PAY WITH PLASTIC OR CASH

In Europe, day-to-day spending can be more cash-based. So when I'm there I rely mostly on cash, though I appreciate the convenience that credit cards offer.

For me, it all comes down to maximising ease and minimising fees. I pay for as much as possible with cash, using a bank that charges no or low fees for international ATM transactions, and withdrawing large amounts at each transaction.

I never exchange pounds for foreign cash at a currency exchange booth, and I don’t bother getting euros, or whatever prior to my trip. When I arrive in Europe, I head for an ATM at the airport, load up on cash, and keep it safe in my money belt.

UK credit cards work throughout Europe (at hotels, larger shops and restaurants, travel agencies, car-rental agencies, and so on); Visa and MasterCard are the most widely accepted. American Express is less common. It’s a good idea to bring an extra card as a backup (especially if you’re renting a car and using your card to cover insurance).

I use my credit card sparingly: to book reservations by phone, and to pay for things near the end of my trip (to avoid another visit to the ATM). Cash is the best — and sometimes the only — way to pay for bus fare, taxis, and local guides.

Because merchants pay commissions to credit-card companies, small European businesses (B&Bs, cafés, gift shops, and more) often prefer that you pay in cash. Vendors might offer you a discount for paying with cash, or they might not accept credit cards at all.

Having cash on hand can help you avoid a stressful predicament if you may find yourself in a place that won’t accept your credit card.

Remember, you’re on holiday. Don’t get stressed about money in Europe; just spend it wisely.