When it comes to your money, being proactive can end up saving you a lot. If you are planning to make a trip in early 2007 (or willing to go on one if there are some great prices), go and get your passport now if you don’t already have one. A lot of people don’t realize that beginning January 23, 2007, all passengers traveling by air between the U.S. and Canada, Mexico, Central and South America, the Caribbean and Bermuda will be required to have passports. The only exceptions to the new requirement is travel to U.S. territories such as Puerto Rico and the U.S. Virgin Islands.

Since the beginning of the year is usually a time when there are already good deals on air travel, there could very well be even better than usual discounts this year. It typically takes 6 weeks to get a passport (expediting will take less time - about 2 weeks - but will add an extra $60 to the cost plus delivery fees). Only about 25% of Americans currently have passports, so it’s likely that there will be a lot of extra seats on flights to these areas when people realize they can not fly there since they don’t have a passport.

This means that those who have prepared and have their passport in hand are likely to have a choice of some great last minute flight deals (which will also extend to lodging with less people traveling) to these destinations. Situations like this are rare, and keeping your eyes open for deals, as well as being prepared, could get you a dream vacation at far below market price.

Here is the information you need on how to apply for a passport