The strong pound is making the British feel wealthy abroad this summer - thanks to a surge in their spending power since last summer, in both the euro zone and the United States. American Express Foreign Exchange reckons Britons in the US have 15pc extra spending power in 2004, against a year ago. But, as Moneyfacts magazine pointed out recently, many Britons are unaware of wasting significant sums while on their travels. Says Samantha Owens at Moneyfacts: "Many of us do not realise that when we use credit cards abroad, the card issuer adds on a foreign usage loading. "This averages 2.75pc. It means that if we spend £1,000 on our credit card on holiday, we are charged £27.50. A foreign usage loading can be as high as 3pc. "You also need to remember that if you withdraw cash abroad, you usually pay a cash withdrawal fee averaging 2pc. Withdrawing £1,000 by credit card abroad can cost 4.75pc - or £47.50." Only Nationwide Building Society's Classic, and Liverpool Victoria's Visa do not charge a foreign usage loading. Most travellers take local currency to cover essentials on arrival, such as drinks and taxis. Travellers' cheques - usually replaced with a single phone call within 24 hours if they are lost or stolen - are an obvious safeguard. Credit cards, as mentioned, may be expensive to use. A Moneyfacts survey found that charges for currency and travellers' cheques vary widely. Providers charge up to 2pc commission, £5 minimum charges and £5.99 handling charges - but you avoid all three charges at these suppliers: * Sterling travellers' cheques: Clydesdale Bank, Lloyds TSB, Tesco, Yorkshire Bank (account holders only). * Non-sterling travellers' cheques: Bank of Scotland, Clydesdale Bank, Halifax, Lloyds TSB, Marks and Spencer, Post Office, Tesco, Thomas Cook. For account only at Yorkshire Bank. * Foreign currency: Bank of Scotland, Clydesdale Bank, Halifax, Lloyds TSB, Lunn Poly, Marks & Spencer, Post Office, Tesco, Thomas Cook. | 
Use our 
Fashion
Gardening