People using the readies to avoid post-holiday blues

Credit-crazy Britain seems to be acting a lot more responsibly when it comes to overseas holidays.

Rather than relying on loans, overdrafts or a bigger credit card debt, Brits are buying their holidays with their savings or current accounts or with credit cards that they pay off in full.

Research by moneysupermarket.com and travelsupermarket.com only found 11 per cent of people incurring any interest to pay for their next holiday. A staggering 69 per cent of people will be using money they have available.

Kevin Mountford, head of savings at moneysupermarket.com, said: "With our ‘buy now pay later' culture, I had expected the level of borrowing to fund holidays to be higher.

"It looks as though the credit crunch is making people more responsible when it comes to their money, which is a big silver lining for the current cloudy economic conditions.

"While holidays are important to us all, a little more thought is going into people's planning - with savings being built up to fund them.

"People do build savings and current account pots for various reasons - and it looks as though holidays are a major beneficiary of this.

"And in today's climate, we all need a holiday."