Prepaid credit cards 'offer great foreign exchange rates'

24 June 2009 / by Rebecca Sargent

Prepaid credit cards could help holiday makers to watch the pennies, new analysis from moneysupermarket.com has revealed.

According to the comparison site, a prepaid credit card could save as much as £20 for every $500 or €500 spent – which could make all the difference when it comes to buying ice creams.

Prepaid credit cards can also act as a valuable budgeting tool for those trying to cut costs as they cope with the recession.

Commenting, Peter Harrison, head of travel money at moneysupermarket.com said: "Prepaid credit cards consistently offer great foreign exchange rates and are available to everyone.

"Not only could you get more Euros and Dollars for your Sterling, but you can also make sure you don't go overboard on your holiday budget."

Amongst the best prepaid credit cards for foreign currency is the FairFX prepaid credit card says moneysupermarket.com. However, shopping around for the right prepaid credit card is just as important as shopping around for flights, Mr Harrison adds:

"By taking the time to shop around before you go, and deciding which prepaid card suits your needs best, you can save a bundle on your holiday spending money. Also, beware of less competitive prepaid cards that often levy an application charge, a monthly fee and usage charges."

Compare prepaid credit cards »

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