In your youth, you want so much to be a responsible adult. Rule number one is to earn a wage and save up enough money to see the world without falling into debt. Conventional wisdom dictates that if you follow this rule, you’ll be welcomed into the fold with open arms.
Of course, all you want to do is to board a plane and disappear with overdue balances in your name. However, the guilt holding you back. Just imagine what people will think! If you can forget about that for a moment, you might realise there are times when travelling with debts is perfectly acceptable.
Continue reading to find out more.
Not all debts need repaying as soon as possible. The majority should be taken care of promptly, but that doesn’t mean they’re going to harm you if they aren’t. Think of credit card balances as examples. There is a high rate of APR when there isn’t a promotional period. However, anybody with good credit can transfer the balance to another card and pay 0% for up to six months and two years. Considering you’ll only be travelling for half a year, there’s nothing wrong with putting it off and paying the minimum.
When You Can Afford It
Other debts aren’t expensive at all, even when they’re not part of a promotion. A mortgage has to be the best illustration. Typically, it’s cheaper to buy a house than it is to rent a flat according to The Independent (which is crazzzzy if you ask me). Why? It’s because the average mortgage payment is less than what you tend to pay in rent. Sure, the debt isn’t going to go away as it lasts anywhere between ten, fifteen and twenty years. Still, as long as you have £300 to spare each month, there is nothing wrong with the debt. It should only set you back £2,000 and you get an asset out of it in the long-term.
When You Earn Money
Contrary to popular opinion, travelling isn’t one big jolly where you do what you like. Travellers understand that there are different variations of the art, and one is working and seeing the sights. There’s one problem – you don’t get paid for a month and need some backup cash. In this case, borrowing from a bank, a credit union or a payday lender such as Fast Loan UK is fine. As soon as your first paycheque lands, you can pay off the debts in one swoop. But make sure you do as you don't want to get in too deep!
When It’s Your Only Chance
Do you want to let money get in the way of a formative experience? Yes, there will be issues in the long-term surrounding your finances. But, you’re a young person with plenty of time to rebuild your bank account again. Remember that money comes and goes but trips such as Europe, Australia, and the Americas don’t come around often. It’s a tough decision to make, yet the time to be relatively reckless is when you’re young. I came back from travelling with £1 to my name, any regrets? Absolutely not!
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