Rising debit card usage could be costly to travelling Brits

As consumers shun archaic payment methods for more convenient debit cards, Caxton FX warn that slipping into ‘default mode' and using your bank card whilst abroad is costing Brits £144m in unnecessary fees.

Latest data from the UK Payments Council has linked a £21.5bn decline in the use of cheques to the 12.4% increase in debit card spend in the last year. With total UK debit card payments reaching £7.9bn Brits are spending £144m in unnecessary fees whilst using their plastic abroad. Such fees could be avoided by using a fee-free prepaid currency card such as the dollar and euro card from Caxton FX.

Michelle Slade, analyst at Moneyfacts.co.uk, explains, "In the UK we are so used to ‘free banking' that many people assume things will be the same when they go abroad. This can be a costly mistake as additional charges may well apply; both for taking money out of a cash machine and for making purchases in store."

Rupert Lee-Browne, CEO at Caxton FX says, "To avoid being stung by high fees and unnecessary charges, prepaid currency cards are a must have for anyone travelling abroad. With a Caxton FX prepaid currency card there are no overseas ATM fees or transaction charges and competitive exchange rates."

Not only does using your bank card abroad come with financial dents, it also presents a security risk. If your card is stolen then you risk losing a large sum of money as your debit card is linked to your current account, but by taking the appropriate measures you can ensure the safety of your funds. With a Caxton FX prepaid currency card, if your card is lost or stolen, a block can be placed on it immediately and a replacement sent out to you. As your card separate from your bank account it minimises the risk of identity theft.

Caxton FX's cards are all prepaid MasterCards, which means you keep the convenience of using regular plastic while taking your break. Available in euros, dollars and sterling (Global Traveller card), the cards can be used anywhere you see the MasterCard acceptance symbol.