According to Saga, EU commission rates levied for purchases made outside the UK can be as high as 2.75 per cent.

Certain credit cards offer low or zero per cent foreign currency loading charges, so it can certainly pay to shop around to find the best card for your needs, Saga advises.

Saga also warns credit card holders that some companies order the allocation of payments so that transactions accruing the most interest – such as those made abroad – are paid last, ensuring that card holders are charged the maximum level of interest in the meantime.

“Choosing a credit card which has appropriate benefits for your lifestyle can make a big difference to the interest you pay,” said Andrew Goodsell, chief executive of Saga.

Financial services information company Defaqto found last week that British travellers spent a total of £30 billion on charges for using their credit cards abroad last year, with conversion charges levied at up to 2.75 per cent.

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