0% for 15 billing cycles on purchases, and to… Bank of America® Customized Cash Rewards Credit Card for Students Calculators How we make money
VOATLAS
EPISODE 088

Making your Alaska trip budget work

Planning a trip to Alaska is exciting, but the costs can pile up fast. We look at how to manage your expenses using credit cards without falling into common traps.

Chapters

  • — Why Alaska in the summer
  • 2:00 — The cost of peak season
  • 4:00 — Using credit cards to spread costs
  • 6:00 — Avoiding the interest trap
Full transcript
Welcome to the show. If you are dreaming of Alaska this summer, you are not alone. You get endless daylight, huge glaciers, and wildlife you just cannot see anywhere else. If you go between June and August, you get the best weather and park roads that are actually open. But, and you knew there was a catch, that is peak season. You are going to pay top dollar for your flights and where you stay. A typical trip runs about five hundred twenty dollars for your core expenses. That is a lot to drop at once if you are not ready for it. If that hits your bank account all at once, it can feel like a punch to the gut. One way we like to make that easier to handle is by spreading the cost out. You might look at a credit card with a zero percent introductory APR. APR is just a fancy way of saying the interest rate you pay on what you borrow. If you find a card with that zero percent offer for fifteen months, you can buy your trip essentials now and pay them off in smaller chunks over more than a year. But listen to me closely on this. That zero percent period is a deadline, not free money. It is not an excuse to spend cash you do not have. If you still have a balance hanging over your head when those fifteen months are up, that interest rate will kick in. That means the bank starts charging you extra on whatever you still owe, and that is how people get buried in debt. Use the card to manage your cash flow, not to live beyond your means. If you are going to use this method, you have to be disciplined about paying it down every month. If you are not sure you can stick to that, it is better to just save up the cash before you book. We want you to enjoy the glaciers, not stress about the bill when you get back home. If you want to see the details we talked about today or find the original sources, head over to voatlas.com for the full written version. Thanks for listening.