'Banks more likely to block foreign exchange transactions'

Making foreign exchange transactions has proved difficult for some Britons due to their bank's anti-fraud policies, it has emerged.

Payment association Apacs recently warned that strict rules to combat illegal credit card use may mean some consumers' purchases are incorrectly blocked when they attempt to buy goods while abroad.

The group advised Britons to inform their banks they are going on holiday before they jet off in order to prevent this happening, the Guardian reports.

In addition, expats may like to consider buying their foreign currency from dedicated providers, rather than banks.

An Apacs spokesperson told the paper: "Banks have intelligent fraud detection software so that if any purchase is out of the norm it will get flagged up.

"We have seen an increase in fraud abroad, so it is entirely possible banks are programming their systems to be especially sensitive to transactions overseas."

Meanwhile, the Daily Mail recently revealed that savings may be made if Britons buy their foreign currency in bulk.

Click here to find out how much you can save with HiFX's Foreign Exchange services.

By Linsey Summers