Money-saving expert Martin Lewis should share trick holiday makers overseas and know how it will save you valuable penny. If you are conscious of keeping costs down when going out to eat or drink abroad, you may want to pay attention to the way you pay.
In a recent episode of BBC Sounds' Martin Lewis Podcast, Money Saving experts received wise advice to travelers paying with plastic. Discuss the question: “Should I pay in pound or euros with plastic from overseas?” Martin shared one of his ways to cut costs.
Whether you pay for dinner or withdraw money with cash points, you may find that the sales machine or card reader will ask if you pay in local currency or in British pounds. This is a choice everyone can give, but Martin explained that there is actually a correct answer.
Martin said: “The correct answer is always to pay in euro or local currency, because it's your plastic that's the one who's converting exchange rates, not overseas stores or ATMs.”
The best way to ensure you get the most out of your money is to have an overseas debit or credit card. Martin explained that these cards help you give you “nearly perfect exchange rates.”
He continued. “But even if you don't have any of them, in all the experiments I've done, even with your swamp standard UK credit or debit card, in all the experiments I've done, when most people go abroad, they do pub crawl, I do an ATM to check these rates.
“In all the experiments I've done, even the BOG Standard UK cards are violating the exchange rates of most international ATMs or shops, meaning they always have to pay in local currency.
“Pay in euros, pay in dollars, or pay in dong if you're in Vietnam.”
