I’m going to live abroad, is it better to open a new account?

I’m going to live abroad, is it better to open a new account?

Who has not thought about changing of airs during a season? More and more young people are moving to another country to live for a time , either for studies, to look for work or to live the experience. Given this situation, it is normal that millions of doubts arise about what to do with the telephone rate or how to manage bank accounts so as not to have to spend a fortune taking out cash in a foreign country. Here we offer the best option for two different situations. Which is yours?

1. The perfect account if you are going to study during a specific time

First of all, it all depends on what we are going to do in the foreign country and how long we are going to stay.

In any case, there are two major concerns that make us doubt about our bank: if we can pay with the card anywhere without problems and where we can get money without charging us bank fees for the account.

As for the first question, today is not a big problem since it is possible to use this payment method anywhere. Of course, in countries with different currencies we will have to pay additional expenses for the conversion.

As for the withdrawal of cash is a bit more complicated. In the event that we go to live a not very long time, the best option is to get a Spanish account that allows us to withdraw money at any foreign ATM.

A different product according to the country

Every time there are more banks that allow their clients to withdraw money from ATMs of foreign entities without paying . It can be a limited number of times and in specific countries or without rules and anywhere in the world. In the current market we find several that offer this advantage. Specifically, these two are the most interesting:

  • Within Europe

ImaginBank mobile bank is one of the most interesting in this regard, since its account allows you to withdraw money for free in 31 foreign countries, mainly within Europe. Among them are as frequent destinations as Germany, United Kingdom, Italy or Holland.

In addition, it is an account without commissions and with which it is possible to enjoy discounts in a large list of shops, also gives the option to win gifts by domiciling the payroll or income.

Contract the imaginBank Current Account

  • To anywhere in the world

Image result for students abroad

For those who are going to cross European borders there is an option that can still interest them more. It is about the Young Account of Evo Bank , with which it is possible to withdraw cash without paying in any country of the world without limit of times. The only requirement to enjoy this product without commissions is to be under 25 years old.

Young Account EVO bank, do not you know it?

In this regard also include two other entities that offer free withdrawals at all ATMs. On the one hand, Mediolanum offers this service with a limit of 52 times per year. On the other hand, the Galician entity Abanca allows free money to be taken to those under 30 who have their NX card provided it is outside Spain and with a limit of 5 withdrawals per month.

2. If you are going to work and live for a longer period

In this circumstance, we can consider opening an account in a country bank. This solution is the most complex , since the entity can demand that we have residence permits, that we are registered, etc.

On the other hand, if we have lived in that foreign country for a while , we have a contract and we fulfill the requirements that the bank demands, it can be a viable alternative. Even the best option if the company in which we work requires an account in that country to direct the payroll or if we need an account to deposit the rent payment of the apartment.

Phone brand expects a “fair rate” to repatriate its money from abroad

The CEO of the company, Tim Cook, believes that there will be a reform next year, after the White House elections

Apple does not intend to repatriate the billions of dollars it keeps outside the United States until the country does not carry out a tax reform that allows applying to the money generated internationally by the company “a fair rate” , as assured by the CEO of the multinational, Tim Cook , who trusts that this reform will take place next year, after the elections to the White House.Image result for tax legislation

“Current tax legislation says we can keep it (the money) in Ireland or bring it back and when we do we will pay 35% federal tax plus a weighted average in the States where we operate around 5%, so it’s 40%, “Cook said in an interview with The Washington Post , where he says Apple” is not going to repatriate until there is a fair rate. “

In this sense, before the accusations received by the company to commit some fraud, Cook defends that it is not a debate, since “it is legal to do so” in accordance with “the current tax law” and not a matter of patriotism. “It’s not about how much more you pay, you’re more patriotic.”

Thus, the CEO of Apple recognizes that the company would be willing to pay more because it currently “does not pay anything” for the money it keeps out of the country, but notes that “like many other companies” is waiting for the moment to repatriate it.

On the other hand, Cook emphasizes that this money outside the United States exists because the multinational generates two thirds of its business internationally. “We are not looking for a tax haven,” adds the CEO of Apple.

Thus, with the US presidential election at the end of 2016 in the background, Cook expresses his confidence that the Government will agree that a tax reform is in the best interest of the country and the economy, so he trusts that this will happen next year and Apple will not have to keep indefinitely the money outside the United States.

“I think that, regardless of the party that occupies the White House, the United States needs a reform of the corporation tax (…) I think that everyone thinks that the current system is not working. I am optimistic that by 2017 there will be some kind of corporate tax reform, “he adds.

Litigation in Europe

On the other hand, in reference to the legal dispute that the company maintains in the European Union, Tim Cook has stressed the importance of having a fair hearing, noting that the multinational will appeal otherwise.

In this regard, the manager of Apple argues that the European Union accuses the company of receiving special treatment from Ireland, something that denies to ensure that these tax benefits are available to all and is not something that has been done only with Apple. “It was his law,” he adds.

Also, Cook believes that the substance of the dispute in Europe is not whether Apple should pay more taxes, but where should pay, so, in his opinion, there is “a tug-of-war between countries.”

