Thomas Cook Holiday Money Specialist: Offers financial advise as pound hits low.

With the pound hitting an all time low against the euro, and with speculation from some companies about the rising cost of holidays, those who have already booked a trip to a European destination may be concerned about how they will afford their holiday once they are overseas.

Mark Nancarrow, managing director of Thomas Cook Financial Services, says: "Holidaymakers may well find their European trips more expensive this year, but people shouldn't panic, as European destinations are still generally better value than home. For instance, a bottle of beer or a pint of milk are still cheaper in Spain than in England."

For those who are travelling within Europe, Thomas Cook has pulled together some key tips to ensure your pound goes further this summer.

Foreign Exchange:
· Shop around for the best currency rates and ensure that you purchase from an outlet offering commission-free foreign exchange. Don't forget that airport foreign exchange bureaux do charge commission.
· If you're travelling to the Euro zone in four months time and taking, for example £500 spending money, consider buying £100 of euros each month, so that if the rate suddenly drops, you have some protection.

Spending Money:
· If you're on a budget, consider obtaining a prepaid card, like Thomas Cook's Cash Passport. This acts like a debit card; it's pre-loadable before you travel and can be used to withdraw cash from ATMs or to spend in shops or restaurants and hotels while you're away.

Debit and Credit Cards:
· Be careful of using your plastic abroad as you will be charged as much as 2.75 per cent foreign exchange fee every time you make a purchase abroad. Some debit cards also charge a fixed amount every time you use them on top of the 2.75 per cent foreign exchange fee.
· If you need to take a credit card on holiday, consider the Thomas Cook credit card, which has no foreign currency loading fees on all purchases abroad as well as numerous other benefits. For more information, log on to www.thomascook.com

Eating and Drinking on Holiday:

· If you want to control your budget tightly, consider going for an all-inclusive deal, then meals and drinks will be paid for, but check the conditions of what is and isn't included in the deal.
· Instead of eating and drinking on the beachfront, consider going to a bar or restaurant a few streets away, as prices are likely to be cheaper.
· Do your research before you go to hunt out reasonably priced restaurants.

Nancarrow added, "For those who haven't yet booked a holiday, then other destinations to consider are the US, Turkey, Egypt and Bulgaria, where your pound will go further."

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