Top tips to make cash go further

DON’T take out cash at the airport. The rates are poor and the commissions hefty.

DON’T use your debit card abroad. They can prove very expensive, with some banks charging as much as £2.50 a time, while others will charge a percentage of the value of the transaction. Rachel Springall, of comparison site Moneyfacts, said: ‘A typical debit card charges £9.50 when consumers withdraw £200 of cash abroad while some credit cards can charge nearly £12 before interest is applied.’

DON’T buy travel cash with a credit card. If you’re buying currency at a bureau de change or online, there can be a hidden charge when you use a credit card. It is counted as a cash withdrawal, so you could face cash withdrawal fees, interest, or a fee for using a credit card charged by the money changer. If you’re buying currency, always use a debit card, which isn’t allowed to charge this fee.

DO plan ahead. Websites such as Travel Money Max can tell you how to get hold of the cheapest currency in advance. If you need to make an international payment for a deposit on a holiday let, Transferwise will match you with someone coming the other way to cut out the fees banks charge for such transfers.

DO use a specialist credit card or pre-paid card. The Halifax Clarity Mastercard and the Post Office’s Platinum Credit Card have no fees when spending abroad. Alternatively you can use a pre-payment card such as the app-based Monzo card, which does not charge you when used abroad.

DO pay in the local currency. If you pay in pounds, the store, or rather the store’s bank, will set the rate, rather than your credit card provider.