Cost of living: Five easy tips to get more out of your money on your holidays

We all overspend on holiday, and while splurging is part of the fun, there are many hidden costs associated with spending money abroad that can be easily avoided

Bookmark
Share

News

Erica Carter

14:20, 27 JUL 2023

People sunbathing in the warm weather (Image: Getty Images)

We all love a getaway, but one of the major downsides is the price.

Even if you get a good deal on flights and accommodation, it's the spending money while away that catches us all out.

Somehow, money seems to be free flowing while we're on holiday and we never think twice about spending more than intended - only to be left with a sadly low bank balance after our fabulous holiday.

While it's great to splurge while away, it's not great to be strapped for cash when you're home.

A lot of the hidden costs come from things like ATM charges or your bank charging currency exchange fees.

Here are five simple tips to avoid those costs and help your money go further while on holiday, thanks to Switcher.ie.

1. Pay in local currency

Hotels, shops and cash machines may give you the option to pay in local currency or euros when you pay by card. Whether you're using a debit or credit card, choose to pay in local currency. If you choose euros, the retailer converts the currency, so rates may be worse than your card issuers. If you've got a specialist overseas card, always choose the local currency and you'll pay next to nothing in fees.

2. Get a prepaid or specialist travel card

With contactless options now more widespread, people are ditching cash and tapping to pay more than ever. It's simple and safe, plus mobile banking apps make it easy to keep track of your holiday spending. Prepaid cards like the An Post Currency Card can help you stick to a budget. Alternatively, digital accounts like N26, Revolut and Wise offer low or no fee foreign transactions and competitive exchange rates.

3. Order foreign currency in advance

If you're spending abroad with foreign cash, you'll get the best deal if you order currency online. Changing cash at the airport should be your last resort, so shop around online and compare costs to get the cheapest rates. Some exchanges offer free delivery, but factor in delivery charges or pick up in person. Often, the more currency you order, the better the rate, so consider pitching in together if you're holidaying with friends.

4. Use online tools and consider locking in rates

Most online sites offer tools that allow you to see how much currency you'll get in return for your euro. Watch out for extra charges, and know that 0% commission doesn't necessarily mean a good deal, because the exchange rate may be poorer. You can reduce costs further by changing your money or locking in a rate when the euro is strongest, even if it's months ahead of your trip.

5. Avoid ATM cash withdrawals

Steer clear of using cash machines on holiday or you may find transaction fees and ATM charges piling up. Pay with your card where possible, especially if you have a prepaid currency card or travel credit card. If you're using cash on your trip, plan ahead and work out a daily spend so you don't find yourself short, or return home with unspent currency.

Get the latest RSVP headlines straight to your inbox for free by signing up to our newsletter

Join our new WhatsApp community! Click this LINK to receive your daily dose of RSVP Live content. We also treat our community members to wonderful competitions, promotions, along with great stories. If you don’t like our community, you can check out any time you like. If you’re curious, you can read our Privacy Notice