Traveling, studying, and living abroad is best when you have done your research and know what to expect. While part of the adventure in living abroad is the unexpected, we’ve put together some of the most important money tips you’ll need to be aware of when traveling abroad.
Debit and Credit Cards
Before traveling abroad, make sure to inform your bank(s) where you will be traveling and find out what will be charged to your account each time your withdraw money. Some banks charge you a percentage of the total amount withdrawn, while others just charge a flat fee. Be aware of bank limits on daily withdrawals and make sure you know your PIN. ATMs are very common worldwide, and will give you money in the host country currency.
Global Experiences encourages students to take at least one debit and one credit card in case of an emergency. Here are some helpful tips:
- Make sure that your cards are chip activated and are signed, as many countries (especially in Europe) will not accept your card unless it has a chip and has already been signed on the back.
- Print copies of your cards (front and back) and keep them in a safe place. That way, if your card is stolen you'll have immediate access to the card number, as well as the international 1-800 number on the back of your card.
- Leave a copy of your card copies with someone at home who you trust.
- Understand the foreign transaction fees associated with your card. Some companies will charge as high as 5% per transaction to convert the currency into USD.
Money Matters
Participating in a program abroad is an investment in your future. It's important to plan ahead for funding and managing your expenses while traveling abroad. Responsibility managing your finances is an essential aspect of the experience. The following tabs contain important information regarding budgeting for your trip, utilizing credit and debit cards, and tips for saving money.
The staff at the Global Experiences Office can help you determine the cost of attendance for your program. Keep in mind that there will most likely be additional costs that are not included in the pre-paid price of a program. This may include airfare, local transportation, personal travel and daily expenses. Rephrase sentence to say: For additional assistance in budgeting and managing money abroad, students can review The Ultimate Student Guide to Financing your Life Abroad – gooverseas.com.
Exchanging money
It's important to have up to date information about the currency exchange rate in your host country. This rate often fluctuates sometimes daily, you can obtain current exchange information at: http://www.xe.com/ or with their mobile app.
There are several ways to exchange the dollar for foreign currency. This is something that students can do before they travel abroad or when they arrive in their host country. If choosing to exchange money before you go abroad, you will most likely order money through a local bank. This may be a more expensive option because banks often don’t have foreign currency on hand and will have to order it for a fee. This can also take a week or more to receive your order.
If you chose to wait and obtain currency in another country there are a few ways to go about doing that. There will often be currency exchange booths at airports and in high traffic areas of cities. These booths should be used with caution because they often don’t have reliable exchange rates and charge a commission fee. One of the best ways to exchange the dollars for foreign currency is through an ATM. Exchanging currency at an ATM is a reliable way to obtain currency when arriving in your host country or when traveling to a country with a new currency. They often have the best exchange rate which will save you money. Some banks charge an additional fee for making a withdrawal at a foreign ATM. This may be flat fee for each withdrawal or it could be a percentage of the amount that is being taken out of your account. Check with your bank to inquire about withdrawal fees. Only exchange cash at a reliable bank, ATM or currency exchange. Never exchange money on the street, in some countries this can be a scam.
Tips for Saving Money
Traveling on a Budget
There are many ways to stretch your dollar while abroad. Although your cost of living will depend heavily on where you are in the world, the following ways to travel on a budget are universal and can be applied wherever you decide to go. Prioritizing beforehand where and how you will spend your money will ensure you are able to get the most of your money and do more of what you want with it, like traveling!
Using public transportation can be a great way to save money while experiencing a different side of the city or town where you'll be living. Public transportation outside of the United States can come in many different forms, be it buses, trains, ferries, or the metro. You'll find that people outside of the US generally use public transportation more often, however, the extensiveness, reliability, and quality of the transportation will differ considerably depending on your destination. It's important to remember that your safety is top priority, so never put ease or affordability over it. If you don't feel comfortable using public transportation, be it because it's night out, you're alone, or in an unsafe part of town, catch the nearest taxi.
Staying in hostels is not only affordable, but can be extremely rewarding, as you are able to meet fellow travelers from all parts of the world. Many hostels are centrally located in neighborhoods where hotels and other mainstream accommodation would be very expensive. Hostels can be historical or purpose-built buildings most often with a common area, dormitory style rooms, and cooking facilities. Make sure you do your research online and know what safety and security measures will be in place for each location. You can search for hostels using sites such as Hostelworld or Hosteling International. Quick tip: try to stay at hostels that include breakfast in the daily rate, and always bring a padlock and towel so you don't have to rent one!
Student Identity Cards
Your NCard and/or your host institution student ID may entitle you to free or reduced rates at theaters, museums, student hotels, etc., in many countries, as well as reduced rates on trains, boats and flights. Always be sure to check for student rates or discounts before purchasing at full price.
Power of Attorney
The Global Experiences Office and Student Legal Services strongly recommend all students studying abroad obtain a Power of Attorney (POA). A POA is a document authorizing another (a parent, relative, or close friend) to act legally on your behalf. A general POA may perform all of the decisions and actions made by an individual. The POA can take care of unanticipated financial and personal affairs, such as bills and UNL course and/or housing registration, while you are out of the country. The Power of Attorney agreement allows others to make payments to a student's account and sign important documents on his or her behalf.
UNL students can get a POA free of charge from Student Legal Services, located in 335 Nebraska Union. You will need to provide that office with the following information:
- Student's name, permanent address, and telephone number;
- The name of the person who will have power of attorney, their address, and telephone number.
Provide copies of your Power of Attorney agreement to the Global Experiences Office, Office of Scholarship and Financial Aid, and to any other agency which cannot regularly give out information about you without your expressed written permission.