High Dollar Hits Business Travelers

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Leisure travelers can stay home and rediscover America or travel to places where the dollar is still strong, such as Argentina and Turkey. But business travelers are screwed. Unless we’re prepared—and able—to scrap business trips, our options for hedging against high prices overseas are limited and not all that palatable.

We can, of course, trade down overseas, by staying in less-expensive hotels, eating at less-pricey restaurants, and switching from taxis and car services to mass transit. But trading down is risky.

Europe and Asia don’t have America’s diversity of shiny, new, low-cost lodging options. If you’re staying at a five-star grande dame property, you can trade down to a four-star Hilton or Marriott. But below the Hilton/Marriott level, there’s very little lodging stock suitable for business travel. Two- and three-star hotels overseas usually lack basics like in-room workspace, high-speed internet access, and 24-hour service.

The only other practical advice I can offer (as well as eliminating the purchase of a $3.50 newspaper) is to cut back by keeping your currency-transaction fees as low as possible. Credit-card issuers now sock you with a 2 to 5 percent “international service assessment” whenever you make a charge in a foreign currency. If you travel overseas frequently, get yourself a credit card issued by Capital One. Alone among major issuers, it offers fee-free transactions.

Large banks have also begun piling on the surcharges for those using ATM cards overseas. Before you travel, check your bank’s current ATM policy and demand that it waive any overseas fees. If it won’t, open a Capital One money-market account. It not only offers higher-than-normal interest rates, Capital One eschews fees on ATM withdrawals.

One other tip: Never sit down at an Italian coffee bar. You pay for the service—and the table. Standing at the bar generally yields espresso at half the sit-down price. In these weak-dollar times, Americans simply can’t afford to sit.

The Fine Print…
A followup to February’s column on airport clubs: Delta is closing nine Crown Rooms by the end of April, and United Airlines has already shuttered its Red Carpet Club in Sydney. But there is good news: United now offers free WiFi access in 27 Red Carpet Clubs and in five of its international first-class lounges.

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