Travel is usually a time to splash out a little — I mean, you’ve earned it, right?
But too many holidaymakers watch their travel money slip through their fingers due to poor currency exchange rates, greedy ATMs, emergency expenses and more.
That’s why battleface consulted Laura Evans-Fisk, head of digital & engagement at currency expert eurochange, to discover the travel money mistakes that end up costing big time—and how to make sure they don’t happen to you.
battleface recently partnered with eurochange to provide travel insurance to UK customers, including single trip and annual multi-trip options. Go here to get a quote or visit your local eurochange branch.
So, read on for the travel money pitfalls you’ll want to sidestep!
Not taking enough travel money
Cash is still king in many parts of the world! And especially for little things like tips, taxis, and impromptu ice creams on the beach. Ensuring you’ve got enough wonga in the wallet to cover these expenses means you’re not scrambling around for an ATM suddenly while your 99 with a flake melts down your hand.
Ignoring exchange rates
One of the most common mistakes travellers make is not paying attention to exchange rates. Pro tip: Monitor the market for a while before you travel, giving yourself the opportunity to pounce when rates are favourable. While the euro tends to only move a small amount, currencies outside the Eurozone can be more prone to fluctuation. As a rule of thumb, airports and tourist hotspots have considerably less favorable rates, so get your currency sorted before you travel.
Evans-Fisk said: “It’s always worth buying your currency before you travel. That way you won’t get stung by the substantially higher rates charged by airport and cruise liner foreign exchange counters. Rates can be anything up to 13 percent higher than they are on the high street or online, so definitely plan ahead.”
Sneaky ATM fees
Getting out cash can cost you big time if you’re not aware of fees, both from the local bank and your home bank. ATMs may also offer to charge you in your home currency—but beware, the exchange rate used is usually less than favourable.
Evans-Fisk said: “Yes, the hike in rates with ATMs, compared to purchasing cash before you go, can be quite a shock. These machines often rely on travellers being under pressure to obtain foreign currency quickly and for that reason are usually located near tourist areas. Outside of urban areas, you may even struggle to find an ATM.
“Travellers tend to assume they’ll get a service like an ATM at home, but these machines hike up the exchange rate. You may even be charged a fee for the privilege of using their service, on top of charges by your bank (depending on the terms of the card you use). Credit cards regularly charge for cash withdrawals and include transaction fees.
“A good tip to remember is to always pay in the local currency when making card payments, to avoid card and transaction fees.”
Not taking a range of payment methods
Ensuring your holiday abroad won’t hold any nasty surprises requires a bit of versatility. By ensuring you’ve got a range of payment methods on hand, you can deftly adapt to any situation—from a medical emergency to margaritas at the pool. We recommend taking cash and a foreign currency card at the bare minimum.
Evans-Fisk adds: “It isn’t wise to travel or walk around on holiday with a big wad of cash on you, so just carry the amount of cash you’ll need for the day”.
Not budgeting properly
Unless you want your holiday to start with five-star luxury and end with sleeping under the stars, it’s probably best to budget a little. Account for all expenses including accommodation, transportation, meals and activities. And leave a little aside for those expenses you’re not anticipating.
Not researching local prices and customs
Does your destination drive a hard bargain? Many cultures expect a certain amount of haggling before settling on a price. That means the first price offered to you may be significantly more than an item’s ‘value’. If in doubt, ask at your hotel about haggling culture, including how much you should expect to pay for common items.
Forgetting travel insurance
Unexpected emergencies such as medical issues or trip cancellations can be very expensive. Invest in insurance that covers medical expenses, trip interruptions, lost or stolen belongings and more to protect yourself financially.
Did we mention eurochange now offers travel insurance in partnership with battleface?
Evans-Fisk said: “It’s estimated that one in four travellers don’t take out travel insurance and this can have devastating consequences, should the worst happen. We firmly believe in making happy memories when travelling, so have made it easy to book bespoke travel insurance by partnering with battleface. Now, our customers can order their foreign cash and travel insurance at the same time for true peace of mind.”
