A recent newspaper article highlighted how unsuspecting holidaymakers were getting caught out on holiday when it comes to currency exchange. The issue occurs when a tourist chooses the option of paying in local currency. If the holidaymaker chooses to pay in local currency, then they are charged an additional fee – anything up to 5%.
The 5% fee might not seem a lot, however, when a holidaymaker is paying for hotel bills, restaurant bills, using a cash machine or paying for any of the other additional expenses that come with a holiday, these charges soon mount up, and new research shows that more than forty per cent of tourists from the UK have been caught out by these fees.
Collectively, this could cost UK tourists more than £290 million over the summer of 2013, and the costs of paying for goods overseas looks set to continue to rise. Unfortunately, these charges are legal, so there is little the consumer can do once they have been charged these additional fees.
However, doing some research before your holiday would be a good idea if you want to avoid having an additional 5% added to your bills. First of all, Tourists have the option of buying a prepaid currency card, which will help the consumer to avoid higher fees, however, these cards do often carry a charge for a transaction, they’re just set at a lower rate.
Experts also suggest that some holiday makers still aren’t comfortable with using foreign currency. However, the process of buying foreign currency needn’t be difficult, especially with the many foreign exchange services that offer currency with no fees or commissions.
Holidaymakers are assured of getting the best value from these types of exchanges, and will often get more for their money. Buying foreign currency this way is stress free; all the consumer has to do is order the currency online and collect the travel money once it is available. Quotes are available onl the Internet and the money is offered in a vast range of currencies.