High Airfare, Weak Rupee? 5 Ways To Cut Your Overseas Travel Cost

An overseas holiday is getting more expensive even before travellers board the flight.

The rupee crossing Rs 96 against the US dollar has added to the cost of international travel. Tour packages have also risen by around 20 to 25 per cent earlier this year, according to industry reports. Higher airfares and oil prices have added to the pressure.

But the flight ticket is only one part of the bill.

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For travellers planning a foreign trip during the festive and holiday season, the bigger saving may come from looking at the entire cost of the holiday, from flights and hotels to forex and card charges.

Pavan Kumar Kavad, Managing Director, Prithvi Exchange, told NDTV that travellers should compare the overall cost of a destination instead of focusing only on the cheapest flight.

"Saving Rs 5,000 to Rs 8,000 on a ticket may not make much difference if the destination has higher hotel, transport, and daily spending costs," Kavad said.

According to Kavad, here are five ways travellers can bring down the cost of an overseas holiday.

1. Compare the total cost, not just the airfare

A cheaper flight does not always mean a cheaper holiday. Before booking, compare hotel rates, local transport, food, sightseeing and other daily expenses across destinations. A slightly more expensive ticket could still result in a lower overall travel bill if the destination itself is cheaper. This becomes even more important when travelling with family, as accommodation and daily expenses multiply quickly.

2. Plan your forex purchases early

The weaker rupee can make every dollar spent abroad more expensive. Travellers should therefore include forex in their budget instead of treating it as a last-minute requirement. For a family of three or four, even a Rs 1 or Rs 2 difference in the exchange rate can add up when the overall dollar requirement is large. "Travellers who plan their forex requirement early have more time to compare rates and decide how much currency they actually need," Kavad said.

3. Check the hidden cost of your payment method

The way you pay abroad can also affect the final cost of the holiday. Credit cards, forex cards and ATM withdrawals can come with different charges. These may include forex mark-ups, withdrawal fees and currency conversion charges. For example, a credit card charging a 3 per cent forex markup would add Rs 9,000 to international spends of Rs 3 lakh, before considering any other applicable charges. "These charges may appear small, but they do add up to the total budget of the holiday," Kavad said.

4. Compare the final flight fare, not the headline price

A flight advertised at a lower price may become more expensive after adding baggage, seat selection, meals and other charges. Families should calculate the final payable amount before choosing between different fares. For instance, a slightly costlier fare that includes checked baggage could work out cheaper than a basic ticket followed by separate baggage payments. The cheapest fare shown on the first screen is not necessarily the cheapest option.

5. Be flexible with travel dates

Festive and holiday periods can push airfares sharply higher. Even moving a trip by a day can sometimes make a difference. Travellers can compare fares for a few days before and after their planned departure. Returning on a weekday instead of a weekend may also lower the ticket cost. A one-stop flight could be cheaper than a direct flight, too. But the saving needs to be weighed against longer travel time, airport transfers and possible additional baggage costs. The key is to calculate the complete cost before booking.