of limited internet access.

Foreign exchange can be confusing—and expensive—if you are not careful. Here’s how to maximize value when converting your money.

1. Avoid airport currency exchange kiosks.
   These often offer poor exchange rates and high fees. Use local bank ATMs instead for better rates and convenience. To avoid the risk of getting your card skimmed, avoid using freestanding ATMs.
2. Withdraw larger sums and use ATMs less frequently.
   ATM fees can add up fast, so it’s usually more cost-effective to take out a larger amount at once. Be sure to secure the cash safely.
3. Decline dynamic currency conversion.
   When a merchant asks if you want to be charged in your home currency, always say no. This “service” often comes with unfavorable exchange rates. Choose to pay in the local currency.
4. Bring some local cash.
   It’s smart to arrive with a small amount of local currency for incidentals like taxis or tips, especially if you’re landing late or in a remote area.
5. Know the current exchange rate.
   Use apps like XE Currency or OANDA to stay informed about fair rates and avoid getting overcharged. If you’re making large transactions, services like WISE can save you money on international transfers but should be set up before your trip.

1. Enable travel-friendly alerts.
   Set up real-time alerts for transactions, withdrawals, and balance changes on your accounts. This allows you to monitor your spending and detect fraud instantly.
2. Use a secure connection.
   Avoid logging into your banking app or entering personal information over public Wi-Fi. Use a virtual private network (VPN) or your mobile data when checking financial accounts abroad. VPNs also give you the ability to use the local version of websites like Amazon as well as streaming services.
3. Download your banking app before you leave.
   Make sure all financial apps are installed, updated, and working properly before you depart. Familiarize yourself with features like card freezing or location controls.
4. Have customer service numbers saved.
   Keep your bank’s international contact numbers saved both in your phone and on paper, in case you need to report a problem or replace a card.
5. Limit account access.
   Consider keeping large sums of money in accounts you won’t access during travel, transferring funds into your travel account as needed. This limits exposure if your card is compromised.