Holidaymakers advised to choose credit cards carefully

14 July 2008

British holidaymakers heading to sunnier climes this summer have been advised to ensure they pack a suitable credit card. According to comparison site uSwitch.com, Brits could save a total of £859 million in interest repayments if they book their holiday using a credit card that is offering an interest free period on purchases. Furthermore, section 75 cover is not available to consumers paying for their holiday with a debit card, which could put their break at risk if the company goes bust in the current climate of financial uncertainty, the company warned. Head of personal finance at uSwitch.com Simeon Linstead remarked that making the wrong choice of credit card for a holiday could be "costly". "It is possible for people to reduce the amount they will pay in fees, or avoid paying them altogether, if they take a little time to research the credit card market before going away and make sure that they are packing the right plastic," he stated. Last week, Virgin Money suggested that some Brits are choosing to use prepay cards while abroad in an effort to control their spending.

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