Credit cards 'come into their own for impulse purchases'

Travellers are advised to make sure that they pack their credit card into their suitcase.

Credit cards can form a useful spending tool when away on holiday, it has been suggested.

Indeed, Barbara Drury points out that they "come into their own for large, unplanned purchases, like the Persian rug you fall in love with in a Turkish market" - going on to praise the effectiveness of such Aussie credit products when holidaymakers check into a hotel or hire a car.

In addition, their credit limit was deemed as being useful in times of an emergency.

However, Michael Cant, head of retail products for the Commonwealth Bank, tells the publication that in addition to a credit card, travellers should also take a pre-paid travel card and cash with them.

Australian banking guidance from News.com.au recently saw consumers advised that paying for goods via credit card at international airports can see them hit with "hefty" charges, as many terminals do not accept Australian dollars as a form of payment.

By Mark Hornby