Commenting on the Pound’s crash yesterday, Stephen Heath, Chief executive of travel money specialists FairFX.com, said: "Following a good week when the Pound started to look a little healthier against the Dollar, it came as a shock when by the close of trading yesterday the Pound had suffered its biggest one day fall since 1992.

"This was largely due to weak manufacturing and mortgage data fuelling fears Britain is facing a long and deep recession. Against the Euro, it was a similar story as Sterling lost four cents on the Euro.

"All eyes are now on the MPC as traders speculate another rate cut in the 100 basis point region is almost inevitable as policy makers try to revive the economy by any means necessary."

Tuesday 02 December 2008, 02:02pm

Tags: dollar, dollar exchange rates, dollar rates, euros, exchange rates, sterling

• 57 per cent of Brits to cut holiday spending

• Strong Euro puts summer sunshine breaks in jeopardy

• Regional airport foreign currency purchase swindle

The Great British summer get away is looking in danger. Credit crunched families planning to escape to sunnier climes will have to battle high inflation, the spiralling cost of living, a weak Pound against the Euro, and extortionate airport currency exchange rates - all before they even step foot on the plane.

It is little wonder nearly three in five Brits (57 per cent) have been forced to slash how much they pay out overall on their holidays, or at the very least reduce their expenditure while abroad over the year ahead, according to research* from pre-paid currency card provider FairFX.com.

Nearly 10% admitted the credit crunch and fear of recession meant they would have to cut how much they will spend on holiday. Also, more than half (55 per cent) felt forced to curb foreign expenditure because the cost of living is too much for them and outgoings have increased drastically.

Stephen Heath, Chief Executive of FairFX.com, said: “As the credit crunch continues to bite, and the cost of living spirals upwards, Brits have been forced to slash their holiday spending. Understandably, basic housekeeping costs are a bigger priority for families, but many people will be disappointed to have to cut back just when they could do with a little sun and relaxation.”

And already hard-up Brits are being fleeced when it comes to getting their foreign cash from the airport. Holidaymakers flying from Liverpool, Leeds, City, Bristol or Birmingham airports could be paying well over the odds for their spending money as these airports are the most expensive UK departure points for buying foreign currency at the moment.

FairFX.com’s league of the UK’s most expensive foreign exchange bureaux: 1= Liverpool, Travelex 1= Leeds, Travelex 1= City, Travelex 1= Bristol, Travelex 1= Birmingham, Travelex 6 Luton, ICE 7 East Midlands, Travelex 8 Newcastle, Travelex 9 Manchester, ICE 10 Birmingham, ICE

Stephen added: “Holidaymakers could be paying as much as 11 per cent more for foreign currency if they leave it until they get to the airport compared to organising beforehand.

“Brits who need to stretch their holiday money as far as possible due to the high cost of living and continued credit squeeze should think about using a pre-paid currency card. For example, they would be able to get seven to 11 per cent more for their Pound using a FairFX.com card compared to waiting and buying their foreign cash at the airport.”

Notes: Research carried out by Opinium Research LLP. Opinium Research carried out an online poll of 2,000 British adults between 18th and 22nd of April 2008. Results have been weighted to nationally representative criteria. www.opinium.co.uk ** FairFX.com’s Airport Tracker

Monday 14 July 2008, 06:03pm

Tags: airports, exchange rates, heathrow, interest rate, london city, luton, opodo

• Luton, Newcastle, Liverpool, Leeds, and City are UK’s most expensive airports for foreign currency purchase*

• Save 11 per cent on foreign currency by buying online

• Strong Euro makes summer sunshine breaks dearer

Credit crunched British families planning a break in the Spanish sunshine face a double blow this half term. Faced with a weak Pound against the Euro and extortionate airport currency exchange rates their holiday money might not stretch as far as hoped.

Brits flying from Luton, Newcastle, Liverpool, Leeds, and City airports could be paying well over the odds for their holiday money. Prepaid currency card provider FairFX.com has discovered these airports are the most expensive UK departure points for buying foreign currency ahead of the half term rush to sunnier climes.**

Travellers planning to head abroad over the summer half term holidays could be paying as much as 11 per cent more for foreign currency if they leave it until they get to the airport compared to organising beforehand.

FairFX.com’s league of the UK’s most expensive foreign exchange bureaux: 1 Luton, ICE 2= Newcastle, Travelex 2= Liverpool, Travelex 2= Leeds, Travelex 2= City, Travelex 2= Bristol, Travelex 7 East Midlands, Travelex 8 Birmingham, Travelex 9 Birmingham, ICE 10 Edinburgh, Travelex

Indeed, many travel money providers claim they offer travellers 0 per cent commission but, as the FairFX.com analysis shows, this hides the true margins they add to wholesale currency rates when providing foreign exchange for travel purposes.

