Save By Using Cash When on Holiday

Most people use credit cards when they are traveling on vacation because they feel that it is a safer way of handling their money than using cash for their needs. They feel that there is a greater chance of having the cash lost or stolen and then they are left stranded. By using a credit card, they can report it lost or stolen and not have to worry about losing any money as a result.

However, not many people realize that they can save money by using cash instead of their credit card to pay their holiday expenses. This does not mean that you have to try to tuck wads of bills into your wallet. Currency Exchange Cards are prepaid credit cards that are designed for travellers in Europe and the US and to which no foreign currency exchange rates apply. If you use these cards outside these regions, though, the currency exchange charges will apply.

When you use your credit card for purchases in another country, even though you may feel that you are getting a fantastic deal on the cheap prices, you realize that this is not so when your statement arrives. This is because the currency exchange has been applied to your purchases and this makes them more expensive than you originally thought they were.

You can also use credit and debit cards from Nationwide if you want to save money on the fees charged for the exchange of currency. In this way, you can use your regular debit card to withdraw funds from your account or to pay for your purchases, just as you would at home. Nationwide presently offers consumers the chance to use these cards free of charge until June 1, 2009.

By taking advantage of either Currency Exchange Cards or the debit and credit cards from Nationwide, you will save money and not have to shop around for the best exchange rates.

According to Mark McElney of the No1 Currency website, “For everyday purchases on holiday, taking cash before you go will not only save time and hassle when you get there but it will actually save you money in the long run. These days every hotel, apartment and villa has a security box to keep your money and passports safe, so the risk of carrying cash is greatly reduced.”

One option you have in choosing a holiday this year where you can save money by using cards that do not have a fee for the exchange is to look at the exchange rate of the pound in various countries. The Association of British Travel Agents reports that most travellers from the UK are choosing Spain this year as their holiday destination, with the Canary Islands, Cuba, Turkey, Egypt and Tunisia following in terms of popularity.

Turkey and Egypt are two destinations where you will fare well on the exchange rate. The Turkish lira is currently exchanged at the rate of 2.3 lira for one pound. South Africa is another destination where you can enjoy a cheap vacation with the exchange sitting at 13.2 rand for one British pound, even though it is outside the range of countries under which you can have free charges on a Currency Card.