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Daily Mirror
Daily Mirror
Business
James Andrews

Martin Lewis explains why you might need to buy all your holiday money today

The pound is as strong as it's been in years right now - and it's all thanks to the general election .

But Martin Lewis has warned that this means if you don't get your holiday money purchase in now, and things go wrong on Thursday, you might well miss out on the chance.

"Currently £1 buys €1.18," Martin told readers of the weekly MoneySavingExpert.com newsletter .

"Being straight, it's because the markets seem to have factored in a Tory majority, and all that implies, including a likely Brexit deal."

But if we've learnt anything in the past few years it's that predicting elections is a mug's game.

And that means rates could be about to plummet.

"If they're wrong, and uncertainty increases, the pound will likely (no promises) fall," Martin explained.

"Either way, those travelling soon and worried about fluctuations (who don't have a crystal ball), may want to buy soon-needed currency now, or hedge your bets and buy half now and half when you travel."

(Getty Images/Cultura RF)

The reason for the pound to be so high right now is simple - markets hate uncertainty.

And for three years we've either had no idea what Britain will look like post-Brexit, or no clear way to get a deal through Parliament.

Were the Conservatives to win a majority, that deadlock looks like it might finally end.

"While the markets are - rightly or wrongly - generally anti-Brexit, I suspect this result is seen as a soft positive, as it'd end some uncertainty (which they don't like) and reduce the short-term chance of a no deal (which they also don't like)," Martin explained.

(Getty Images/Cultura RF)

The good news is that Martin also had a plan to make sure you could lock in today's rates now, in case the election goes differently to how bookies are predicting.

"A few bureaux let you book rates for collection 7-14 days ahead and le t you cancel it for free or for £10," he explained.

"So if rates worsen, you're up; if the rate gets better, just cancel and buy at the new rate. The negative is that these generally aren't the cheapest bureaux."

As for where to go to get the best rates, he pointed readers to MoneySavinExpert's TravelMoneyMax  Holiday Money Comparison tool to help with the search.

You can also use a pre-paid card to lock today's rates in now, Martin added.

" You load these cards up with cash, and then exchange to the currency and it's the rate on the day you do that counts," he said.

As to where's best, Martin said Revolut  gives "near-perfect rates on euros and dollars on weekdays"  it's also free for newbies if they sign up using the link the MoneysavingExpert Top Prepaid Cards article.

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