How to Avoid Hidden Travel Costs

How to Avoid Hidden Travel Costs
No matter how well you plan your trip abroad, it’s easy to get caught out by hidden travel costs.

Planning everything down to the last detail certainly takes the spontaneity out of travel, but it’s definitely one way to help make sure there are no nasty surprises!

Hidden travel costs can creep up anywhere. Some of the main areas to watch out for are: when making payments, arranging transportation, getting your final hotel or phone bill, and claiming back insurance.

What is true one year, might not be the next. Costs can vary greatly between countries and visits as new laws and regulations, such as tourist taxes or airport visa fees, come into force.

A little research in advance goes a long way in making sure you’re aware of the big things. But how do you avoid the more hidden travel costs? Let me tell you.

 

travel

 

Travel Insurance

Make sure you have the right cover before you get on that flight, and not after that minor ski accident.

Many credit card and health insurance providers include travel insurance, with exclusions. For general travel, you’re most likely already covered. However, if you plan on undertaking any kind of winter or water sports, cruises or potentially dangerous adventure activities (rafting, hiking, skydiving, etc) you’ll need to check your policy carefully.

If additional cover is needed, either buy one-off or annual travel insurance using an insurance comparison website such as compare the market or go compare.

 

Hiking

 

Getting from the airport to your destination

Always know in advance how you’re going to get from the airport to where you need to go by comparing the fastest, cheapest and safest ways to travel.

Remember, a taxi isn’t always the fastest. Many cities are better connected to airports via trains than by car. Trains aren’t always the cheapest, either. Sharing a taxi can work out cheaper than a train if you’re a group of 2/3 or more. Also, taxi’s aren’t always the safest. Make sure you know the difference between registered and unregistered taxis. While in some countries, it’s better to book a private chauffeur through your hotel than step into a local cab.

 

Taxi

 

Hotel Fees

Hotels can be full of hidden charges. Always read the fine print! While it’s impossible to predict them all, here are a few of the most common:
  • Daily resort fees: Typical at big hotels with swimming pools. It’s often a mandatory charge in addition to your room fee that you have to pay even if you don’t step foot in any of the facilities.
  • Parking/valet charges: Often you can self-park, at an included or extra fee. Valet parking will always cost more and at extra cost. But be careful of valet-only hotels, where you’ll be charged a daily valet rate regardless of whether you take out your car or not.
  • Local and tourist taxes: These are common and vary greatly but are easy to find out. Just call up your hotel and be aware of what they are before making a non-refundable booking.
  • Additional guests: The price for your double hotel room might be more if you are two people and not one. If you’re looking to avoid surprises, make sure you book for the right number of people.
  • Tipping: Tip culture is an important hidden cost to factor in. From no-tipping policies to 20% tipping expectations, it’s good to know in advance and be ready.
  • Currency fluctuations: Some hotels will only ask for payment at check-out. But be careful. Exchange rate fluctuations could affect the price of your trip, for better or for worse. Keeping some reserve cash can help mitigate a bad exchange rate on the day.
  • Late check-out: Most hotels charge a late check-out fee up to a full night’s stay. Be on time or arrange a late check-out in advance.
  • Water: Most hotels now offer water for free, but it’s another thing worth checking, especially in hot countries.
  • Smoking: If you have a non-smoking room, this is not a hidden charge. It will clearly state do not smoke or you’ll be charged $200 or similar. Don’t say I didn’t tell you.

 

Hotel fees

 

Paying with card

Currency exchange rates are a classic example of hidden costs that many people underestimate.

While I understand the argument for putting everything on your credit card to build points, it’s really not worth the 3% transaction fee. If you’re thinking, but what choice do I have? I can’t carry everything in cash! Then you haven’t heard of Monzo.

Monzo is literally the cheapest and most convenient way to make payments abroad for anyone with a smartphone and wi-fi access. It’s the best pre-paid currency card product on the market right now. (I’m an actual fan, this is not a sponsored post!) I’ve tried it personally and while there are a few restrictions, such as a limit of £1000 per transaction and £5000 maximum spend per month, your hotel won’t mind taking two payments for a £2000 bill.

