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The 5 Money Nightmares You Can Avoid While Traveling

The 5 Money Nightmares You Can Avoid While Traveling

I’ve been mugged, had my identity stolen and been ripped off overseas more times than I can count. For seasoned travellers these things are part of the job description. If you’re planning to go overseas or have found yourself in one of these situations, here’s how to tackle five money nightmares every traveller risks encountering – because no holiday should be cut short due to money misadventures.

Identity theft

A close friend had his identity stolen at an Australian airport. Had he of known where he threw his trash, it may have been different.

    source:picjumbo.com

    An English friend of mine arrived in Sydney to the news that a personal loan he’d taken out was maxed out. This is devastating news for anyone to hear, but it’s even worse when you never took out a personal loan to begin with. Turns out someone had stolen his identity from a plane ticket stub he had thrown in the airport bin.

    You always think identity theft won’t happen to you until it does – take extra precautions when you’re moving from place to place and dispose carefully of anything with your details on it. As it turns out, you need to know where your personal details are disposed of even in the relative safety of Australia, and though you don’t think about it initially the hardest part of identity theft isn’t regaining your identity but rather repairing it. Luckily, the Federal Trade Commission detail steps on retracing your alter ego.

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    Mugging

    Having cash on you is important when travelling. It’s also pretty important to thieves.

      source:picjumbo.com

      I was mugged in Amsterdam of all places, but luckily the thief only got away with 20 Euros. This is because I listened to the advice of a fellow, seasoned traveler: I split up my money and then sewed a pouch under my chest pocket to keep my passport, ID and credit cards safe. This is why listening to other travelers experiences is so vital – you can ensure the same thing doesn’t happen to you, and that your belongings remain yours.

      Credit card account hijacking

      You’ll be paying for some pretty crazy things while abroad – just make sure all your transactions are actually yours.

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        source:pixabay.com

        I had already been stung by some unexpected overseas fees and ATM withdrawal fees, but it was after a night out with friends abroad that I noticed some unusual transactions on my credit card (It was also then that I remembered the waitstaff staring at my card during payment multiple times that night).

        I didn’t waste any time – I called the bank and they reversed the charges immediately. This ease of reversing charges is one of the godsends of credit cards – If I’d been using a debit card it might not have been as quick a turn-around. In certain situations it always helps to be using credit as banks may be able to retrieve funds more quickly.

        Make sure your card is going to work with you when you travel and be mindful of how you’re spending on your credit card overseas.  In any case, your bank will tell you what you need to do the second something fishy appears on your statements.

        Getting stuck with no cash

        Cash is king, so make sure you always have access to it.

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          source:gratisphotography.com

          Everyone knows South-East Asia is the world capital of bartering prices, so I wanted to make sure I actually had cash to barter with. I went for a travel card with no foreign transaction fees, so I was only paying for money I was actually spending. Many travel money cards also let you lock in exchange rates, so you know how much cash you have to spend before you leave.

          Make sure you’ll be able to withdraw cash from ATMs in the country you’ll be visiting, otherwise your negotiation powers may not be that influential for very long. Oh, and for those of you with little negotiating skills, here’s a quick guide to get you up to speed.

          Getting ripped off when exchanging currencies

          You’re going to have to hand over cash this holiday, so make sure it’s to the best hands possible. 

            source:pixabay.com

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            Arriving in Heathrow airport for the first time and with no local currency, getting to an exchange service was my first priority. Spotting a foreign exchange stand in the airport, I couldn’t believe my luck – I wasn’t even in London yet. Once I was in London, however, I noticed that the exchange rates on offer outside of the cushy airport were much lower, with some being almost half the price. Like domestic travel, don’t just look for the quickest deals on services – get your money’s worth by looking for the best deal possible

            Just because you’re travelling, it doesn’t mean you should care less about prices. Give every financial decision the same weight you would as if you were making it at home.

             

            Traveling offers you no plenty of surprises, but they’re not all going to be free hotel room upgrades. Next time you travel be smart about your finances and savvy with your cash to avoid waking up in a scene from The Hangover.

            Featured photo credit: picjumbo.com via media.lifehack.org

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            The 5 Money Nightmares You Can Avoid While Traveling

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            Last Updated on January 21, 2020

            How to Develop a Millionaire Mindset in 6 Simple Steps

            How to Develop a Millionaire Mindset in 6 Simple Steps

            We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

            It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

            How do you go about developing that millionaire mindset? By following these simple steps:

            1. Focus On What You Want – And Take It!

            So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

            Millionaires play to win, not to avoid defeat.

            This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

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            2. Become Goal-Orientated

            It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

            Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

            Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

            Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

            You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

            If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

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            If you are to become a millionaire, you need to start accumulating money.

            Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

            3. Don’t Spend Your Money – Invest It

            The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

            Stop working for your money and make your money work for you.

            Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

            There’s not just the stock market — there’s also property, and your own education.

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            4. Never Stop Learning

            The best thing you can invest in is yourself.

            Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

            Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

            Learn everything you can about how economics works, how the stocks markets work, how they trend.

            Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

            Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

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            5. Think Big

            While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

            There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

            Aim for the stars, if you fail you’ll still be over the moon.

            6. Enjoy the Attention

            To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

            Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

            If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

            Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

            More About Thinking Smart

            Featured photo credit: Austin Distel via unsplash.com

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