The High Cost of Traveling to Mexico and Saving Money on Car Rentals

by Michele Cheplic | More from this Blogger

04 Aug 2008 04:59 PM

And you thought traveling to Europe was expensive. According to recent reports, the dollar has lost nearly 10% against the Mexican peso since January - meaning that tanning trips to sunny south of the border destinations are becoming increasingly difficult for some Americans to afford.

Studies show that the dollar's value had been stable in Mexico for years, even as it fell against other currencies such as the euro. But now the tide is turning--this week, the dollar traded at its lowest level against the peso in six years. Travel experts worry that the shift could have a significant effect on tourism and the $347 billion in trade between Mexico and the United States.

According to a travel study released last week, Mexico City is nearly as expensive to visit as Washington, D.C. What's more, the slumping dollar could also mean higher prices in American stores for a wide range of Mexican products from lettuce to avocados.

But travel experts are more concerned about what the weakening dollar will do to its industry. They point out that Mexicans' pesos can go further in American shopping malls along the border, but Americans traveling to Mexico on vacation might grow weary with how much they have to spend for a tropical libation, hotel stay or rental car and opt to visit another destination instead.

Travelers looking to save some cash on their next car rental should visit Kayak.com. The travel website recently unveiled a new feature that calculates fuel costs specific to car models and the cities in which they're rented. Which means you can find out how much cash you are pouring into the gas tank of a rental vehicle prior to signing on the dotted line.

The new fuel cost calculator allows travelers to input their estimated daily mileage, along with whether they'll be traveling highway, city or a combination of roads. Once the information is inputted the calculator computes the cost of gas to the daily rental rate.

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Learn more about Michele Cheplic

Michele Cheplic was born and raised in Hilo, Hawaii, but now lives in Wisconsin. Michele graduated from the University of Wisconsin-Madison with a degree in Journalism.

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