“Tax laws say that where value is generated is where you have to pay taxes and since we develop our products in the United States, the tax accrual belongs to the United States,” Cook said.

How to make an international transfer?

How to make an international transfer?

Image result for money transferWhen we think about how to make an international transfer , the first thing that comes to mind are banks . Well, today, in addition to that option (which we will find in the link), there are other formulas that allow us to perform this operation in a faster, safer and cheaper way, if we compare it with banking entities.

Next, we will explain what each of them consists of:

  • Fintech companies of international transfers

    They put at our disposal a wide range of online financial services, in which the use of new technologies is the key. These companies allow us to send and receive money from one bank account to another, in foreign currency . For this, these businesses use independent web platforms of banks through which we can make payments through our bank account or an associated card, depending on the total amount to be transferred. Some of them work in a very similar way to P2P ( Peer to Peer ) loans. Among the most prominent companies, we find TransferWise, World First or Currency Direct, among others. One of the advantages of doing it through a fintech is that we can probably save on costs.

  • Money orders, the traditional option

    It is a service that allows international payments, both at a private and business level. To make this operation effective, we can choose to carry it out via Correos , or through a series of companies specialized in sending money abroad (Moneygram, Western Union, etc.). Both one type of company and the other make it possible to send money in cash or electronically, as well as its reception anywhere in the world due to its wide network of offices and the agents who work in them.

What do I need to do a foreign transfer?

When making any money transfer, we will be asked for a series of basic data without which it will not be possible to make this operation effective. Depending on how we are going to do the transfer and to which country, this information may vary. Even so, the most common is usually:

  • The number of the bank account of the beneficiary. In the case of the SEPA zone, this information will appear in IBAN code format.
  • The BIC code or SWIFT code of the destination credit institution, as long as the transfer is made in the SEPA area. In the case of international cross-border transfers (outside the SEPA area), we can find that this code is not requested, but an equivalent data.
  • The name and postal address of the beneficiary and his bank.
  • The concept of the transfer. This section is essential because it serves to identify the reason for the shipment. In the event that there is any problem with the transfer, it can serve as proof of the operation and give a clue as to the subject of the shipment.
  • The amount of money that we want to transfer.
  • The currency in which we want to make the transfer.

In the event that we opt for a bank at the time of making the transfer, we must choose the method of impact of charges and bank fees: OUR (paid by the issuer), BEN (must be paid by the receiver) or SHA (paid between both) .

How long do international transfers take?

If we ask ourselves how long an international transfer takes , the answer is about a week . However, this waiting period may be shortened or prolonged, depending on a series of factors that may affect our remittance to a greater or lesser extent. Some examples are:

  • Formula that we have chosen to make the transfer

  • Payment method

  • Currency exchange

  • Internal politics of companies

  • Intermediary companies intervention

  • Bureaucratic procedures specific to each country

  • Date of realization

Time deposits abroad: the alternative to increase profitability

How to increase profitability without exposing savings to higher risk

The great chimera of any investor is precisely to get more for their money, without having to assume greater risks, neither on the initial investment nor on the final profitability. For this we have two options.

On the one hand there are the combined deposits , which combine a part of the fixed-term investment, with another part on variable funds and the referenced deposits that will give us the promised interest if the underlying index (the reference value) behaves according to a forecast . In the event that the expected evolution of these indices is not met, the return of the referents will be drastically reduced, sometimes reaching 0%.

On the other hand, we can look beyond our borders to see who can give us more for our savings. There are banks abroad with interest rates that can even double what Spanish fixed-term deposits give.

What you need to know before looking for fixed term deposits abroad

Image result for depositsIf we finally decide to take our money out of the country, there are some fundamental points that we must take into account, since they can spoil that extra profitability of our fixed term:

– Taxation. Each country has a different fiscal policy that must be known beforehand in order to avoid unpleasant surprises. Switzerland, for example, will charge us 35% of the benefit we get (compared to the 20% charged in Spain), which would then have to subtract another 20% that will remain the Spanish state.

-Warranty. Normally deposits are usually covered insured up to a certain amount (€ 100,000 in Spain and almost all EU countries), but this does not have to be the case in all countries. It can be both a public institutional guarantee, such as the Spanish Deposit Guarantee Fund, or private (which diminishes the guarantee since it is more difficult for a state to break down than a company).

-Currency exchange. Unless we hire a deposit   100% in euros, when we change currencies we expose ourselves to risk by the exchange rate; this can work in both directions: it can make us win or lose money, depending on when we make the change.

-Socio-political stability. We will find high interest rates in countries that are experiencing sociopolitical difficulties, since there is a high real risk of default. Banking entities from countries like Iran can offer up to 20% today.

Fixed-term offers abroad

We can highlight deposit offers from interesting foreign banks in other countries. Those that appear in the following table present the same guarantees as the national ones but with the advantage that their interest is much higher.

