Money Trouble? 1 in 4 Brits Run Out of Currency on Day 3 of their Holiday

Recent research by Travel Money Club has found that British travellers are increasingly likely to struggle with money on their holidays this year, with a quarter running out of cash currency by day 3 and 9 out of 10 overspending throughout their holiday.

The poll found that many travellers will overspend because they’re either confused by the exchange rate or simply don’t care, making summer escapes an expensive affair. 1 in 3 holidaymakers will run out of money by day seven, with half admitting to not thinking about how much they’re spending, and a third forgetting to budget.

Some Brits spend as much as £200 more than anticipated on gifts while abroad, with alcohol and local spirits, jewellery, handbags, and sunglasses the most common items purchased. 1 in 5 even find themselves unintentionally spending up to £20 on a single alcoholic drink!

One interesting aspect of this report is that many holidaymakers admit to having no idea of the exchange rate in the country they are travelling to. The survey shows that 75% of Brits don’t know the foreign exchange rate before converting their currency, with 45% saying they’ve no idea how to get the best deal or if there are hidden commissions involved, and 1 in 3 don’t know if it’s better to use cash or credit cards while abroad. It seems to be millennials lead the way when it comes to this currency confusion, with 1 in 4 ‘forgetting’ to budget, and a third admitting that they don’t ever think about how much they spend on their travels.

It seems Brexit is responsible for much of the currency confusion, with 8 out of 10 Brits saying that the problem has got a lot worse since Britain voted to leave the EU, sending exchange rates spiralling. Over a third of cautious Brits plan to be eating and drinking out less on holiday due to Brexit, while 40% will go on fewer excursions and activities abroad.

Don Clark, founder of Travel Money Club, said: “Foreign currency is a minefield for holidaymakers if they don’t know what to look out for. Familiarising yourself with the current conversion rates and reading the small print on charges and commissions will prevent unexpected surprises when buying foreign currency. Our study revealed that 33% of holidaymakers don’t know whether it’s better to pay in local currency or sterling when paying on card, which can lead to paying far more for food, drinks and souvenirs than expected.”

However, where you are based in the UK does seem to have an impact your spending abroad. Londoners are the most lax with their holiday currency, with 75% admitting they regularly overspend on food and alcohol, as well as splashing out on slogan t-shirts and sombreros. On the other hand, the Welsh are the canniest with their currency, with only 29% failing to stick to their budgets.

Don continued: “Despite our best efforts to relax and unwind while abroad we should have an idea of budgets to ensure we don’t fall short and run out of currency mid-holiday, like three-quarters of the population. Getting the best deal means that your money goes further and you can do more while abroad. At Travel Money Club, there are no hidden charges and we guarantee members the best deals when exchanging their money.”

Travel Money Club promises members the best exchange rates on foreign currency with a double the difference price guarantee. They also promise to refund the difference if they don’t save at least their yearly membership fee. For more information please visit www.travelmoneyclub.co.uk.