A Costly Move: How To Manage Your Debt When Moving Abroad
Are you looking to move abroad?
You’re not alone. An increasing number of Americans are leaving the country to work, study, be closer with their loved ones, and experience new cultures. Others are packing their bags because they’re dissatisfied with the country’s politics and governance.
However, regardless of your reasons for relocating, moving and living abroad can present a number of financial challenges. Moving costs can be high, and if you’re not financially stable or you lose your job, you could quickly find yourself in debt.
The good news? We’re here to help.
Continue reading to learn how to manage your debt when moving abroad.
Make a Sound Financial Plan Before Moving
Planning is the key to success in anything, especially where money is involved.
Long before you move abroad, develop a financial plan. Start by researching the cost of living in the country you want to relocate to, and then create an “abroad fund.” This is the money you will need to maintain your quality of life during the entire period of your stay.
If you’re relocating and for work and will be earning a salary, you might not need to save as much money as a student or someone who’s moving for adventure. Just ensure your new role comes with sufficient job security, so you’re not left stranded should your employer fire you abruptly, or should the company collapse.
Keep an Eye on Relocating Costs
The cost of moving can take a toll on your finances, especially if you’re moving to Europe, Australia, or other far-flung areas. You’ll have to hire a mover to pack your belongings and ship them to your destination country. You might also need to hire a local real estate agent to help you find a house in the host country.
This is why you need to keep an eye on relocating costs. Shop around for international movers so you can find one who offers good rates. However, don’t hire the cheapest provider if their services aren’t reliable. A bad mover can really put a damper on your relocation experience.
Another way to save money on these costs is to go with fewer belongings. It could be cheaper to buy new items once you arrive in your new country than it’s to move with them.
Know Where to Get Financial Help
If you get into a financial bind once you move abroad, it’s vital to know where to get help.
This means researching the country’s lending system and knowing who the best lenders are. Bear in mind, though, that you might need to build a new credit history to be able to get a loan from formal lenders. You can do this by opening a secured credit card.
If by any chance you’re moving to Spain, you can get help here.
Make Good Financial Decisions When Moving Abroad
Moving abroad costs money.
If you’re not careful, you can easily find yourself in deep financial problems. To avoid this, it helps to make good financial plans before moving and sticking to those plans once you move. And if you get into financial emergencies, always know where to get help.
Good luck and keep reading our blog for more financial tips.