With summer around the corner, Nita Khabra, branch manager at the Fleetwood branch of Envision Financial, a division of First West Credit Union, has some tips to help you make great memories without a stack of bills to pay this Fall.
Use your debit card
Credit cards provide a quick and easy way to finance a summer vacation, but be careful—unless you are able to pay off the full amount when your statement is due, the interest can add up quickly. Ideally, save up for your vacation beforehand, but if you need to borrow funds to help pay for your vacation, consider using a personal line of credit which comes at a much lower interest rate than credit cards.
Purchase adequate travel insurance
Nothing breaks the bank faster than having an unexpected medical emergency. We’ve all heard the stories of travellers owing thousands of dollars in medical bills after an accident in the U.S., but many people don’t know there are limitations on your coverage while travelling within Canada.
Reconsider your options
Travelling long distances can add up quickly with high fuel costs, airfare and hotel stays. Staycations can be a relaxing way to spend your vacation allowing you to take advantage of what your local city has to offer. Plus, many communities host free events during the summer months.
Help your children start a small business
It’s never too early to teach your children the value of a dollar. Help them start a summer business like walking dogs, mowing lawns or washing cars. Not only will your kids earn some pocket money for their vacation, but they’ll also learn an important life lesson about saving.
Start saving now for next year
Setup a special “vacation fund” account that automatically transfers funds each pay day so you’ll have a lump sum saved up for your vacation next year.