As we approach the peak holiday season for jet-setting Brits, sorting out travel money is high on most get-away to-do lists. Navigating your options and finding the best deal can be tricky, and mistakes can add unnecessary expense and stress to your trip.
To help out, Russell Gous, Editor-in-Chief of money transfer comparison site TopMoneyCompare and exchange expert, has shared his top six tips to get the best exchange rate for your summer holiday:
1. NEVER exchange at the airport
Always avoid exchanging money at the airport, as you will never get the best rates. Airport providers typically charge the highest prices, taking advantage of travellers looking for last-minute exchanges.
2. Search online AND on the high street
Don’t limit your search to just online providers or high-street exchanges. The best deal depends on a range of factors like the currency you’re converting to and the fees charged. If you find a great deal online, factor in delivery fees if you can’t collect your currency.
3. Consider a buy-back guarantee
If you think you won’t spend all your foreign cash, look for a buy-back guarantee. This allows you to sell your currency back at the same rate you bought it. These guarantees are only worth it if you expect to have leftover money and the initial exchange rate is favourable.
4. Check for tiered exchange rates
Be aware of providers that offer different rates based on the amount you exchange. Some offer better rates for larger amounts, such as over £500. This can be beneficial if you need a lot of foreign currency but less competitive for smaller amounts.
5. Keep an eye on global events
Exchange rates are volatile, and global events can impact the cost of your travel money. While it’s hard to predict market reactions, being aware of potential upheavals can help you time your exchange to get the best rate.
6. Consider going cashless
More and more people are opting to go cashless on holiday. Using a credit or debit card abroad is popular, but make sure your card doesn’t charge overseas usage fees. To get the best exchange rate, always choose to pay in the local currency rather than sterling when you’re given the option.
