Travelling to new destinations is always thrilling — but if there's one thing I've learned after years of living out of a suitcase, it's that money management can make or break a trip.
I've had my fair share of “oops” moments…
There was that month backpacking across Europe on a shoestring – hopping between €10 hostels, catching overnight FlixBuses, and learning how to stretch every euro without missing out on the good stuff.
Later, when I spent 5 months living in Bali on a budget, I really learned the art of balancing comfort and cost. Renting a simple villa with friends in Canggu, sharing scooters to get around, and eating local warung meals for just a few dollars each made it possible to live well without overspending.
Those lessons taught me that handling your finances abroad isn't just about budgeting — it's about being prepared for the unexpected.
In this guide, I'll share practical, experience-backed tips I've picked up over the years to help you keep your money safe, accessible, and working smarter for you while you explore the world.
5 Ways To Choose The Right Payment Methods
One of the smartest things you can do before your trip is plan how you'll pay for things abroad. I've learned this the hard way — like the time my card got declined at a café in Lisbon because my bank thought it was “suspicious activity.”
Having the right payment setup not only saves you from awkward moments like that but also helps you avoid unnecessary fees and security risks.
1. Use a Mix of Payment Options
Never rely on just 1 method. I always travel with:
- A primary credit card – for hotels, car rentals, and emergencies. Credit cards usually offer better fraud protection.
- A debit card – for withdrawing local cash at ATMs. Just make sure it's one that refunds international ATM fees (like Revolut or Wise).
- Some local currency – for markets, small cafés, or taxis that don't take cards.
That combination has saved me countless times — especially in smaller towns or rural destinations where card terminals go offline or don't accept foreign cards.
2. Watch Out for Hidden Fees
Foreign transaction fees can quietly drain your budget. Many traditional banks charge around 3% per purchase abroad — it doesn't sound like much until you add it up after a month of travel.
Look for travel-friendly cards with zero foreign transaction fees (e.g. Wise, Revolut, or Chase Sapphire Preferred). They also convert currencies at real exchange rates, so you're not overpaying every time you swipe.
Pro tip: Always pay in the local currency if given the option. Dynamic currency conversion (when a card machine asks if you want to pay in your home currency) often uses poor exchange rates.
3. Notify Your Bank Before You Travel
This one's easy to forget. Before every long trip, I let my bank know which countries I'll be visiting to avoid having my card frozen for “suspicious” transactions. Many banks let you do this directly through their app.
4. Explore Digital and Borderless Payment Options
More travellers (myself included) are leaning toward borderless digital wallets. Apps like Revolut, Wise, and PayPal let you hold multiple currencies, transfer money globally, and spend abroad without hefty conversion fees.
And if you're a digital nomad or freelancer, they're a lifesaver — you can get paid in 1 currency and spend in another without worrying about fluctuating exchange rates or bank delays.
5. Crypto-Friendly Travel Payments
Some forward-thinking travel platforms and booking sites now accept crypto friendly deposits – great for those who prefer decentralised finance. While I wouldn't rely on crypto alone for everyday purchases, it can be useful for long-term travellers who earn or store funds in digital currencies.
It's borderless, fast, and cuts out the middleman, though volatility and limited acceptance remain the main drawbacks.
How To Keep Your Finances Secure While Travelling
Security is paramount when travelling. Use a combination of a main card and a backup, stored separately, to reduce risk if one is lost or stolen. I recommend adding RFID-blocking wallets and money belts into your packing list.
Always use secure ATMs—preferably inside banks—and avoid public Wi-Fi when accessing financial accounts.
Mobile banking apps are a lifesaver for monitoring balances and transferring funds, but set up strong passwords and two-factor authentication before your trip. If you're using alternative payment methods, make sure you understand how to recover your funds in case of lost access or technical issues.
How To Budget For A Stress-Free Adventure
With our trusty campervan in New Zealand!
Budgeting doesn't mean cutting out fun — it's about spending smarter while travelling so you can say yes to more experiences without worrying about money.
When I started travelling long-term, I realised that keeping track of my expenses made my trips so much smoother. Instead of stressing about every purchase, I could just focus on exploring.
Start by estimating your daily travel expenses – accommodation (or campervan sites), food, fuel or public transport, and activities. You can easily track this using a simple spreadsheet or a travel budgeting app that supports multiple currencies. It helps to break down your spending by category so you can see where your money's going and where to adjust if needed.
Set aside a small emergency fund, ideally enough to cover a few days of accommodation and unexpected costs like a medical visit or transport change. I also recommend pre-paying for major expenses such as accommodation or tours before your trip — this locks in rates and avoids surprise price changes while you're abroad.
If you're a frequent traveller, using an eSIM for international travel can save both time and money. Instead of buying multiple local SIM cards, a single global eSIM plan helps you stay connected across borders without roaming fees or the hassle of swapping cards. It's especially useful for tracking expenses or using online banking securely while on the go.
For long-term travel, keep an eye on exchange rates and foreign transaction fees — even small charges can add up. Some travellers use multi-currency accounts or prepaid travel cards to manage money efficiently across countries. These options let you hold, convert, and spend in local currencies at competitive rates, reducing losses from fluctuating conversions.
How To Adapt To Local Currency And Costs
Every country handles money differently, and understanding those local habits can save you from unnecessary fees or confusion. In some destinations, digital payments dominate — you can tap your card or phone almost anywhere. In others, like smaller towns or traditional markets, cash is still king.
Before you go, take time to research the local payment culture. Will you need cash for taxis or street food? Do local apps offer better rates than cash? Knowing what's commonly used in your destination helps you avoid awkward payment issues or higher transaction fees.
Watch out for common currency scams and counterfeit notes — especially when exchanging cash in markets or with street vendors. Always use reputable ATMs or exchange counters, and avoid kiosks at airports that tend to offer poor exchange rates.
If you're staying longer, look into digital payment methods that work locally — such as contactless cards or regional wallet apps. They're often safer and faster, especially when you're managing travel expenses from your phone.
And here's a little travel hack I've picked up over the years: keep a few local banknotes and coins before you leave. Beyond being practical for your next visit, they make great souvenirs — small reminders of the places you've been, the meals you've shared, and the moments that didn't quite fit into your luggage.
Managing your finances while travelling doesn't have to be stressful. With the right preparation and a few smart strategies, you can spend less time worrying about money and more time enjoying your journey.
Whether you're a first-time traveller or a seasoned globetrotter, these tips will help you make the most of every adventure.