DEPOSIT INTEREST CHARACTERISTICS  

Deposit to 5 years J & T Banka

1.95% APR
  • Minimum investment 10,000 euros
  • Settlement at expiration
  • FGD Czech Republic
  • Welcome gift of up to 175 euros
 
Facto 5 year deposit 1.66% APR
  • Minimum investment 10,000 euros
  • Quarterly settlement
  • FGD Italy
 
Atlantic Tank Europe 5 years 1.64% APR
  • Minimum investment 2,000 euros
  • Settlement at expiration
  • FGD Portugal
  • Welcome gift of up to 175 euros
 

 

What do you have to take into account when withdrawing money or paying abroad?

What do you have to take into account when withdrawing money or paying abroad?

Related imageWhen we travel abroad we have to take into account many aspects, one of them is the payment method since we have to take into account several aspects when withdrawing money or paying abroad with a card , since it has associated a series of commissions and, We will have to include them in our budget when traveling, especially if we travel outside the Euro Zone. In the next post we will comment on what to keep in mind when taking money or paying abroad.

Pay with a card abroad

When we are going to pay by card abroad we have to take into account several aspects, which, if we disconnect could play a trick on us. The first thing we need to know is whether or not our card charges commissions to be paid abroad, we will also have to know the exchange rate that will apply if we are in a country outside the Euro Zone, the commission for currency exchange and the date on which the operation is performed.

Commission for paying with the card abroad

If we are in a country of the Euro Zone , we will not have to worry about this aspect, since normally banks do not apply this commission when we pay a member country of the Euro Zone

If we travel to a place outside the euro zone , for example, we go to London, we will have to know if our card charges us a commission to pay with the card . Here the commission for the exchange of currency will be associated

Exchange rate

The first aspect to keep in mind is to know what type of change our card applies . The cards are Visa or MasterCard and the exchange rate of the card will be applied. This type of change varies from day to day and some may be better or worse for us. For example, on September 11, 2015:

  • Visa 1 pound = € 1.3813
  • Mastercard 1 Pound: € 1.3617

To get an idea of ​​what type of change is better, we can compare it with the exchange rate published by the Bank of Spain. On Friday, September 11, the exchange rate of euros to pounds published by the BdE is € 0.73060 = 1 Pound (1 Pound = € 1.3687)

Commission for currency exchange

The third aspect that we will have to take into account is the commission for currency exchange . This commission will be applied to the amount already exchanged, that is, to the amount resulting from exchanging euros per pound. A percentage of the amount is usually applied, although it is not usual for some banks to have a fixed commission established.

  • Banco Mediolanum: 1.00% on the amount
  • ING Direct : 3.00% with a minimum of € 2
  • Banco Santander : 2.50% with a minimum of € 1
  • BBVA : 3.00% with a minimum of € 6
  • Bankia : 2.00% on the amount

Value date or accounting date

Finally, we will have to know when our bank makes the operation effective, if at the time we make the purchase or after a few days to post it, ie the value date or the accounting date:

  • Value date : the date on which the operation is performed
  • Accounting date : when the transaction is posted to the bank

Let’s imagine that the operation was carried out on Wednesday, September 9 and we have not had the operation in our bank until September 11. The exchange rate as of September 9 was:

  • Visa: 1 Pound = € 1.3817
  • Mastercad: 1 Pound = € 1.3739
  • Bank of Spain: 1 Pound = € 1.3791

Therefore, although the variation is not very large in terms of exchange rates, it is important to know this aspect to be clear about the commission that will be applied to us.

Take money abroad

One of the options we have abroad to pay is to withdraw money at ATMs, we will have to take into account several aspects such as, for example, the commission that our bank will apply to take out money, the exchange rate and the commission if is about a currency other than the euro

Commission for taking money money in a cashier

Regardless of the country in which we are, that is, inside or outside the euro zone, our bank will apply a commission for withdrawing money from the ATM , it is a commission that is applied as a percentage and is usually for 4.5 % with a minimum of between 3 and 4 €, so it would be to look for a card that does not charge commissions for taking money from abroad. For example, the Banco Mediolanum debit card. The commissions of some banks are:

  • Mediolanum Bank: € 0
  • ING Direct: € 2
  • Banco Santander: 4.50% with a minimum of € 3.50
  • BBVA: 4.50% with a minimum of € 3.50
  • Bankia: 4.00% with a minimum of € 4.00

Exchange rate

Image result for exchange rateAs we have commented on what happens when paying with the card abroad, the same thing happens when we are going to withdraw money from the ATM, although we must pay special attention since the ATM can propose an exchange rate that It is usually worse than the one our bank would apply to us. When it comes to withdrawing money at an ATM in another currency, it is likely that we will find this message:

The ATM is offering us an exchange rate of 1 Pound = € 1.3551, if we gave ” Continue with conversion “, this would be the exchange rate that would apply to us and then the commission for currency exchange that our Bank. Normally this type of change is usually harmful for us and we would like to carry out the transaction with the exchange rate of our card, so it is advisable to give “Continue without conversion”

Commission for currency exchange

This commission will be the same as if we paid with the card in an establishment, but it can happen that our bank does apply commission for foreign exchange at the time of paying by card but not when withdrawing money from an ATM, such as This is the case of Banco Mediolanum.

