6 Ways to Boost Your Holiday Budget From Switcher.ie

With so many ways to spend on holiday, working out the cheapest or most convenient method to pay can be quite confusing. The good news is, whether using travel cash or payment cards, there are several things we can do to ensure we get the most out of our spending money.

1. Pay in local currency

Hotels, shops, and cash machines may offer the option to pay in local currency or euros when you use your card. Always choose to pay in local currency. If you select euros, the retailer converts the currency, so rates will almost certainly be higher. If you have a card designed for travel, opt for local currency, and you may pay next to nothing in fees.

2. Get a prepaid card or one designed for travel

The arrival of contactless payments means more people are ditching cash and tapping to pay. It’s simple and safe, plus mobile banking apps make it easy to track 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 hard-to-beat 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 compare costs online to get the cheapest rates. Remember to factor in delivery charges or pick up in person. Often, the more currency you order, the better the rate, so club together if you’re holidaying with friends.

4. Go online and consider locking in rates

Most online sites offer tools 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. Reduce costs further by changing your money or locking in a rate when the euro is strong, even if it’s months ahead of your trip.

5. Avoid ATM cash withdrawals

Steer clear of using cash machines on holiday to stop 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, give yourself a daily budget so you don’t run out of euros or return home with unspent currency.

6. Download your banking app

Most bank accounts come with the option to download a banking app so you can access your account instantly or on the go. Mobile banking allows us to track spending in real-time, monitor transaction fees, and quickly spot errors. If you lose your card or it’s stolen, most apps allow you to freeze it instantly. So, if you’re using your bank account card abroad, be sure to download your banking app and sign in before you leave.

Eoin Clarke at Switcher.ie comments:  “Cash or card is a familiar holidaymaker dilemma, and both have pros and cons.

The choice ultimately comes down to preference, but regular travellers should consider a debit or credit card designed for spending abroad. Sunseekers who prefer to splash the cash should set a budget and order currency online for the best rates.

A prepaid travel card is a good option for holidaymakers who like the convenience and security of a card, but are wary of transaction fees and hidden costs.

For peace of mind – if you’re using your bank card, download your banking app and keep an eye on transactions to avoid costly spending mistakes.