credit card limit for travel

[Flieguy]

I'm going to be in australia for 5 weeks and I want to pay for most things with my credit card. I'm also bringing cash as well.

my question is, how much cash should I bring and what should I raise my limit to (it's only $500 right now).

I'm staying with a friend so I won't have to pay for a hotel.

[omega50]

Some charges require a holdback- most hotels will require 1-2 nights of charges applied to your card when you arrive. It eventually comes off- can take up to week and eats up alot of your available credit room.

You don't require a hotel- but these types of holdbacks can surprise you and leave you scrambling.
Do your homework and ask your Credit Card company for advice.

Perhaps you could also bring a pre-paid Credit Card as an emergency back up. Load it here and stash it somewhere safe.Because if your current credit limit is $500 then you may not have too much say in how much credit limit that you would qualify for.
Make sure that your travel insurance policy will immediately cover your costs, Because it does you little good if you have to pay up front and get re-imbursed later if a medical issue/accident occurs.

[Austin]

It is somewhat difficult to use credit cards in AUS unless you are prepared to absorb the merchant fee (a % of the transaction amount). Gov't there has allowed merchants to pass the cost to the buyer... Kind of a rotten deal if you ask me.

The amount can range from 2%- 3.5% of the transaction amount.

Not sure how debit cards works but you should be fine with that and travellers cheques from your bank. Use the credit card as your emergency back-up.

[doetracks]

Might also be a good idea to advise whoever issued your CC (call the Visa/MC/AMEX number) and advise them that you will be travelling, so they don't lock your card when the first out of country charge pops up.

It's happened to me and that's what the customer service rep advised when I called in.

[Okotokian]

Originally Posted by Flieguy

I'm going to be in australia for 5 weeks and I want to pay for most things with my credit card. I'm also bringing cash as well.

my question is, how much cash should I bring and what should I raise my limit to (it's only $500 right now).

I'm staying with a friend so I won't have to pay for a hotel.

Ask your card company what the maximum limit you can get is, and take it. I'm assuming you have the discipline to not buy more than you can repay. Why would you let someone else decide what you can and can't do?

[Ice Fishing Maniac]

IMO, a $500 credit limit on your card while travelling probably is not enough. I think its easier to pack less cash and use the CC. As mentioned, being responsible, ask to get your credit raised on your CC. Just be prepared to pay back what you spent on the card.......pay it off as soon as you get back, or make partial payment when away on holidays to be in good standing.

If not, buy a pre-paid visa gift card if they have them. Better getting credit limit raised as if you loose this gift card style, its gone....you loose your CC, nobody can use it.

Have a great trip.

[mayuan]

I would say the minimum you should have available on the credit card is $10,000. If you are staying in hotels you can low average ~$100 per night and a food bill of about the same, with the odd splurge. that is 35days X $200 so you are at $7000 already just for the basics. In Europe you can pi$$ through that much cash in half the time!

[Okotokian]

Oh, and spend a little of that money on travel medical insurance, if you don't have an employer plan that provides it. I have no idea what Australia would charge a foreigner for a serious hospital stay or operation.

[mayuan]

Originally Posted by Okotokian

Oh, and spend a little of that money on travel medical insurance, if you don't have an employer plan that provides it. I have no idea what Australia would charge a foreigner for a serious hospital stay or operation.

You are correct, travel insurance is a must! I get about it for $11 per week when every I leave Canada for insurance. Even if you have employer insurance get extra from your insurance company.

[Flieguy]

again, I'm not staying in a hotel.

and I was told my ATB debit card won't work (at least not without massive fees).

and I have travel insurance and my ticket is already paid

[Sundancefisher]

If you have the vacation money saved up just apply it to your credit card. Your card will therefore have the credit to burn up before creating the debit limit. For instance if you have a $1000 limit... Put $4000 on the card...then you effectively have $5000 spending limit on the card.

[Sneeze]

Originally Posted by Okotokian

Oh, and spend a little of that money on travel medical insurance, .

Travel Medical -

Important here as depending on your policy you might have to pay out of pocket up front for health related expenses you incur. Not sure how it works in Australia - I would check into this as you would want a significant limit on your card.

I once spent a night with a girl I was traveling with; in the ER at a hospital in Caracas Venezuela.

Younger and poorer I was pooping bricks waiting for the bill to arrive as we would have to pay it up front and get reimbursed by the travel medical.

After a night on IV, full time nurse & 2 attending doctors: Grand Total - 200 US dollars plus tip.