Surcharge fee

It is a commission that has a fixed amount and that is charged simply for the use of the ATM, in Spain it would be equivalent to the commission of the two euros applied by Caixabank and applied by BBVA and Banco Santander. Therefore, the surchage fee is a fixed amount that the ATM will apply to us. He will have to notify us of the collection of this commission and it will be our decision to continue with the operation or cancel it.

Difference between taking money with a card without commissions and one with commissions

Let’s see, through an example, how much we would have to pay to get 500 pounds at an ATM and pay € 500 in an establishment with a card without fees (Banco Mediolanum) and one with commissions (ING Direc)

Take out money at a cashier

Banco Mediolanum would charge us to take out 500 pounds: 690.65 €

  • The commission for withdrawing money from the ATM: € 0
  • It would apply the Visa exchange rate, which is at 1.3813
  • There is no commission for currency exchange when withdrawing money from the ATM, it will be applied when we make a purchase with your card

ING Direct would charge us to take out 500 pounds: 713.17 €

  • The commission for withdrawing money from the ATM: € 2
  • It would apply the Visa exchange rate, which is at 1.3813
  • Commission for currency exchange: € 20.72

 

Pay in an establishment

Banco Mediolanum would charge us to pay 500 pounds: 695.65 €

  • Commission for currency exchange: 1% on the purchase (€ 5)
  • It would apply the Visa exchange rate, which is at 1.3813

ING Direct would charge us to pay 500 pounds: 711.17 €

  • Commission for the exchange of currency: 3% on the purchase (€ 20.72)
  • It would apply the VISA exchange rate that is at € 1.3813

Therefore, when traveling abroad you must be clear about these concepts: what type of change is applied, the commissions for withdrawing money abroad, if the exchange rate of the ATM is better than that of our bank or not. , to know if our card allows you to withdraw money abroad for free. Do you take into account all these aspects when it comes to withdrawing money or paying abroad?

6 steps to bring your money back to Mexico from abroad

6 steps to bring your money back to Mexico from abroad

Do you have money abroad, but would you like to manage it from Mexico and get acquainted with your tax obligations? Hurry up! This is your chance to do it and time runs out.

Image result for money

This year, the government gave some benefits to people who bring resources back to Mexico and allocate it to certain types of charitable investments for the country.

Among them, are the investments you make through a brokerage house or credit institutions, land acquisition, among others.

The people who choose any of these options will get the benefit of paying a reduced rate of 8% of ISR on the amount of the resources that are returned or on the returns and exchange gains generated by the capital (instead of a rate up to 35%), as long as the investments are maintained for a period of two years.

But how to do it? Do not break your head, GBMfondos can help you.

  1. Find out about what investment alternatives you have through which you can bring your money to Mexico.

 

  1. Contact a GBMfondos advisor who will guide you on the process to open an account in Grupo Bursátil Mexicano, a brokerage house with more than 35 years in the market. It is very important that, from your first contact, you let the advisor know that you want to enter the Capital Repatriation scheme, so you can help to open an account that meets the requirements to obtain the tax benefit.

 

  1. Open your account and transfer your resources from your accounts abroad to your account in Mexico. The date of entry of resources into the account in Mexico is limited to October 19, 2017.

 

  1. After your deposit, you have 15 calendar days to declare the return of those resources before the SAT and pay the corresponding tax. Contact a tax advisor in Mexico who can help you find out about the SAT and follow up on your case.

 

  1. You can submit a single ‘Notice of destination of income returned to the country’ even when dealing with various operations (presenting a declaration of payment for each of them). Your tax advisor can help you in that.

 

  1. Keep for your support: the documentation that shows that the resources in question were received from abroad, the tax payments that you have made, the vouchers of the deposits or investments made in the national territory and vouchers of your declarations and notices for a period five years counted from the date of payment of the tax.

Accounts Abroad – When saving is dangerous

Accounts Abroad When saving is dangerous

Image result for bankBorn in Dingolfing in 1962, studied journalism in Munich. 13 years at the Abendzeitung in Munich, most recently as head of the department of economics. Since 2008 at the SZ , initially as a sheet-maker for money, from 2009 to 2015 as a correspondent for banks in Frankfurt. Since then back in Munich. Writes mainly about financial topics.

Imagine investing money in a bank and then closing it from day to day. Exactly 1146 savers from Germany have experienced this nightmare in the past few days and should therefore have spent a restless Easter. On March 26, financial supervision in Estonia deprived Versobank of its license; she is suspected of having favored international money laundering and the financing of terrorism.

The German savers came over the Zinsportal Savedo to the Versobank. It collected money from 25,000 German citizens in a few years and transferred it to European banks, which pay a little more interest than those 0.0 to 0.05 percent, which is often only available at German institutes. These banks are located in Romania, Croatia or Estonia. For example, the Versobank paid 1.6% interest a year on fixed-term deposits with a maturity of three years.

