Navigating Expensive Holiday Travel: 5 Tips for a Cost-Effective Journey

Millions of Americans travel throughout December and January to visit with family and friends during the holiday season. Since it's a busy time of year and there is more travel demand, you can expect to pay more than usual on travel expenses. But that doesn't mean there aren't opportunities to keep more money in your pocket while on your journey.

Here are a few tips that may help make your holiday travel experience less costly.

1. Put your airport lounge perks to good use

Airport food and drink prices are sky-high. Having to pay for an airport meal can quickly make your credit card bill much higher than anticipated. If you have a premium credit card with airport lounge access, make sure you use this benefit this holiday season.

Most airport lounges will likely be busier than usual, but grabbing free snacks and drinks before your flight can help keep your extra spending to a minimum. If you don't have this credit card perk, you can pack snacks to avoid having to pay for food at the airport.

2. Give public transit a go

Before requesting an Uber ride during your travels, check to see if there are other affordable alternatives to get around.

Ride-hailing services may be more economical if you're traveling as a family. But otherwise, public transportation could be a much cheaper solution. If your destination has plentiful public transportation offerings, use it to save money on travel costs.

3. Look for discount opportunities for events and activities

If you'll be exploring during the holidays, look for ways to save money on activities, events, and attractions.

Some cities offer multi-attraction passes to help travelers save. You may also save money on events and activities using membership programs like AAA. Finally, don't ignore free local events like tree-lighting ceremonies or holiday concerts in public spaces. Every discount adds up and can be a win for your bank account.

4. Consider investing in travel insurance

During the busy holiday season, it's not unusual for travel disruptions to happen. Before departing for holiday travel, you may consider purchasing a travel insurance policy. Many travel insurance companies allow you to buy a policy until one day before travel.

This protection may give you peace of mind and help you waste less money on travel expenses if things don't go as planned. It's also worthwhile to review the terms of any travel protections included with your travel rewards credit cards to know what to expect before you depart.

5. Use the right credit card

When traveling, it's essential to consider what credit card you use. If you're traveling abroad, using a credit card that doesn't charge foreign transaction fees is best so you can avoid paying extra fees. Review our list of the best credit cards with no foreign transaction fees to find out more.

You should also consider which credit card to swipe at checkout. When using one of the best rewards credit cards, be sure to maximize your earnings. Consider which credit card will offer the most rewards depending on the type of purchase you're making. Doing this can help you earn more rewards while you travel.

Travel doesn't have to break your budget

If you're working hard to reach personal finance goals, that's excellent news. It's possible to travel during the holidays without ignoring your budget or financial goals. The above tips are just a few ways you may be able to keep your travel spending to a minimum this holiday season. Don't be afraid to get creative and find other ways to save more money.