High ATM commission charges can leave holiday makers with a headache

October 26th, 2009 Written by

Many UK holiday makers admit to spending far more than they expect to when travelling abroad. New research shows that only forty-eight percent of travelers actually bother to calculate the amount of money they might spend whilst on a foreign holiday. First Rate Exchange Services, who are responsible for the research, say that the cost of the use of foreign ATM machines is often something that holiday makers fail to budget for when planning their trip.

First Rate Exchange Services say that last year around £7.8 billion was taken out of ATMs in foreign countries by holiday makers from the U.K. That means £326 million was paid out in bank charges, commission and advance fees. Many people don’t realize just how high the charges can be when using an ATM abroad. On the average withdrawal of £108 customers will pay around £6 if they have used their credit card for the transaction or £5 if they use a debit card. With charges like this First Rate Exchange Services said it wasn’t hard to see why a third of those polled said that they overspent dramatically on their holidays.

Most careful with their money are apparently the Welsh with Londoners topping the poll of most likely to withdraw all their cash from foreign ATMs.