Holidaymakers warned over using credit cards abroad

Brits jetting off on holiday this year have been warned that they could be left out of pocket by using their credit card when abroad.

According to foreign exchange provider Caxton FX, high interest rates and transaction charges could leave travellers with a hefty bill when they return to the UK.

James Hickman, the company's managing director, commented: "In this credit adverse climate, it's advisable that people heading overseas this Easter plan their travel money in advance."

He noted that holidaymakers could cut costs by opting for a prepaid currency card for their next cheap holiday to Spain or elsewhere.

It takes away the shock of discovering that you have overspent or been charged an excessive amount for your transactions, Mr Hickman added.

Meanwhile, travellers may be interested to learn that Currency Exchange Site - a currency comparison service - was launched last month, giving holidaymakers the opportunity to compare providers.

Posted by Jamie Manterfield