Savedo and similar portals are very popular with the Germans, also because they are supposed to score with certainty. They advertise with European deposit insurance, which applies to all EU countries and stipulates that for each saver up to 100 000 euros are hedged, a bank should go bankrupt or close for other reasons. But what if it really comes to that? What is happening with Versobank in Estonia is therefore a test of the European banking system: what about the promise of deposit insurance?

In general, it looks good ten days after the bank closed: Estonia’s financial regulator assured that all savers get back their money including accrued interest. She presented a document with questions and answers online (www.fi.ee/public/20180326_KKK_eng.pdf), appointed as liquidator the Estonian subsidiary of the German auditing firm KPMG, two Swedish banks to settle the payout. On this Thursday, the first savers get their money back, until April 20 should all be compensated. According to KPMG, German savers account for 52 million euros, a quarter of the bank’s total deposits. Everything seems to go according to plan. “In the current case, we see that the processes intended for emergencies are effective,” says Christian Tiessen, Savedo’s CEO.

So good, no cause for excitement for the German interest rate hunters? Niels Nauhauser, bank expert of the consumer center Baden-Wuerttemberg, does not see the matter quite so calmly. “We have always warned against blind trust in the European Deposit Guarantee Scheme,” he says. In fact, there is no single system, there is no European pot in which the banks of all EU countries deposit. There are only a few individual pots: every EU country is required to guarantee up to € 100,000 per saver with its national deposit guarantee system.

There is no single European deposit protection

Big opponents of a common pot are, for example, the German savings banks and cooperative banks. They argue that then German savers would have to stick with their deposits in the bankruptcy of a Spanish bank – which is not true: The money would not come directly from the deposits, but it would come from the pot in which all the banks have previously deposited.

In the case of the Estonian Versobank, therefore, the Estonian financial supervision is now responsible for organizing the compensation of savers. Theoretically, it would have to do this from the pot of Estonian deposit insurance. In practice, however, this is apparently not necessary, because there are reportedly enough funds at Versobank; It was not closed because of capital problems, but because of the allegation of money laundering.

For consumer advocate Nauhauser, the precedent of Versobank is nevertheless not apt to reassure savers. “That it works well this time does not mean that even in future savers can always be fully compensated,” he says. In the end, the reliability of deposit insurance depends on the political will of a country. He can imagine some scenarios in which this reliability no longer exists. “The Versobank is relatively small, but what if a large bank goes bankrupt in a small country?” Asks the consumer advocate. Then the question arises as to whether the taxpayers of the country are guaranteeing the savings of foreign investors on a large scale. The government is coming under public pressure and may decide in favor of its own taxpayer.

Conquerer of the Travel Industry

The search engine conquers the travel industry

Image result for travel industryEverything Google, or what? Well, the Internet giant seems to understand its craft and is working on the intelligent merging of individual information modules . In no other industry is this as clear as in the tourism industry . And this has really arrived on the internet. As offline revenue continues to decline, the online business is growing to infinity. In 2011, 25 billion euros were already transacted online . (Source: taz.de ) No wonder then that Google would like to benefit from this and enter the market with its own or aggregated offers. Globetrotters enjoy the new variety, travel providers and agents bang their hands over their heads. But what is Google actually doing and where are the chances and risks for travel providers?

Google’s entry into the travel industry

Travel Professionals have known it for a long time: the key to success in the travel industry is to look at the entire holiday process as a whole. This is exactly what Google does by providing or planning a corresponding offer for each process step (see the following figure).

Inspire with Google

The first step to travel sales is “inspiration” , ie “wake up holiday wishes”. Conventional travel providers accomplish this through advertising, which is spread, if possible, in a variety of marketing channels. Google’s inspirational helpers to date are “YouTube” and ” Panoramio ” . This fits very well: the travel industry is highly emotional and (moving) images reach more than a thousand words. But Google+ also has the potential to get involved here. Theoretically, social networks are able to provide an accurate picture of user preferences through profile information, holiday photos, comments, fan pages, and more. Under certain circumstances, even the time of need can be determined and then tailored travel offers are delivered. In the fvw (issue 14/11), the tourism trade magazine par excellence, the vision has already been discussed that travel plans can be stored in Google+ . Thus, Google can not only be notified of their own wishes, but it is also not excluded that friends and acquaintances to first-class recommenders.

Google – A portal for information search and travel booking

What the traveler needs first is a suitable hotel . How do you find this? Of course, through the Google Hotel Finder . The previous hotel search via Google Maps has been expanded and turned into a stand-alone product in the middle of the year. So far the hotel finder is available only for places in the USA. In terms of functionality, it seems to be quite comprehensive. First of all, the place of accommodation can be restricted via an input field and a map restriction. Then the searcher gets a list of hotels located in this area, including a detailed description of the hotel, photos, star classification, Google user reviews and the best price. Once an interesting hotel has been shortlisted, it is possible to book it. Daily rates are displayed by all Google advertising partners and the hotel itself. Google now earns 0.2% on the forwarding to these travel providers called Expedia, Hotels.com and Co. Technically, the entire process through the CRS Trust International , with which Google has been cooperating since February 2011 and the forwarding directly into the booking systems the travel agent allowed.