According to research*** conducted for FairFX.com by YouGov three quarters (74 per cent) of travellers typically use cash when they spend abroad. Travel cash bought outside of the airport can also be overpriced. Most high street providers charge, on average, a five per cent premium. The one in four Brits who favour plastic (29 per cent with Visa, 25 per cent with a debit card and 22 per cent with MasterCard) will also be paying a premium to use their cards abroad, usually around three per cent.

Prepaid currency cards offer a different solution. They work just like a debit card but can be topped up via the internet or by text. The FairFX currency card offers rates for Euros and US dollars at less than one per cent margin above wholesale rates – i.e. giving all users ‘business’ level foreign exchange rates.

Stephen Heath, Chief Executive of FairFX.com, said: “Since the second half of April the Pound has gained over a 2.5 per cent against the Euro and lost over a 2.5 per cent against the Dollar. Despite the Pound’s current weakness we will hopefully see some better rates for holidaymakers travelling to the Euro-Zone in the next few weeks, but this is of little help to hard up Brits going away now.

“Most providers rely on the fact holidaymakers will be in a complete rush when preparing for a trip abroad, and either fail to organise currency before they get to the airport or opt to use costly credit or debit cards for their foreign spending. Our analysis shows to what extent this approach could be costing travellers dear.

“Whichever way you look at it UK travellers are losing out when they buy currency.”

How does the FairFX card work? The FairFX Currency Card is a MasterCard chip and pin enabled prepaid debit card. It differs from regular debit cards in two ways. Firstly, the cards are issued in either Euros or US dollars and secondly, funds must be loaded onto the card before they are available to spend. The currency to be loaded is obtained simply by logging on to www.fairfx.com and can be paid for by any sterling debit or credit card or internet bank transfer.

• All airport currency exchange rates are indicative of ‘walk up’ rates *See Airport Tracker above *Research conducted by YouGov Plc among 2,177 GB adults. Fieldwork was undertaken between 28th - 30th August 2007. The survey was carried out online. The figures have been weighted and are representative of all GB adults (aged 18+).

Wednesday 21 May 2008, 02:48pm

Tags: airports, cash abroad, currency, dollar, exchange rates, heathrow, holiday, london city, luton, opodo, travel money

Commenting on the Pound’s weakness against to Euro, Stephen Heath, Chief Executive of FairFX.com, said: “With the Pound at a record low against the Euro Brits looking forward to a summer in the sun are faced with a costly dilemma when it comes to getting their holiday money.

“Given the current exchange rate volatility and further economic uncertainty to come, Brits could be best off buying their travel money now before the Pound weakens further. They can cut their losses even more by searching out the best exchange rate and not paying unnecessary charges.

“Although the exchange rate is poor now, it could deteriorate further so why not lock-in at today’s rates? A pre-paid currency card will enable Brits to do all of the above while offering the most cost-effective and secure way for holidaymakers to make the most of their cash.

“Travellers can buy a pre-paid currency card in a quick and simple online purchase then simply load it up with as many Pounds as they expect to spend abroad. Not only will this allow them to ‘lock-in’ their currency purchase at today’s exchange rates but will also mean they don’t get overcharged as they would if they bought Euros at an airport or high street bureau de change.

“In addition, pre-paid currency cards work like a credit or debit card but are not subject to the same sneaky charges when withdrawing cash from foreign ATMs or using credit or debit cards when abroad.*

“Prepaid currency cards are the modern way for consumers to spend money abroad. They are convenient, safe and in the case of the FairFX card**, offer some of the best exchange rates around.”

Thursday 10 April 2008, 05:01pm

Tags: euro, exchange rates, lock in rates, opodo, pound, pound weakness, strong euro

• Bristol, Luton, Birmingham and London City are UK’s most expensive airports for foreign currency purchase

• Save 11 per cent on foreign currency by buying online

Brits flying from Bristol, Luton, Birmingham and London City airports could be paying well over the odds for their holiday money. Prepaid currency card provider FairFX.com has discovered these airports are the most expensive UK departure points for buying foreign currency.*

FairFX.com’s research reveals British travellers planning to hit the beach or slopes this Easter holidays could be paying as much as 11 per cent more for foreign currency if they leave it until they get to the airport compared to organising beforehand.

FairFX.com’s league of the UK’s most expensive foreign exchange bureaux: 1= Travelex, Luton 1= Travelex, Bristol 1= Travelex, London City 1= Travelex, Birmingham 5= Travelex, Leeds
5= Travelex, Liverpool 7= Travelex, Belfast 8 ICE, Manchester 9 Travelex, East Midlands 10 Travelex, Newcastle

Indeed, many travel money providers claim they offer travellers 0 per cent commission but, as the FairFX.com analysis shows, this hides the true margins they add to wholesale currency rates when providing foreign exchange for travel purposes.

Over the last 15 months the average profit margin on currency bought at UK airports is around seven per cent. However, while Heathrow typically offers the cheapest currency, the figures show customers using regional airports like Luton, Birmingham, Manchester or Bristol could needlessly be paying as much as 11 per cent for their ‘0 per cent commission’ currency.

