Common Finance Mistakes Made on the Road

When you are on the road, finances can be very far from your mind. You will not get bills or bank statements in the post and so it can be easy to forget about them. However, if you do not give them some thought, you could end up in trouble. It is therefore worth taking a look at these common mistakes made by people on the road so that you do not make them as well.

Payday loans

If you need money to get you through while you are on the road, it may be tempting to use payday loans. You may feel that you need a bit of quick money and this could be a good way of doing it. However, payday loans can be very expensive, especially if you are not able to make the repayments on time. If you do need to borrow money then it can be much better to think of an alternative way to get it.

Credit cards

Credit cards can be very easy to use when you are on the road. It is so simple to just hand one over to pay for everything and not think about the amount of money that you are spending and how much the interest might cost on it. If you have a direct debit set up to pay off the whole of the outstanding balance each month, then using a credit card may be okay, as long as you make sure that you have enough money to cover the bill when it comes through. Otherwise think hard being using them as the costs can be very high.

Overdrafts

An overdraft can be a very tempting way to get a bit of extra money. However, overdrafts can be extremely expensive especially if they are not authorised ones. With an overdraft, you do not get forced to pay back any of it. It will happen automatically when you make a deposit in to your account, but this may not cover it all or you may quickly go overdrawn again. They are therefore well worth avoiding.

Not Paying bills

It can be easy to overlook paying bills like your life and health insurance when you are on the road. Such bills are imporant and to your safty while traveling, health insurance like HealthInsurance.net can save you in the times of bad health when on the road. You may not know when the payments are due and not receive the letters to tell you that you need to pay money. Therefore it is worth finding someone to keep an eye on this for you or to pay some extra towards your regular bills to cover the period while you are away.