If you do not want to go to the destination or swim, you are thankful for a flight connection. As our readers could already find out last week, Google also has a solution here: the Google Flight Search . Necessary for Google was the purchase of the software provider ITA , whereby about half a year ago $ 100 million were pushed over the table. As with the hotel finder here is a far-reaching limitation by airline, number of stops, airport request, etc. possible. Earnings are calculated on a commission basis per transfer to the booking system of the selected airline.

The loyal travel companion Google

Arrived at the resort, it is exciting things to see and to experience. Very interesting in this context is that ITA not only flights but also relevant events (from Ticketnetwork), trips (from Isango) and restaurants aggregated. So far, you can also use the Google services Google Maps , Google City Pages, Google Places and Google Offers for your own entertainment program in the resort. The former not only provides you with detailed city maps , you can also get weather forecasts and travel times via Google Maps. Google City Pages then provides information on places of interest , Google Places allows you to find restaurants, bars, events, wellness temples and much more, and Google Offers can be used to acquire vouchers for these locations in a subsequent step. The acquisition of Dailydeal for about $ 150 million , which was announced this week, fits perfectly into the picture. (Source: faz.de ) So why not book the discounted massage application on-site via Google soon? If Google Wallet prevails, then you do not even have to have cash or credit card in the near future. How convenient.

The journey is over – The Google reminder remains

The last step in the travel process is to reflect on your vacation . Good that Google is one for that too. It should absolutely written a review of the hotel (Google Hotel Finder), the restaurant rated (Google Places), photos set (Picasa and Panoramio) and finally all about intense “Pluseinsen” recommended to his friends. Phew, that’s it.

So you see – meanwhile, the entire holiday trip is feasible through Google. However, one downer remains: Trainee colleague Olaf rightly regretted in our meeting yesterday that Google Health was abolished. Otherwise, traveling without a vaccination certificate might have been possible soon. Too bad.

Finance travel – Loans for your dream getaway

Finance travel – Loans for your dream getaway

Discover with what loans you can get the ideal financing to go on a trip. On this page you will find the products with which you can finance your trip at the best price and pay it in easy installments. In addition we also offer you several useful tips that will help you make the right decision.

Can I finance a trip requesting a credit?

Related imageThe answer is yes. Loans to finance trips are consumer loans granted by banks or private companies that allow us to have the money we need to make the trip we have always dreamed of. These products not only include the tickets that will take us to our destination, but also all the expenses that may occur during the stay. Some of them are: hotel reservations, meals, activities or any other service that we want to hire during these days.

However, hiring the financing to carry out the trip we want will vary depending on the following factors:

  • Our economic situation
  • Our financial need
  • The cost that we can assume in each installment.

However, there are also products with which we can from booking a getaway to financing celebrations with loans. Therefore, it is a matter of comparing several consumer credits offered by different entities to know the conditions offered by opting for each of them.

Some reasons to request financing for travel

Resorting to a consumer credit will allow us to carry out projects such as starting to study, renovating our home or getting financing for a motorcycle . Traveling is one of the greatest pleasures in the world. However, it is not always within our reach. If our savings do not allow us to choose a destination, we can finance trips with different types of loans so that we do not have to save all year or postpone the getaway.

Here are some advantages of travel loans:

  1. They allow you to request small amounts of money that can complete our savings.

  2. If we need a higher amount, we can ask for a quick credit and pay it in installments. However, we must be careful with the deadline so that it does not last too long.

  3. The possibility of returning the money in different monthly payments makes it easier for us to finance our trip.

  4. They allow us to benefit from the temporary promotions of flight or hotel companies. Credit cards can help us make the purchase instantly and pay later.

Although financing travel we are getting to make this long-awaited break, it is a decision we must consider. Depending on the destination, we may need a high amount. If this is our case, we must bear in mind that we will be contracting a long-term debt. For this reason, it is advisable to resort to a consumer credit for this purpose only if our financial capacity allows it.

What will we find in the credits to travel?

The guarantee of loans designed to finance a trip is usually personal just as it is, for example, the financing of a car. Then, it is usually not necessary to provide an additional guarantee such as a guarantee or a home ownership. Below we show other conditions usually offer these financing products:

  • Concession faster than other credits. The processing of loans to finance travel is usually done before because in this case it is not necessary to have a particular asset to request them.

  • We can adapt the fees to our financial capacity. The form of payment is through monthly payments that include a part of the capital plus the corresponding amount of interest according to the term. However, it will depend on the specific conditions of each entity.

  • The interest rate can be fixed or variable . Most of the entities’ products will have a fixed cost that will not change in the future. In case of having a variable rate, the entity can review this percentage periodically.

  • If we go to a private entity, we will have the money in 48 hours. These lenders usually have approval processes faster than banks. In addition, we will not have to move to an office with all the necessary documentation if we choose to do it online.

These conditions will depend on the type of product we have chosen to finance our trip. It will not be the same to request a smaller amount for a near or urgent trip than one of more time or that requires more displacement, hotel or leisure activities.

