Experts warn against summer holiday airport mistake that'll make you pay 10% more

EXPERTS have warned against exchanging your money at the airport for your summer holidays this August.

Brit holidaymakers are jetting off across Europe and the world before the kids head back to school next month.

Forex experts have cautioned against one mistake that travellers can make at the airport - exchanging your Pounds at the physical desks before your flight.

They shared some alternatives and also some tips for travellers.

Prem Raja, Head of Trading Floor at Currencies 4 You, said you could be paying a huge premium on top of the exchange rate.

He added: "Getting your currency converted at the airport is a big no-no from me. Typically, exchange rates at the airport can be anywhere between 8%-10% more than what they will often be outside the airport, which is extremely expensive. 

“To get around this, I advise that you should order your currency ahead of time. There are plenty of companies that can deliver currency to your door or when you get to the airport. There are also some fantastic currency card products, which offer much better exchange rates that will save you at least 5%.”

Harry Mills, Director at London-based Oku Markets, advised holidaymakers to use Revolut. 

He said: “If you find yourself at the airport without your holiday money, the last thing you should do is buy cash from one of the cash kiosks - their fees are criminally high. The best bet is to get a multi-currency card - Revolut is ubiquitous for a reason; it's cheap and it works amazingly well. 

"You can also purchase cash online to collect at the airport at better rates than the kiosk - and by the way, you can't check what the airport rates are beforehand, as they're deliberately hidden due to their exorbitant charges. 

"When I go on holiday, I use a combination of my Revolut card, my credit card (when I want the protection), and my AMEX (when I want the protection and the points). 

"Whilst debit and credit charge fees can be fairly high, let's be honest, 1-3% on the price of an ice cream or a dinner is nothing to be worried about. And who wants to carry cash around today anyway?”

David Belle, Founder and Trader at Fink Money, provided another tip for travellers: always pay in the local currency.

He continued: “I am unsure why people still exchange for physical cash at airports. Most of the neobanks these days offer very good rates on their card use. Revolut, Wise and others tend to be the preferred method of payment, and you can convert in app, or it just uses the local denomination. 

"The best tip is to always pay in local currency, since if you pay in sterling abroad you can get hit with a huge rate change.”

Tony Redondo, Founder at Newquay-based Cosmos Currency Exchange, said price comparison sites can provide savings.

He said: "The travel money market is opaque, hindering access to wholesale rates. Airport kiosks offer poor deals due to high overheads, low competition, and fees.

"Pre-ordering for airport pickup yields 3% better "online-only" rates than walk-ups but still lags mid-market rates and poses cash security risks. Use sites like MoneySavingExpert's TravelMoneyMax for comparisons. 

"Buy only the cash needed to avoid bad buy-back rates. Better alternatives Include Travel money cards, fee-free debit cards, or prepaid cards for ATM use abroad, which are often more cost-effective than airport exchanges and more secure. For frequent destinations, open a local bank account to evade high margins and approach real rates."