Currency exchange rates 'favour preparation'

Consumers are likely to find themselves with a better currency exchange rate if they prepare their transaction.

Michelle Slade, a spokesperson for Moneyfacts.co.uk, has warned travellers of the financial pitfalls involved in leaving currency exchange to the last minute.

"Changing your currency at the airport may seem convenient, but you will be paying for the privilege through unfavourable exchange rates," said Ms Slade.

"Shopping around before you go will leave you more in control of getting the best rate."

The high costs which come with spending on credit and debit cards abroad are a further difficulty for people heading abroad.

Ms Slade noted that it wasn't uncommon for providers to apply a 2.99 per cent foreign usage charge to credit card purchases and cash transactions.

The relatively low value of the pound could make it even more important for consumers to plan their holiday spending.

At 09:00 BST this morning (June 2nd) the pound bought $1.471.

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Posted by Eleanor Ward