The credits allow to finance trips of any amount

The price of a trip will depend on variables such as the destination or the transport that we use. Therefore, the amount that we will need will depend on the characteristics of it. For this reason, there are different types of loans that are adapted to each situation. Here are some types:

  • Minicréditos. From 50 to 1,000 euros to return from 1 to 30 days.

  • Quick credits From 100 to 5,000 euros to return from 1 to 24 months.

  • Personal loans.   From 3,000 to 50,000 euros to return from 1 to 10 years.

  • Credit cards. The loan will depend on our financial profile with a term from 1 month to 5 years.

After having this information, we will have more capacity to have a perspective on what are the conditions that are currently marketed in the market. This will allow us to correctly choose the product that best suits our profile and our needs , while saving capital and not overpaying.

Make your own numbers with the HelpMyCash calculator

In the event that we are not good at numbers or prefer to have a more detailed report according to the conditions of the loan to travel that has been offered by one or several entities. With the aim of clearing our doubts, the experts of HelpMyCash make available to the user the following tool completely free of charge:

 

Accessing it we can know the amount to which each monthly payment will rise and the total cost of a given loan according to the conditions it presents. Once we have the result, we can decide if our financial capacity does not allow us to repay that amount on time.

How long do I have to wait to receive my credit?

Image result for moneyWhen looking for financing, one of the aspects that we give priority to is the time it will take to get the money we have requested, especially if we need funding urgently. These times may vary depending on the lender we go to. However, these are usually the waiting processes of the different credits to finance trips:

  • Minicréditos. The approval of the application is made online. Once approved, if the client has an account in one of the banks with which the lender works, the deposit is made in 15 minutes. If not, it may take up to 48 hours.

  • Quick credits Its approval process is similar to that of the mini credits. The response of the application will take a few minutes and the income of the money will take between 15 minutes and 48 hours . However, the wait will vary depending on the quantity that we have ordered.

  • Personal loans If the loan for travel is through a bank it may take several weeks . In the event that we have gone to a private company this figure will be reduced to between 24 and 48 hours once the application is approved.

  • Credit cards. It is the fastest way to finance travel if we have one in our portfolio. If not, the approval of the card will take around two weeks , which can be a problem if we need to move urgently.

Therefore, the speed with which we need to have the money in our account can be a reason to opt for one type of product or another. In addition, knowing the bank with which a lender operates is a factor to be taken into account if we need the money immediately.

Are there insurance products to finance a trip?

The answer is yes. There are many products on the market to finance a trip. Therefore, it is possible to find personal loans that include some insurance in their conditions. However, most of the credits to finance trips do not usually have any.

We should not rule out a loan to finance a trip to include some insurance. It is possible that this condition supposes, in some cases, an opportunity to obtain a lower interest that reduces the total cost of consumer credit that will allow us to choose a destination.

Credit cards include free insurance

If we are looking for a free insurance with which to travel safely, not only is the option to contract the insurance offered by the entity in which we are requesting the credit. If we choose to finance the trip with our credit card, many of them include coverage that covers delays, baggage losses, accidents abroad, etc.

To enjoy these insurance we must buy the tickets with the card . Otherwise, we will not be able to claim these coverages in the event of a setback. If we have suffered a mishap that appears in the conditions of the issuer of the card, it is essential to call the company immediately to be aware of what happened and can begin with all procedures.

Requirements to apply for a loan for travel

The requirements that we will have to meet to finance our trip will be different depending on its price, the loan we want to contract and the entity we go to. However, in most cases we will have to meet the following conditions to obtain the credit:

  • Be of legal age In some cases they may require us to be over 21 or even 25 years old.

  • Have a DNI, NIE or passport that certify that we reside permanently in Spain.

  • Have regular, stable and sufficient income that serves as a guarantee to the lender that we have the economic capacity to repay the loan.

  • Do not appear on any list of defaulters. However, if this is our case, certain companies grant loans to people with this profile.

Although these are the minimum conditions that any company we are going to ask will ask us, each one can establish their own conditions. Therefore, that an entity does not approve our request does not mean that we will not be able to finance a trip. We can try our luck in other lenders.

5 tips to finance your vacations

What other alternatives do I have if I want to finance a trip?

More and more entities are offering loans to finance different projects related to leisure. In fact, it is even possible to finance ps4 through different products. Although applying for a loan to travel through a loan entity is a good idea, there are also other companies that can offer good proposals:

  • Financing the hand of large surfaces. Establishments such as Carrefour, Eroski or El Corte Inglés can offer us travel financing. In addition, their interest tends to be very similar to what we can find in private credit institutions.

  • Travel agency. They also allow us to obtain financing in comfortable installments, with minimum expenses and to repay up to 12 months. These offers can be found both in physical travel agencies and through similar online companies.

  • Travel centers. These are companies specialized in passenger transport and tourism services that also allow us to access travel financing, with repayment terms of up to 10 months, a 0% TIN and opening fees of between 2% and 4% .

