5 Top Tips for Spending Abroad

The trick is to do your homework before going on holiday and make sure you are not wasting your hard-earned cash on excessive fees and charges.

Just as important is protecting your money from theft on holiday. Tourists are very often targeted by thieves and the last thing you want is to be left out of pocket abroad.

1. Avoid rip-off foreign currency charges

Going to the most competitive foreign exchange providers can make a significant difference to the amount you receive when you change your cash - extra money for you spend to on holiday.

Avoid airport travel exchange services which are often expensive, unless you have pre-ordered the cash first - as you can do with Travelex for example. Or check out online foreign exchange services which sometimes offer competitive rates.

If you prefer to change your cash face-to-face, ask your bank if it offers better deals to its own customers, or try the Post Office. It doesn't charge commission and its exchange rates are reasonable.

2. Don't withdraw cash on a credit card

Using your credit cards to withdraw cash from an ATM is an expensive way to access cash at home - and it's even pricier abroad. The majority of card providers charge you a fee, commission and start charging interest on this money from day one, allowing you no interest-free period. If your provider has steep fees you are probably better off changing the cash before you go. Or read on to see which card issuers play fair.

3. If you must withdraw cash on a card, use one of these

Most credit card providers charge you to use your card abroad in as many ways as possible, and the costs add up. But the Abbey Zero credit card is ideal for those who travel often. It charges nothing for using your card abroad for purchases and has 0% commission. And it doesn't even charge you for withdrawing cash abroad (though it still charges interest from day one).

The Post Office credit card also charges 0%* commission and no fee for buying goods on your card. It does levy a small withdrawal fee but it still beats the vast majority of credit cards hands down.

4. Stay cash strapped with money belts

Money belts are cheap and practical ways to look after your cash abroad. With your cash close to your chest (or your tummy), you can relax and enjoy your holiday, rather than worrying about bag snatchers - unfortunately a persistent presence in many popular resorts. And you can even get waterproof money belts that allow you to take a dip in the sea without leaving your cash on the beach. Hiding cash under your beach towel is asking for trouble.

5. Plan ahead to avoid holiday distress

Hopefully you will not be a victim of theft on holiday but it does happen. Planning ahead could save you a great deal of distress. Ensure you have the contact details of all your card providers and your full account details to save precious time if you need to cancel your cards. Of course, keep them somewhere separate to your wallet and never write down your pin numbers. One last thing, be sure to cover your trip with travel insurance for added peace of mind.

Find out more about 5 Top Tips for Spending Abroad at http://www.confused.com/credit-cards