Debt warning for spendthrift holidaymakers

Published by Edmund Greaves on 12 July 2018.
Last updated on 12 July 2018

Travellers duped by misleading holidays ‘deals’

Holidaymakers are flying into debt in order to afford a getaway, according to Clydesdale and Yorkshire Banking Group’s (CYBG) B banking service.

Research conducted by the banking provider found that a third of British holidaymakers find themselves in debt once they return home. CYBG found that, on average, holidaymakers will spend £1,175 on their trip plus a further £118 on pre-trip purchases.

The majority of this is spent on items such as holiday clothing, toiletries and sun cream.

More than half (57%) admitted putting their whole holiday cost on credit, while 53% don’t even save up to pay for flights.

Louise Hodges, head of consumer communications at B, says: “Holidays are something people find very hard to give up, and that’s understandable. The benefit of time away from the office or home is well documented, so getting away should be encouraged.

“What should be kept in mind, however, is the importance of sticking to a budget and not ignoring the reality of how to pay for that break. If, as our research shows, some people are relying on credit to afford household bills due to blowing the budget, there is a risk that all that unwinding on holiday could soon be undone when normal life resumes.” 

“Reducing holiday spend doesn’t mean reducing holiday fun. Simple, savvy habits like not getting currency at the airport (as it is invariably more expensive) and making sure your credit card doesn’t charge you on foreign transactions, lead to money-saving with zero impact on the holiday experience.”

Find out more about the best cards for overseas spending using the Moneywise best buy guide.

 

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"Holidays are something

"Holidays are something people find very hard to give up" Oh dear, we're rather out on a limb, having just managed to fit in a week away for the first time in nearly 2 & a half years. Have never seen a holiday as vital to life, if you live at a contented pace. Only one holiday in 47 years has been a two week one, as we both had jobs that no-one else did during our absence, so the hassle of getting away and catching up on return made anything more than a week more of a chore than a chillout. Now life is a 7 day weekend anyway with new surroundings after a move, that enable contentment without committing to the travails associated with modern day so called holidays.