Common money mistakes while studying abroad

Throughout your study abroad, you will make more purchases than you can count. This includes everything from upfront costs like application fees to the coffee you purchase while touring a neighboring city. It’s easy to overlook small or insignificant purchases. That is, until you get home and realize you spent more money than you had.

So how can you avoid common money mistakes while studying abroad? Keep an eye on these areas:

Credit cards

Check your credit card balance at least once a week. Bookmark your credit card company’s website on your laptop or download the app to your phone so you can find it easily. Watching your account allows you to catch little things that add up quickly, like if you were overcharged or forgot to cancel a subscription.

Sometimes spending abroad can feel like using monopoly money, so checking your credit card balance regularly can help you understand exactly how much you’re spending in a currency you recognize.

Transfer fees and exchange rates

There are three types of international fees, and they can apply to withdrawing cash from your debit card at an ATM or making a purchase with a credit card. Some common money mistakes that rack up these fees include:

• Using non-partner ATMs. Before going abroad, check with your bank about partnership ATMs in your host country. If there is a partner ATM accessible to you abroad, use it whenever possible to eliminate or reduce ATM fees. Unfortunately, this does mean that if there are no partner ATM options available in your host country, you will have to pay the out-of-network fee to make a withdrawal.
• Using a debit or credit card with foreign transaction fees. If possible, sign up for a debit or credit card with zero foreign transaction fees before your departure. This way, you can avoid unnecessary fees with every purchase you make while abroad.

• Withdrawing cash in small amounts. ATM’s charge a foreign transaction fee, which might be a percentage of the total (1-3%) or a flat fee (typically $5). For example, let’s say you withdraw $25 worth of cash you need for the day, and get a $5 fee. Multiply this by one week, and you’ve paid $35 in fees. Multiply by a 15-week-long semester, and you’ve paid $525 in avoidable fees. Instead, withdraw larger amounts of cash (such as one week’s worth) and lock the extra cash safely in your room. If you start this habit, you only get charged the fee once.

Data overage fees

Your phone data plan might look different in your host country. Maybe you purchase more data than you do at home, but you’re using navigation maps daily or the dorm Wi-Fi isn’t steady, so you use it up faster. Watch out for overage fees and adjust your data plan accordingly.

Airline luggage fees

Every airline is different, so make sure you know the limits concerning luggage and carry-ons for your specific flight long before you head to the airport. Some airline fees to be aware of:

• Overage fees. An overage fee means that your suitcase weighs more than the allowed amount. Most airlines have a limit of 50 lbs. (23kg) per suitcase. If your luggage is heavier than that, you will be charged a fee, typically between $100-$200 per bag.
• Excess baggage fees. Some plane tickets only permit you to have one large suitcase. If you show up at the airport with two large suitcases, you will be charged a fee, typically between $30-$200 per bag.

• Excess carry-on. Most airlines allow you to have one carry-on item (a small suitcase, duffel bag, etc. that can fit in the overhead bins) and one personal item (a small purse, backpack, etc. that can fit under the seat in front of you). However, sometimes an airline will only allow one item, and thus require you to check your carry-on item, resulting in extra fees.

The solution? Check your airline’s website for their limits concerning size, weight, and number of bags. Weigh your bags at home in case you need to do some rearranging, and never bring more bags than is allowed to ensure that your travel will be smooth.

Don’t let mistakes ruin your study abroad, especially if it was an accident. Maybe your bag weighed too much or you accidentally used a card that has foreign transaction fees, but whatever it is, it’s best to just move on and focus on enjoying your time abroad.

Mistakes are going to be a part of your study abroad experience, but they are an excellent opportunity to learn how to manage challenging situations, and most will be forgotten quickly, anyway. Do your best to avoid money mistakes, but remember that one day the fun experiences you have and the personal growth you gain from studying abroad will far outweigh the errors.

Lastly, worrying too much is a mistake

usac.edu

© 2026 USAC | USAC®, University Studies Abroad Consortium®, and Your Gateway to the World® are registered trademarks of USAC.