How was it now, is it best to pay with cash on the trip? Or is it smarter to pay with a credit card? We find out which payment method is the most advantageous – and advise you on how you can avoid unforeseen costs.
Think before you exchange currency
the cash society is disappearing – not only in but also abroad. Many shops, restaurants and places of interest have become completely cashless. Therefore, it is smart not to have the entire holiday budget in banknotes. Also keep in mind that it costs a penny to exchange currency before departure. And if you withdraw cash from an atm in a country outside the eu, there may be a withdrawal fee.
But bank cards without credit?
Even when you pay with a regular bank card, you incur costs that you have not anticipated. An example of this is that most banks add an extra fee of between one and three percent on all purchases with credit cards abroad – a so-called currency surcharge.
Therefore, you should use a credit card on the trip
the credit card is a flexible and safe method of payment for all travel expenses. If you use collector bank’s credit card, you can get the most out of your travel budget and avoid fees eating it up, partly because the credit card has no currency surcharge. The credit card can also be advantageously used to book and pay for the trip. When booking with the credit card, travel insurance is included as a supplement to your home insurance, with a free deductible. If you have to cancel the trip due to illness, cancellation protection is included. If you are delayed at your destination or if your luggage is lost, the insurance also covers this.
Flight bonus when you use credit card
If you connect your credit card, you collect points on trips with airlines connected to the bonus system, points that can make your next holiday abroad cheaper. There are also thousands of shops, restaurants and cafes where you can also earn points by using the card. Should you rent a car for the trip? Then it is smart that you make the rental car payment with a credit card. If the vehicle should be damaged or stolen and you have made the payment with credit card, a deductible of up to included. You also avoid having to spend your own money if you have to pay a deposit for the rental car.
With credit card, you get up to 56 days of free credit, which allows you to pay the expenses in peace and quiet when you have returned home. The free credit also means security should unexpected costs arise during the trip. There’s even an event cover which means you’ll get cancellation compensation if you fall ill and can’t attend a match or concert you’ve bought a ticket for.