Students face travel headwinds: Weak dollar and economy crimp trips

American travelers are up against a troubled economy and weak dollar that are making it more expensive to travel around the world.

Students are no exception.

As of this writing, the U.S. dollar is equivalent to 0.695 euros, down 10 percent since last summer. The British pound is 0.613 per dollar, off nearly six percent. The exchange rate drop comes as students have fewer dollars to spend because of the economy at home. It adds up to a difficult time for foreign travel.

Amal Khalil, a French teacher at Capistrano Valley High School in Mission Viejo, Calif. has planned student trips to France since 2007.

"It was in 2008 that I noticed a real decrease in sign-ups," Khalil said.

In 2007 trip she co-planned drew 42 students who toured Spain and France in 2007. The next year, Khalil had just six students travel to France. Students and parents told her tighter family budgets had a lot to do with the steep drop-off. Now, student travelers and their parents need to plan for unappealing exchange rates.

A traditional way to save has been to go as an exchange student instead of traveling independently. Students get the cultural and educational experience while staying with a host family, and therefore saving money.

AFS, previously known as American Field Service, has arranged high school student exchanges for more than 60 years.

Marlene Baker, a spokeswoman for AFS USA, said currency fluctuations don't have a big impact on its program because students stay with local families and get help with expenses.

"Of the approximately 1,200 U.S. students we send abroad each year, approximately 45 percent of them receive some kind of scholarship or financial assistance." Baker said. "If a student in high school wants to study abroad, there are so many ways to make it possible, including fundraising the way any student would for a school-based function."

Baker said that students who are determined to go to a specific country may have to bear more of the financial burden. But those that are flexible will likely find financial aid to help them defray costs from less popular destinations eager to attract students.

Foreign students visiting the United States have found the currency situation reversed, though many have to deal with the worldwide economic recession nonetheless.

The Council on Standards for International Educational Travel, a non-profit group that monitors exchange programs reported that 29,004 foreign students came to the U.S. in 2007-2008, the last year before the recession. The number fell to 27,924 the following year, but has rebounded by 2010-11 to 29,491 students.

Those who choose independent trips or informal group school trips are still finding ways to save as they travel the world. Fundraisers are proving to be the key to being able to afford to travel.

Travel agencies that cater to students are doing their best to accommodate for the rise in expenses.

STA Travel is a discount student travel agency that sends over six million travelers away each year.

Patrick Evans, an STA Travel representative, said that the agency sometimes suggests less expensive destinations than the usual choices like France, Italy or Britain. A prime destination right now is South America, particularly Peru and Argentina. A trip to Peru is fairly inexpensive, costing around $500 compared to a $700-$900 trip to Europe. One can get both cultural and volunteering experience in South America.

Evans advises that travelers plan ahead, know exchange rates, accommodate for price hikes during popular travel seasons, and hunt for local bargains when they arrive.

Despite budgeting, some students still find the costs a shock. While the price for travel and hotels may not be so costly, the amount spent "out of pocket" on other items like food, museums, and other attractions is adding up.

Nicole Lee, 17, is a recently graduated senior from Capistrano Valley High School. She along with other seniors traveled to Amsterdam, Paris, Dublin and London with history teacher Dr. James Corbett on his annual senior Europe trip.

She said she spent more than $1,000 USD in Europe on incidental expenses.

"The dollar is doing really badly against the euro and British pound; if it weren't for that, the trip wouldn't have been as expensive," Lee said.

Khalil, the French teacher at Capistrano Valley High School, said interest in her trips has rebound, in part because students have taken unique approaches to funding their trips. This year, Khalil is taking 12 students to Paris, Normandy, Brittany and the south of France.

Source: knox news.com