Prepaid card 'can avoid bank transaction charges'

June 19 2009

Consumers heading overseas this summer have been warned about being aware of charges which could be accumulated on credit card transactions made while away.

Canton FX issued the words of cautions and claims the as much as £6 in every £90 spent on credit cards overseas goes in hidden charges and fees for withdrawing cash from an ATM on foreign shores.

Brits looking to save money and avoid these fees could do so by using a prepaid credit card.

The firm said: "Canny travellers can save even more though with a prepaid currency card that doesn't charge ATM fees on every withdrawal or a transaction fee every time you buy something in a shop."

Due to the pound rallying against the euro over recent weeks, holidaymakers will also benefit as their money will "go further", added the firm.

Recent research by Abbey found that one in ten consumers who went on a foreign holiday last year are still paying off the credit card bill they accumulated while away.

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