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ritish families heading to the sun for two weeks this summer will face a depressing sight when they look at the currency tables. This time last year, £1 bought about €1.30 – almost 12 months after the Brexit vote that same pound buys just €1.15. For those who have not retreated and opted for a “staycation”, the annual break in continental Europe could now cost significantly more.So what are the best ways for holidaymakers to save money and avoid unnecessary expenses?ADVERTISINGTravelex to withdraw Supercard due to ‘high costs’ Read more[/url]The best travel moneyEven with the poor rates now available, there is a huge variation in what you can get for your pound, depending on where you exchange.A study by consumer magazine Which? showed this can mean a difference of €80 on £500. That £500 would get an average of just €490 in Moneycorp in Stansted Airport, while at Best Foreign Exchange it is €570.Using debit cards abroad typically costs between 2% and 2.99% per transaction. A cheaper way is via prepaid cards, such as Monzo, some of which have no fees for spending or for making cash machine withdrawals. “The new generation of prepaid cards offer the cheapest way of spending abroad. But they’re not suitable if you need to hire a car or get a large amount of cash,” says Gareth Shaw of Which?.Plan for currency fluctuations by pre-ordering – with Moneycorp you can order 14 days in advance without having to pay up front.Car rentalsAdvertisementBook early and be careful of the add-ons. By ordering a car rental early there will be a wider array to choose from, and the prices will almost certainly be cheaper than if you land and pick a vehicle from a local operator.An analysis from price comparison website TravelSupermarket shows a car can be hired in Malaga for £127 if booked in advance of a July pick-up, compared to £412 if paid for at the location.Spokesperson Emma Morris warns against paying upfront for petrol, as this puts the driver at risk of inflated fuel charges, and to be wary of attempts by rental firms to force people into upgrades by saying the car they ordered is not available.Paying by credit card gives the consumer some protection, says Stephanie Corbett of Comparethemarket.com. “Section 75, one of the most important parts of the Consumer Credit Act, protects customers if they suffer from a breach of contract or misrepresentation when buying goods or services worth more than £100. If your car rental company experiences problems and you can’t get the vehicle, the rental company and your credit card company will be liable.”Unnecessary expense can be spared by being wary of add-ons such as satnavs and child seats. “Your phone can easily be turned into a satnav by downloading apps to use offline. Car seats can usually be hired at airports for far less than car rental firms, or you could bring your own – most airlines allow you to without charge, though do check,” says Sally Francis of Moneysavingexpert.com.Travel insuranceThe average travel insurance policy runs to 26,392 words, so consumers can be forgiven for not reading every bit of fine print. Not knowing the finer details can, however, lead to problems at a later stage if a claim is made.Advertisement“Failure to read them means many people may assume they are covered in all instances when they are, in fact, not. Check in particular that your policy covers you for missed and delayed flights, and for valuables. There’s not much point claiming for the theft of an expensive camera if the policy only covers valuables worth up to £100,” says Corbett.According to TravelSupermarket, the minimum level of cover to look for is £2m for medical expenses, £1m personal liability, £3,000 for cancellations, £1,500 for baggage and £250 in cash.Morris says holidaymakers should not rely on the European Health [url=https://www.theguardian.com/money/insurance]Insurance Card, which gives the right to use state-provided healthcare during temporary stays in other European Economic Area countries or Switzerland. “They only cover some medical bills and, even then, it is not on a par with our NHS. You may still end up with an expensive bill for many treatments and have no cover for other problems,” she says.Beware Goldcar – the hire firm that sells cover customers don't want Read more[url=https://www.theguardian.com/money/2016/sep/11/goldcar-travel-insurance-car-hire-sales-damage-waiver][/url]Excess car insuranceA natural hesitation in hiring a car abroad stems from the risk of having an accident and having to deal with the myriad of bureaucracy and expense that follows. While insurance typically comes with a vehicle, excess charges – the amount of the claim the driver has to pay – can be £2,000.Adding an excess waiver policy means the driver is protected from some, or all, of this charge. Buying the insurance from a rental company can be many multiples of the cost compared to some independent providers.“Excess insurance can provide extra piece of mind, should your vehicle suffer accidents or damage which aren’t your fault. However, it can be more cost efficient to shop around for a specialist insurer, as paying via your rental company is likely to be far more expensive,” says Corbett.Morris puts the cost at £3 a day if bought in advance, compared to £20 if bought at the counter.Bringing your own car abroadMost insurance policies will not cover motorists for driving overseas, says Corbett, but may cover for third-party liability in the EU. “You may have to pay extra to have comprehensive cover extended. Many insurers will require you to tell them if you are planning on taking your car abroad,” she says.Be aware of the nuances of the law in the country in which you are travelling. “In France you must have an unused breathalyser in your vehicle, while in Austria and Croatia it is compulsory to have a first-aid kit,” Morris points out.Best bank accountsAdvertisementBuying separate travel insurance may not be necessary if you have a bank account with the benefit attached to it.Nationwide’s FlexPlus current account, at £10 a month, includes worldwide travel insurance as well as car breakdown cover and mobile phone insurance.Personal finance commentator Andrew Hagger says it has been his “best buy” in the market for the past four years.“The travel insurance policy is a comprehensive worldwide multi-trip policy covering the whole family and includes winter sports, golf equipment and travel disruption cover, and is available for customers up to the age of 75,” he says.“Some people make the mistake of taking out insurance a week or so before they travel,” he adds. “By doing so, they are missing out on valuable cancellation cover should anything go awry between the time booked and the date of the holiday – typically, anything between three and nine months.”Another good buy is Halifax’s Ultimate Reward Account at £15 a month (£12 if you pay in at least £750 a month) offering a comprehensive worldwide multi-trip policy.ROAM FREE
There is at least some relief for holidaymakers faced with mounting bills - there will soon be free mobile phone roaming across Europe, meaning that people will pay the same for using their phone in Europe as they would at home, no matter what EU country they happen to be in.“From 15 June, all the calls, texts and data you use in our Europe Zone will come out of your usual UK allowance,” says O2 in a text to customers this week.The change is a result of moves from 2013 to make a single market for electronic communications within the EU and abolish charges.However, be aware that you may still be charged to roam in some non-EU countries like Turkey, Switzerland and Norway, although many operators have included these in their free packages. So check with your operator before you go about what countries are included.