Shop around for the best travel money rates

Holidaymakers who are planning to head abroad have been urged to shop around in order to find the best foreign exchange rates rates.

Chief executive at the Australian Bankers' Association Steven Munchenberg believes Aussies who fail to explore their options are likely to be hit with sizeable fees, National Features reports.

He suggested that some travel credit cards carry significant charges, leaving tourists with far less money to spend than they should have.

As well as card charges and currency conversion fees, Mr Munchenberg added that many banks issue high rates for using ATMK machines in foreign countries.

"I went travelling recently and I found when I went to an ATM in the US I was paying close to $12 every time I got out $200," he was quoted as saying.

The UN World Tourism Organisation recently predicted the demand for overseas travel money to grow sharply all around the world, as up to one billion people will head abroad in 2012.