Here’s how it’s different from similar products: the card works together with an app, where you can top it up in real-time. Yes, instantly. They don’t charge any fees, and they offer the best daily exchange rate.

 

Paying in cash

Frequent travellers, it’s a good idea to watch exchange rate fluctuations and pick up some dollars, euros or pounds when the rate is good!

Keeping a small stash of these currencies in cash can really help avoid getting a bad rate at the time of travel.

But if you need more cash, you can withdraw at an ATM using that magic Monzo card at zero fees. Again, here your credit card provider will likely charge a non-sterling transaction fee on top of the 3% or £3 fee, while Monzo will charge you nothing.

Unfortunately, Monzo have since begun discussing implementing a fee for cash withdrawals only. Even if they introduce a 1% or 1.5% fee, they will still be the cheapest way to withdraw money abroad.

 

Roaming charges

Know your roaming plan and keep track of data usage.

It’s incredible how far roaming charges have come down. But they still exist, especially when it comes to using data on your phone. Not keeping track of your data usage while roaming can result in a very unpleasant phone bill.

Many phone providers offer fixed plans, such as Vodafone’s £3 a day Euro Traveller or £5 World Traveller, charging £3 or £5 daily regardless of how many calls or data you use within your existing allowance. For other providers or countries where these options are unavailable, you could still be charged per minute or megabyte.

General tips:

  • Keep your mobile data turned off unless you need it.
  • Don’t open data-heavy apps like your email unless you’re connected to wifi.
  • Use your google maps without internet. Insert your destination while you are connected, and track where you are along your route without needing any wifi or 3G.

 

phone

 

Did I miss anything out? Were these tips helpful? Leave your comments below!

 

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13 Comments

  1. 27 October 2017 / 7:04 pm

    These are such amazing tips! I’m planning on (hopefully) going on a couple of trips this year, so I will absolutely be reading this over again before I go! Thank you for sharing these. 🙂

    • 2 November 2017 / 1:12 pm

      Thanks Daynna glad you find these tips useful!

  2. 27 October 2017 / 11:12 am

    I never use my mobile when travelling abroad! When i need to call home i use the skype app to call and its always cheaper. Useful tips and tricks Lara!
    Helene // Beautiful Is My Attire

    • 27 October 2017 / 12:15 pm

      It’s important to disconnect once in a while, I agree. Leave the Instagram posting for when you get home, to enjoy the beach or dinner in the moment 🙂

  3. 27 October 2017 / 3:55 am

    I totally agree with this post. I have a draft on the blog about things you need to know about staying in a nice hotel. The first time I stayed at a nice hotel I had not heard of a hold for incidentals on your credit card. That is something that might be helpful for readers to know as well.

    • 27 October 2017 / 12:20 pm

      That’s just a deposit they take, which gets returned when you check-out. It’s pretty common for all hotels. Exactly, it’s not just the room fee that you need to account for. It’s definitely worth checking what the whole experience will cost, the breakfast, the resort fee, the valet, deposit, taxes, etc. So a few more things to keep in mind when choosing a hotel!

  4. 26 October 2017 / 9:30 pm

    Awesome tips! I would add – sometimes it’s hard to suss out hidden costs when there’s a language barrier. So, even though it takes a little longer, I always try to match line items on a receipt to what I think I should be charged for. If there’s one or two extras…ASK! It may have a perfectly logical explanation (or you just forgot) but it’s worth it for those rare times you got slapped with a suspect charge.

    • 26 October 2017 / 9:37 pm

      Thank you! Definitely, I’m sure there are people that would try to exploit a language barrier, so keeping a sharp eye is helpful!

  5. 26 October 2017 / 9:06 pm

    These are great tips, I would’ve never known about hidden travel costs!

    • 26 October 2017 / 9:38 pm

      Yes me too, it’s hard to budget for a trip but a bit of extra research before going can make a real difference. XO

  6. Jasmin N
    26 October 2017 / 8:40 pm

    These are amazing tips! I sure am saving this for later use 🙂 thank you for sharing!

    • 26 October 2017 / 9:38 pm

      Thanks Jasmin! Happy you found it useful 🙂

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