In this article, we discuss BST -- not British Summer Time, but Brilliant Savings Tips!
This article was originally sent to Fool readers as part of our Summer Lolly email series.
Why is it that we Brits have such an obsession with the weather? After all, we live on an island with a fairly temperate climate -- one which is rarely baking hot or bitterly cold. Then again, our weather can be very unsettled, which explains why a British summer is said to be `three fine days and a thunderstorm'.
Our fascination with the unpredictable British weather may explain why we look forward to our summer holidays with such relish. When we set off for far-flung shores, at least we know that we can look forward to a guarantee of good weather.
Nevertheless, before you head off on holiday, it makes sense to plan ahead before you go. Here are six tips to help you save money and ensure that your holiday goes smoothly:
1. Breakdown cover and car insurance
Although you may have fully comprehensive insurance in the UK, your car insurance is unlikely to provide much more than third-party cover when driving abroad. Thus, in an accident, other vehicles, property and individuals will be covered, but your own vehicle won't. So, before setting off, call your insurer to upgrade your cover by paying an extra premium. Likewise, your roadside-recovery policy is unlikely to apply outside of the UK, and will need a top-up. For more information, read Cut The Costs Of Motoring Abroad.
2. Car hire
The market for overseas car hire is best described as a minefield. Indeed, car-hire firms love to spring additional fees on drivers, such as rip-off `collision damage waiver' cover costing ten times the true rate. Never hire a car when you arrive at your destination. Instead, shop around online and book before you go, using sites such as carhiremarket.com and carrentals.co.uk. Learn more in Cut The Costs Of Your Summer Holiday.
3. Foreign currency
Last July, I warned Fool readers about the great foreign-currency rip-off in How To Avoid Holiday-Money Horrors. Very little has changed over the past year, with many high-street providers swindling holidaymakers through poor exchange rates, high commission fees and steep delivery charges. My tip is to do as I do by booking your holiday cash online at Travelex.co.uk and then collecting it from one of Travelex's many bureaux de change.
4. Plastic cards
In March, I revealed the best credit cards for overseas spending in Fantastic Plastic For Holidaymakers. Alas, almost all credit cards charge an extra `foreign currency commission' on purchases. Typically, this fee adds £27.50 to each £1,000 spent abroad. My Best Buy credit cards for use overseas remain those issued by Nationwide BS and the Post Office. Earlier this week, my Foolish friend Serena Cowdy revealed The Best Debit Card To Use Abroad, also from Nationwide BS.
5. Suntan lotion
According to Which? magazine, the cost and efficacy of suntan lotion/sunscreen varies enormously. Disturbingly, three sunscreens failed its SPF (sun protection factor) test. The real bargains among eight Which? Best Buys for 200ml bottles were Wilkinsons Wilko Sun Protection (£2.69), Asda Sun System (£3) and Sainsbury's Sun Protect Lotion (£3).
6. Travel insurance
Although one in four British holidaymakers goes abroad without it, I consider travel insurance to be essential, rather than optional. The good news is that Travel Insurance Is Getting Cheaper, but travel agents and tour operators still massively overcharge for this cover. So, be sure to shop around, rather than buying a policy on the high street.
Here's wishing you a terrific trip. Enjoy your well-earned break!