Prepare your finances before a trip abroad and save money
With Easter fast approaching and holidaymakers on the hunt to make every penny stretch, analysis by moneysupermarket.com shows how Brits can be a substantial £107 better off by shopping around before they go, leaving extra cash in your wallet to spend on holiday activities.
Travellers who rely on the bureau de change at the airport could find themselves paying a significant amount more than if they arranged a prepaid travel card. Using Fair FX's prepaid card to withdraw €1,000 at their destination would cost consumers £894.85. However, waiting until the last minute and collecting the same amount from a Thomas Cook bureau de change at Manchester airport would end up costing £1,002.16. For every £100 exchanged you are potentially throwing away £12 by not shopping around.
If you are planning on making cash withdrawals with a debit, credit or prepaid card once on holiday it pays to understand the charges for ATM withdrawals before you go. Based on five €200 cash withdrawals abroad, the Halifax Clarity credit card would cost just £878 for the €1,000 due to its zero per cent transaction and withdrawal fees, although you will be charged interest from day one. The Nationwide debit card would cost £900.69, while the NatWest Platinum credit card would cost £927.73,
Bob Atkinson, travel expert at moneysupermarket.com said: "Holidaymakers who spend time researching all the different options available before they head off abroad will reap the rewards from getting the best deals for their travel money. Waiting until the last moment to sort out travel money at the airport will leave you out of pocket. If you do run out of time before your trip, then Thomas Cook and Travelex allow you to order online and take advantage of internet exchange rates and free commission deals, whilst still being able to collect you holiday money as you fly off.
"Prepaid cards lead the way in giving consumers the most spending power while abroad - best buys such as FairFX or CaxtonFX have no purchase, withdrawal or foreign loading fees and can be topped up online or over the phone for free. In addition, they also provide protection for travellers, should your card be lost or stolen, it can be replaced quickly, as it a great alternative to cash.
"If you are planning on using an existing debit or credit card abroad, then check the small print on the card and make sure you understand all of the charges before you depart. If you plan on applying for one of the market leading card for use abroad, then remember to leave plenty of time to receive the card, typically 7-10 working days."