According to research** conducted for FairFX.com by YouGov three quarters (74 per cent) of travellers typically use cash when they spend abroad. Travel cash bought outside of the airport can also be overpriced. Most high street providers charge, on average, a five per cent premium. The one in four Brits who favour plastic (29 per cent with Visa, 25 per cent with a debit card and 22 per cent with Mastercard) will also be paying a premium to use their cards abroad, usually around three per cent.

Prepaid currency cards offer a different solution. They work just like a debit card but can be topped up via the internet or by text. The FairFX currency card offers rates for Euros and US dollars at less than one per cent margin above wholesale rates – i.e. giving all users ‘business’ level foreign exchange rates.

Stephen Heath, Chief Executive of FairFX.com, said: “Whichever way you look at it UK travellers are losing out when they buy currency. Most providers rely on the fact holidaymakers will be in a complete rush when preparing for a trip abroad, and either fail to organise currency before they get to the airport or opt to use costly credit or debit cards for their foreign spending. Our analysis shows to what extent this approach could be costing travellers dear.”

How does the FairFX card work? The FairFX Currency Card is a MasterCard chip and pin enabled prepaid debit card. It differs from regular debit cards in two ways. Firstly, the cards are issued in either Euros or US dollars and secondly, funds must be loaded onto the card before they are available to spend. The currency to be loaded is obtained simply by logging on to www.fairfx.com and can be paid for by any sterling debit or credit card or internet bank transfer.

See Airport Tracker above *Research conducted by YouGov Plc among 2,177 GB adults. Fieldwork was undertaken between 28th - 30th August 2007. The survey was carried out online. The figures have been weighted and are representative of all GB adults (aged 18+).

Friday 28 March 2008, 10:21am

Tags: airports, cash abroad, currency, exchange rates, foreign, heathrow, holiday, london city, luton, opodo

• Last year Brits wasted £1.8 bn when spending abroad

• 56 per cent of travellers think foreign spending charges are unfair

Brits nipping off to NYC for a bit of Christmas shopping or jetting off to soak up some winter sun should be warned travellers wasted £1.8bn* when spending abroad in the last year.

Research conducted by YouGov on behalf of prepaid currency card provider FairFX Plc revealed Brits spent as much as £20bn cash and £10.3bn on credit and debit cards on foreign trips in the past 12 months.

However, sneaky charges imposed when withdrawing cash from foreign ATMs or using credit or debit cards mean Brits could unknowingly be wasting up to eight pence in every pound of their well-earned holiday cash. Indeed, the survey showed more than half (56 per cent) of travellers think these charges are unfair and one in 10 (11 per cent) find them confusing.

The research marks the launch of a unique new travel money service from FairFX Plc. The service is based around a brand new MasterCard card, the FairFX currency card, which is available in Euros and US dollars.

Typically, consumers buying currency before travel at the airport or on the high street, or using their bank’s debit or credit cards overseas may believe they are getting ‘0 per cent cost’ or ‘0 per cent commission’ foreign currency. The reality is they are paying hidden costs by way of the poor rate of exchange they receive. The FairFX currency card is the first prepaid card to tackle this by providing a simpler, better deal for consumers.

Unlike a traditional debit or credit card FairFX offers greater fraud protection because the potential for loss is limited to any unused balance on the card – good news considering card fraud abroad has risen 126 per cent in the last year.**

Stephen Heath, Chief Executive of FairFX Plc, said: “Travellers get hit every way they turn when spending abroad. Either they have to rely on carrying unwieldy and unsecured amounts of cash, suffer punitive charges for withdrawing cash from ATMs or use a debit or credit card which not only inflicts more hefty charges but also subjects them to a growing risk of fraud.

“Prepaid currency cards are the modern way for consumers to spend money abroad. They are convenient, safe and in the case of the FairFX card, offer some of the best exchange rates around.”

The research also analysed how British travellers spend their holiday money. Handy cash is the preferred payment method for 74 per cent of Brits abroad, with 76 per cent saying they choose it for its convenience. 29 per cent spend on a Visa card, 25 per cent on a Maestro / Switch card and 22 per cent use a Mastercard.

With the growing use of prepay systems such as the Barclaycard One Pulse, more consumers than ever are expected to use prepaid currency cards for their holiday spending. FairFX’s research showed 40 per cent of Brits are prepared to consider using such a card.

Heath added: “We want to revolutionise the way currency is bought in the UK and launch a completely new proposition that is convenient and transparently-priced. Whatever people’s travel habits we expect a prepaid currency card will become the payment method of choice for savvy British travellers.”

FairFX offers an instant and simple-to-complete online application process. FairFX’s unique and innovative technology allows users simply to pre-load their card with a desired amount and use it when abroad as they would any debit card. Application and loading is all conducted online and users can check their balance whenever and wherever needed. FairFX will soon launch mobile top-ups via SMS.

Monday 19 November 2007, 10:52am

Tags: abroad, cash, exchange rates, fraud protection, opodo, travel money, withdrawing cash