Dream holiday left you with an alarming credit card bill?
by Shamoli Dutt

26-07-2013

Many a traveller has spent up a storm when on holiday only to feel the impact when they return.

Financial product comparison site Finder.com has published a three-stage guide offering holidaymakers tips on how to manage their travel finances and help turn this year’s debt into next year’s holiday.

Finder.com spokesman, Jeremy Cabral said with credit card debt rising by 0.46 per cent since April, and with credit card interest averaging 19.55per cent per annum, many Australians were paying enormous amounts of interest unnecessarily.

“Now is the time to take control – even if you have to become a self-labelled cheapskate for a limited time.

"I’m urging Australians to assess their current outgoings today and learn how a tiny change can have a huge impact on not only debt reduction but on savings”, he added.

The guide’s three top tips to creating savings for that dream holiday include – control spending, work off bad debts and develop a savings mindset.

This could work in any area of one’s life, but holiday travel is an intangible and necessary goal which may not stack up with say, a new car or bricks and mortar.

The guide includes such practical advice as know your spending weaknesses like shopping, review your bills and shop around for the best deals, wait for sales so you don’t pay full price and don’t pay for services that you can “DIY” like gym memberships.

It also advises to pay off credit cards before saving as “you will pay more interest on your debt than any interest you may earn from a high interest savings account” and pay off smaller debts first.

More information on: www.finder.com.au

by Shamoli Dutt - Austguide Travel News Editor