There are different types of financing for all types of travel and financial profiles. Therefore, finding the type of financing that best suits us will be a matter of searching and comparing until we locate the most profitable alternative that most convinces us .

Our budget will be important to fund trips

Choosing a destination is not always easy if we love visiting unknown places. For this reason, below we make the numbers to visit three totally different locations according to the amount that we want to spend.

Finance your trip to enjoy London

London has something that hooks and that makes everyone like it. It is a tireless city and has a host of cultural and leisure plans to discover. Also, traveling to this city does not have to be expensive. Today, there are many flights of low cost companies that allow us not to empty our pockets. As for accommodation, the city is known for its Bed & Breakfast, so we can get somewhere to sleep with a reduced budget.

The average budget for a 3-day couple getaway to London can leave us for about 500 euros including flights, airport transportation, accommodation, transportation by city, food and some extra. To finance this trip we can request a mini-credit or make the payment with a credit card.

With both options we can get the money immediately, and even for free . If we request an online mini-credit, we can call on some lenders who offer them without interest, if we pay within the agreed term. If we prefer the payment with a credit card, we could reimburse the capital to expired month and thus we will add any cost out of the budget of the trip.

Personal loans to travel to Thailand

This country has become the most requested and desired destination by travelers in recent years. The budget necessary for a 10-day trip can be found from 1,200 euros per person. This amount will always depend on the type of activities we hire there and the lifestyle we are going to allow. The flights take almost half of the budget, however, life there is very economical.

If we opt for this option, we can finance the trip through personal loans because they allow us to repay the loan in comfortable monthly installments with a lower interest rate than the credit cards. A good alternative is to finance the amount of flights and save for the rest of the costs. With a loan of 800 euros to return in 3 months, the fees would amount to about 305 euros. In a short time we could solve the credit and we would avoid paying more interest.

Financing to travel to Disneyland Paris as a family

If we are looking to spend time with family, Disneyland Paris may be a good idea. There are many travel companies that organize packs to travel to Paris and Disneyland , which will provide us with a complete budget and will take care of all the details. Financing this trip may be a bit more expensive, as you have to pay for tickets, accommodation, park tickets and pay the travel agency. The average budget for a family of 3 people, a weekend and through the agency Halcón Viajes is 1,563 euros.

To finance the trip we could resort to personal loans, since with them we can access high amounts to be repaid up to 10 years with monthly payments that adjust to our economic situation. Another option is to pay with the credit card. In this case, the total cost will be higher.

If we want to have a loan of 1,600 euros and return it within a period of 8 months, the monthly fee would be 205,8 euros. We would be paying a total price of 1,646.42 euros that represent an interest of 46.42 euros.

If I travel abroad, cash or debit cards?

If I travel abroad, cash or debit cards?

Image result for cash and cardBefore, traveling was something much more complicated by the connections and, above all, by the cost that it had. However, currently travel is within the reach of the vast majority of citizens, but one of the first questions that arise is whether it will be better to take cash or pay by debit card . Well, the answer to this question will depend on the person, the preferences and the situation in which you are. Therefore, in the following article we will explain what is the best way to organize our payments if we decide to travel abroad .

Why use a card to pay abroad?

If we decide to travel with a debit card to make payments abroad, it is important that we take into account certain aspects:

  • Even if we are going to make the payments with the card, it is important that we also make sure to take some cash with us , since, in this way, we can solve specific incidentals that arise. For example, if we need to buy some food and no business has a dataphone, nor there are ATMs in the area, the money in cash will solve the problem.
  • If we travel to a country that uses the euro currency, we may find it even more advisable to carry a large amount in cash and the rest of the money in the debit card.
  • If we travel outside the euro zone, it will be better to use the debit card , since we will only pay for the change of currency only once, each time a purchase is made.
  • We must also bear in mind that in some countries and depending on what products or services will not accept that we make the payment by debit card and we may need a credit .

Beyond these aspects, below we show some of the most advantageous and competitive debit cards in the current market:

Debit Terms  
ING debit card
  • Free forever
  • Refund of 3% in Galp and Shell
  • It has contactless technology
 
ImaginBank Imagin Visa
  • No issue or maintenance fees
  • National transfers without cost
  • With contactless technology
 
Now BBVA Card
  • Insurance in case of ATM robbery and protection in case of fraudulent use
  • Free if we comply with the conditions of the Goodbye Commissions Program
  • Contactless service
 

3 common commissions payable by card

In any case, if we finally opt for debit cards to make payments when traveling, it is important that we know what are the most common fees that can be applied by the issuing entities of these plastics:

  1. Commission for currency exchange : this added cost will only be paid if we travel to a country where the euro is not used. It is important that we know that this commission is usually higher when the currency exchange is made with bills, that is, physically.
  2. Commission payable in foreign establishments : this is usually more common in purchases made in establishments in countries where the euro is not used either. It can be a set percentage and even include a minimum.
  3. Commission for withdrawing money from an ATM : it is usually the most common and, generally, the highest amount. In fact, it can reach up to 6.00%, depending on the amount, the cashier and the issuing entity.