Vacation Planning to Avoid Travel Scams and Fraud
Vacation is all about relaxing away from the worries of home and work. When you travel, you get to have fun and let your hair down.
Just make sure you don’t also let your guard down. Otherwise, you could be a perfect target for scammers.
During vacation season, crooks look for opportunities everywhere. While you’re planning and booking your trip, take a little extra time to protect yourself and your finances to make sure you come home with everything you brought with you.
First: Set up a travel alert. This is pretty common practice these days, but it never hurts to have a reminder. Your bank needs to know where you are so they know which transactions are yours and which ones might be fraudulent. If they know where you are, they won’t call to question your transactions.
When planning your trip, book directly through the airline, hotel or rental car company. Travel sites that aggregate rates are great for comparison shopping and finding the best deal, but not all of them are legit. Thieves can set up a very convincing looking site – and even get it listed as a top result in Google – that promises reservations that are never actually made. According to the American Hotel and Lodging Association, these fake websites were responsible for 55 million phony hotel bookings in 2016, costing travelers nearly $4 billion.
Here’s a tip: If you see a great deal on a travel site, call the hotel or airline directly to ask for the discounted rate.
Use a credit card for as much as you can. It’s much easier to track your expenses on the go, which is always a good idea, and it’s easier to report and dispute fraudulent transactions. And if something happens to your card, you can always shut it off. A debit card gives thieves direct access to your checking account, and you may never get back stolen cash. If you must use cash overseas, currency exchange is often easier, cheaper and more private at the ATM than at an exchange desk.
Speaking of tracking expenses, watch your accounts closely to see how much you’re spending and spot anything suspicious. If you don’t have mobile banking or have never used an app for your credit card, set it up before you leave. But beware of public Wi-Fi when checking your accounts. They are too easily hacked.
These are easy steps that can help keep your accounts under lock and key when you’re away from home. But never forget the most important step you’ll take is to exercise common sense personal safety. Keep track of your wallet and your cards at all times. Know where you are and who you’re talking to. Don’t go anywhere with someone you don’t know or who isn’t part of your tour. Never give anyone your personal information. And if someone asks for money, don’t fall for it.
Traveling is supposed to be fun, so do a few minutes of extra planning before you leave to avoid future headaches on the road.
Robert Emmons is a financial advisor at Pinnacle's Shallowford Road office in Chattanooga. He can be reached at Robert.Emmons@pnfp.com or by phone at (423) 386-3419.
