Boomer Parents prove to be savvier money users on holiday than their millennial kids

London, July 2015: Only 42% ofyoung UK holidaymakershave used their debit card outside the country, despite new research from Visa Europe showing that using a UK issued debit card is usually cheaper than taking cash at the airport bureau de change[i].

Even though 80% of this age group say they prefer to use a debit card when paying for goods in the UK, Visa Europe’s 2015 Cross Border Spending research shows that international spending myths are rife among this group.

In contrast to millennials, 92% of baby boomer (55-64 year olds) holidaymakers have used their card abroad. This group are savvier spenders when overseas. Over half of millennials (53%) believe debit card fees abroad are higher than airport bureau de change fees, compared to 77% of baby boomers who know this is not the case.

The perceptions which millennials are holding on to are contradicted in a study by research firm Forward Thinking[ii], which highlights that using UK issued debit cards at ATMs or points-of-sale in another European country is usually cheaper than the airport bureau de change. It also found the same card behaviour is often comparable to using a high street bureau de change before the trip.[iii]

Overall, even though 79% of British travellers prefer using debit and credit cards when buying things at home, 62% have never used their debit card outside the country. Some travellers, however, are clearly already taking advantage of the security and acceptance of cards abroad; more than one billion card transactions were made by Visa Europe cardholders on purchases and withdrawals when travelling in 2014[iv].

Kevin Jenkins, Managing Director UK & Ireland, Visa Europe comments:

“Solely depending on cash in 2015 could cost people money. Misconceptions exist but in reality card payments and ATM withdrawals abroad are comparable to the high street and are usually cheaper than exchanging cash at an airport bureau de change before your holiday.[v]

“It’s a reality older holidaymakers are clearly heeding, leapfrogging younger generations and enjoying these savings overseas.

“We don’t need to worry as much any more about cash-only cafés and transport options. Visa cards are accepted at millions of locations in over 200 countries and territories[vi]worldwide, including nearly 400,000 ATMs in Europe[vii] alone, so travellers can access their money safely and securely, just as they would at home.”

Visa Europe holiday spending tips

As many Brits are now planning for the summer holidays for the whole family – here are Visa Europe’s top tips for making the most of holidays abroad and keeping finances secure:

Familiarise yourself: Look up the local currency and get an idea of how much the basics cost in comparison to what they cost at home – like a taxi from the airport or a cup of coffee.

You can look at Visa Europe’s competitive exchange rates here: www.visaeurope.com/making-payments/exchange-rates. Card issuer fees may vary

Download a travel-friendly app: A travel app can be the perfect companion to make life easier when you’re on the road. The new Visa Travel Tools app helps you to check local prices in your own currency with its currency converter and also has a handy ATM locator to make finding a cash machine at your destination quick and easy. The Visa Travel Tools app is now available to download from the Google Play and Apple App Stores.

Take less cash: Using a Visa card on holiday is the smarter way to spend abroad as you’re protected against fraud. With Visa cards accepted at millions of locations around the world, spending abroad shouldn’t be greatly different to how you pay at home. Just look out for the Visa logo in nearly every country in the world to help make the foreign, familiar

Get the best value: Keep in mind the cost of using your Visa card abroad will vary* but it is usually better value than the airport bureau de change and comparable to the cost of buying currency at a high street bureau de changeⁱⁱⁱ

Use the tools available to you: If you need cash then it’s more convenient to take it out locally, use an ATM locator and find out where you can safely and conveniently withdraw money – wherever you might be on holiday.

You can look at Visa Europe’s ATM locator here: www.visaeurope.com/making-payments/atm-locator

Keep it local: If using your card to make a payment or withdraw cash locally, you might be asked if you’d prefer to pay in the local or your home currency. Selecting the local option will usually give you the most competitive rates and avoid hidden fees. ***

Pay it forward:If you have any extra small change or foreign currency leftover from your break, why not donate it to a charity before leaving the country and put it to better use.

Make this year’s holiday the best yet. Don’t waste time or stress about exchanging currency before your holiday and simply plan to pay the familiar way. Pack your bags – and your Visa card and head off on the next great adventure. For more information visit www.visaeurope.com

ENDS

[i] Based on the Visa Europe funded FX Consumer Cost Analysis conducted by the agency “Forward Thinking”. Data was collected during the first week of December 2014 and again in early May 2015 and is based on debit card use at POS or at ATMs overseas as compared with travel money obtained at bureau de change pre-departure (online, high street or airport).

[ii] As above

[iii] As above

[iv] Visa Europe data 2014

[v] As above

[vi] https://www.visa.co.uk/products/travelwithvisa/

[vii]Link as above: Find an ATM. You can use your Visa card to withdraw money at nearly 400,000 ATMs across Europe.

*The cost of using your card abroad depends on your bank/card issuer

*** Fees may apply based on your issuing bank