Brits planning villa holidays in Spain or golf holidays in Portugal this year could benefit from the rise of prepaid travel cards.

Holidaymakers could save money on exchange rates and benefit from various discounts, according to Global Prepaid Exchange.

Kevin Harrington, managing director at Global Prepaid Exchange, says the cards are a fairly new concept.

He said: “The exciting thing from a traveller’s point of view is that, if you lose the card you can stop it and you’re supplied with a free emergency card straight away.

“It’s more convenient than a traveller’s cheque.”

Companies like Virgin are offering a range of discounts with pre-paid credit cards, he added.

The cards only have access to a prepaid amount, with no link to current or savings accounts, according to the Global Prepaid Exchange.

Escape Travel Money’s card allows holidaymakers to dodge cash machine charges and fees for using the card in stores or restaurants.

The company’s pre-paid MasterCard can be used in more than 30 million locations worldwide.

Posted by Megan Willis