It’s a terrible position to be in: you’re in another country (maybe one where you’re not 100% confident with the language) and you find your money or wallet gone. Or, maybe you’re in that same foreign country and you suddenly find yourself faced with a medical emergency that is going to take some money. At home, you could head out to get a personal loan, credit card cash advance, or payday loan. What do you do when you’re far from home?
It pays to plan in advance. Travel insurance can take care of many of the emergencies which can drain you of cash overseas and insurance provides you with peace of mind as well. Another good option is to travel with travelers checks. If your travelers checks get stolen or lost, your company or bank will often replace them for you. Of course, make sure you check the replacement policy to ensure your bank offers this type of protection.
If you are overseas with no insurance and find yourself stuck, hopefully you’ve read our guide to travel emergency cash. If you haven’t, keep in mind that you can often get a credit card cash advance or online payday advance, even overseas. Just make sure you use a secure computer to apply and you’ll have cash in no time.…
Big investment mistakes could mean big personal loans, lost cash, and even bankruptcy. Are you making these big mistakes?:
1) Not investing at all or investing too little. This is the most common mistake and one that is easily fixed. If you are worried about risking your money, invest in a low-risk option – such as CDs – but do invest your money so that you will have money in an emergency or in retirement.
2) Not doing research. If you find an investment opportunity, make sure that you research it carefully. Is it legitimate? Where is your money going and can that person or company be trusted? How have other people done with this investment? How much can you expect to make? The more you know, the easier it is to make a good decision.
3) Not considering risk and return. Generally, the higher the risk, the higher the potential return. The smaller the risk, the less cash you stand to make. Consider how comfortable you feel with risk and invest accordingly, or you will either worry a lot or be disappointed by small returns.
4) Not diversifying. If you have only stocks, you will feel panic when the stock market is suddenly shaky. To protect your money, invest in a few things – stocks, retirement funds, and CDs, for example. Make sure that you have some higher-risk investments and some surer, lower-risk investments as well.…