Holiday Money

The internet has made us all a whole lot better at finding bargains when we book plane tickets, hotels or package holidays. But experts say we can throw away all of the savings we make by failing to shop around when we get our holiday money. Get currency in the wrong place, or use the wrong type of plastic overseas and you can easily spend far more than you need.



‘Shopping around before you go really can bring big savings – while leaving it till the last minute and getting cash just before you get on a plane can be an expensive mistake,’ says Rob Kenley who researches travel money costs for price comparison company Moneysupermarket. Going to the wrong high street bank for cash can be just as bad news. Get 1,000 euros from an expensive provider and you will spend at least £35 more than with a cheaper alternative. And the differences get far larger when you go overseas when one credit card company can charge at least twice the fees of another.

So here’s our independently written guide to the holiday money market. Follow our tips and your holiday will cost a whole lot less than you might have feared.

Neil Simpson is a former Personal Finance Journalist of the Year and writes regularly on money-saving, insurance and property issues for the Mail on Sunday, City AM newspaper and many other publications.

Holiday money problems 'common'

Millions of Britons are happy to go into debt to fund their holidays each year, according to new research.

A study by Experian's online credit monitoring service Credit Expert found that more than one-quarter of people pay for trips on credit.

The survey suggests that holiday money allotment is not affected by recent interest rate rises and higher living costs, as 18 per cent of respondents who go into debt to fund their travels say they will sort out their holiday money problem later.

Additionally, one in 20 people admitted that they go into debt most or every holiday.

Men are more likely to go overboard regarding holiday money than women, the figures indicate, while those from the West Midlands have the highest probability of going into debt.

Jim Hodgkins, managing director of CreditExpert.co.uk, remarked: "It's worrying that, as a nation, many of us have a 'me now, debt later' attitude to our finances.

"Most of us work hard and need a well-earned break, but it's important that we plan ahead and ensure our bank balance can handle the large outgoings that holidays and other expenses entail."

Keeping to a budget can help people manage holiday money effectively, he added.

In related news, Indian holidays have been revealed as the number one gap year destination, according to Year Out Group.

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