Nine in 10 Aussie travellers are wasting money on holiday

Aussie travellers are wasting money on avoidable travel expenses.

Aussies wasting travel money

Australian travellers are wasting holiday money on avoidable travel expenses, a new survey has found.

Bad habits, laziness, withdrawing cash from credit card accounts at overseas ATMs, leaving flight bookings until the last minute and an unwillingness to adopt new technology that sidesteps fees are the main reasons almost nine in 10 Aussies are basically throwing money away.

In fact, just 11 per cent of the InsureandGo survey respondents said they had never been stung by easily avoidable expenses.

According to the survey of 1000 Aussie travellers, 49 per cent admitted to withdrawing cash from an overseas ATM, while 39 per cent exchanged money at an airport, even when faced a mark-up of up to eight per cent compared to non-airport kiosks.

Over one quarter of respondents admitted to not using a cash passport which typically locks in exchange rates prior to departure; a quarter also said they paid a high price for last-minute flights, when they could have booked them much earlier, and over one in five did not compare accommodation prices online before booking. Others were happy to pay excess baggage costs when they could have reduced bag weights, many paid unnecessary car rental excess reduction charges, or for GPS navigation units when they could have easily used their smartphones.

“We know how much Aussies value a getaway, so it’s important that they do their research and plan before they travel, to ensure they don’t go over budget before they reach their destination,” said InsureandGo managing director Raphael Bandeira.

“For instance, paying up to $40 a day to reduce the excess on your car insurance is a prime example of an unnecessary cost.

Mr Bandeira said much unnecessary spending was motivated by convenience.

“When you’re on holidays, you often want the quickest and easiest method of doing things, which can often be more costly,” he said.

“Other times, I think it’s due to a lack of education and understanding by Aussies about ways they can save money on travel.”

Are you guilty of these travel spending no-nos? How many times have you paid the price of convenience? Or is it just part of travelling?

RELATED ARTICLES





    COMMENTS

    To make a comment, please register or login
    Rod63
    22nd Dec 2018
    12:19pm
    "Over one quarter of respondents admitted to not using a cash passport which typically locks in exchange rates prior to departure"
    This is not necessary. The exchange rate can just as easily become more favourable while away. Locking in an exchange rate prior to departure is only good if you can be sure that the rate will worsen. And who can ever be sure of that.
    Also, in-car GPS is a good idea. Phones can't be used unless you have data available overseas and these days not many travellers do because of the cost and the free wi-fi everywhere.
    I can remember when
    22nd Dec 2018
    12:50pm
    Re GPS - each time I hired a car the "GPS" you could pay extra for was a phone-sized hand-held unit rather than in-car (in fact once I was playing around with the entertainment controls and found it had unlocked sat-nav!). I use Vodafone because of the cheap roaming charge which is less than the cost of hiring the GPS and of course gives you all the other benefits.

    Re locking in an exchange rate yeah this depends on the country and time. I did pretty well locking away rates on a card because they dropped a lot by the time I went. I watched the market and took a punt. But it could have gone the other way as you say - I preferred the security of knowing how much I had.
    Anonymous
    23rd Dec 2018
    11:53am
    Exchange rates can go up or down, but locking them in before leaving at least allows you to budget - secure in the knowledge that a sudden change won't result in a major budget overrun.

    As to phones, I found Australia Post phone card brilliant. Prepaid, so there were no nasty surprises and friends could phone me wherever I was in the world for the cost of a local call. The card picked up the cheapest network provider wherever I was, though allowing me to make my own selection if I preferred.
    Anonymous
    23rd Dec 2018
    11:53am
    Exchange rates can go up or down, but locking them in before leaving at least allows you to budget - secure in the knowledge that a sudden change won't result in a major budget overrun.

    As to phones, I found Australia Post phone card brilliant. Prepaid, so there were no nasty surprises and friends could phone me wherever I was in the world for the cost of a local call. The card picked up the cheapest network provider wherever I was, though allowing me to make my own selection if I preferred.
    I can remember when
    23rd Dec 2018
    3:34pm
    OGRainey - could you keep your existing number? That would be handy. Could it call landlines in Australia? I got a sim card the first time I went o/s and couldn't call landlines in Australia. My Mother only has a landline so I couldn't call her.
    I can remember when
    22nd Dec 2018
    1:01pm
    I saved over $4000 on my last US trip by:
    Planning (or at least preparing) 2 years ahead.
    Booking flights as far out as I could provided the sale price was available. By keeping track in the year before you work out when flights went on sale and in which periods.
    Travel during the shoulder.
    Booking hotels online and paying then and there making sure to only book refundable rates. I would then check each week to see if something better was available or if the dollar improved or that same room came cheaper. Cancel then rebook. This saved me $1500 on my NYC hotel $1000 in Vegas and $500 in DC alone. Refundable rates are higher, but you save more overall by snatching the best fares and checking often.I used Expedia because then all my booking are on one site and I can change easily online. With some sites you have to ring each time you want to change a booking.
    If you want to tour national parks in the US get an annual pass. Saved $180 there.
    Avoid those city pass tourist things. You need to see a lot of the listed attractions to save anything and you can't decide the weather or if you're feeling a bit off colour.
    AutumnOz
    22nd Dec 2018
    4:10pm
    Sorry to be so picky but the following phrases are becoming too comon and are unacceptable in my opinion.
    "almost nine in 10" or "over one in five" when referring to people. There is no way you can an almost person or an over person.
    My whinge for the week :-).
    I can remember when
    22nd Dec 2018
    4:50pm
    Apparently most people don't understand percentages, so they describe it in that context.
    Miranda
    22nd Dec 2018
    8:18pm
    I got a Qantas travel money card a few years ago and had nothing but trouble with it. I now use a Citibank debit card when I am overseas - no annual fee and no conversion fee.
    MICK
    23rd Dec 2018
    8:22am
    I have written about this a number of times and the cover photo says it all.
    My wife and I have used a Citibank debit card for years. Its FREE, yes you read right, free to withdraw money at any Citibank ATM in the world and also Mastercard ATMs.
    When I say 'free' I mean THERE ARE NO FEES but the exchange rate is about 0.5% which is essentially nil. Other cards charge a fee + 3-4% on the exchange rate. Even the cards Leon mentions in the article.

    I understand some local banks are now offering free FOREX on credit cards overseas but readers will need to check that out. The worst thing you can do is use an airport ATM which is owned by a third party. Just a word of warning: Citibank ATMs are short on the ground in some countries including airports but search for those which accept Citibank cards as nearly all are fee free.

    Travellers who ignore the advice or couldn't be bothered will squander a small fortune. Your choice. We saved a small fortune.
    MICK
    23rd Dec 2018
    8:51am
    Oops....search for those that accept MASTERCARD. Sorry about the typo.
    KSS
    24th Dec 2018
    12:47pm
    Cash cards are all very well except when they demand a minimum amount of $2000 deposited and when they do not offer the currencies you will need. This has happened three years in a row so I don't bother now. I do always make sure I have some local currency before arriving to avoid the airport rates, but even then there are times this is not possible - Cuba for example.
    The thing is you need more than one way to access your money when away from home.


    Join YOURLifeChoices, it’s free

    • Receive our daily enewsletter
    • Enter competitions
    • Comment on articles