Many of us are planning our summer holidays now, and working out how much we can afford. From changing currency to eating out abroad, going on holiday can prove an expensive minefield for the unwary traveller. These tips could make your budget stretch further.
1. If you book your hire car at the last minute…
Hiring a car at the airport means you’ll almost certainly be paying through the nose. To get the best rates, you need to book as far in advance as possible, preferably online. This also gives you the chance to check through the fine print for hidden charges, such as exorbitant excess waiver cover – and find a separate, cheaper policy.
2. If you buy currency at the airport…
These days you can order your currency online and have it delivered to your door or even pick it up at the airport – and you are likely to get a better deal than if you get it at the eleventh hour. Research suggests that the average family loses £13 by buying holiday cash just before they fly – enough for lunch in the Costa del Sol.
3. If you use your everyday debit card abroad…
There are often charges for using an ordinary debit card once you’re outside the UK. While many credit cards charge up to 3 per cent per transaction if you use them abroad, some others are specifically aimed at being suited more to spending in other countries, often offering 0% foreign purchase fees. If you do get one of those cards though, make sure you pay the bill off in full when the bill arrives. It’s also advisable to let your lender know you are going abroad, so as to prime them in case it raises suspicion when they see you make large purchases in duty free!
4. If you need credit for your holiday…
Make sure your credit report is up to date and that the information on it is accurate. If you do use a credit card to help spread the cost of a holiday, it’s best to stay within the agreed credit limits and always make your repayments on time, paying more than the minimum off your credit cards each month if you can, as this could help pay off your debts quicker. Missed payments stay on your credit report for at least six years. You can get help finding finance deals that suit your credit profile, and see your credit report and Experian Credit Score whenever you want, with CreditExpert membership. Getting it right could help you to understand, protect and take steps to improve your finances, and improve your chances of getting the credit card you want.
5. If you pay to enter museums and take tours…
Many attractions offer free entry one day a week and most towns provide leaflets that you can use to create your own tour. Doing your research before you go could leave you surprised at the free events on offer. Eating on the hoof can cost an arm and a leg, so drop in to a local shop and get the ingredients for a picnic.
6. If you use your smartphone as though you were at home…
The cost of some calls may have come down, but downloading data can still be painfully expensive when you’re abroad. The best option is simply to switch off your phone – and turn your kids’ phones off too. Alternatively, switch off data roaming or investigate special travel packages. You could also try an app that locates cafés and other areas that provide free wifi.
