A study has found that 95 per cent of Americans give themselves a budget for their vacation but only 40 per cent change any currency before they travel, with most choosing to purchase their cash in the country.
And it is young travellers who are most financially prepared for their international trips, with 85 per cent spending below or within their maximum budget whilst 21 per cent of those in the baby boomer generation exceeds their budget.
James Wolanski, Managing Director of Global Foreign Exchange at TD Securities, said: "Travelling abroad is an exciting experience but knowing how to handle your finances is important for a smooth trip. It's a good idea to have some foreign currency with you before leaving the U.S. to cover immediate expenses such as transportation, food, tips, or local experiences.
"Travellers should speak with a bank to understand currency exchange rates availability and find out how much currency is worth in U.S. dollars. Use your financial institution as a trusted advisor to ensure you have the right mix of cards and cash to handle everyday spending needs."
It also revealed that more than half (51 per cent) of younger people choose their travel destination based on low or affordable exchange rates, whereas for those aged 35 and older, this just sits at 15 per cent.