Getting the most out of your travel money is often going to be the last thing on your mind when preparing for a holiday. But research from the consumer watchdog revealed that buying your holiday money online and in advance could save you a good £50 a trip. Just don't leave it to the last minute and end up getting stung by bad rates and hefty commission fees at the airport.

The consumer watchdog concluded, after comparing the currency deals from 22 different providers, that a travel agent's online service had the best euro rates and dollar rates. For counter services, supermarkets offered the best deals. But experts are keen to point out that some areas of these services proved more expensive than others, so it's important to shop around.

The best rates for you will depend on the size of the currency deal that you're after. For large currency conversions it is strongly recommended that consumers take the online route, as savings increase with the amounts converted. But for average amounts these savings can be impacted by sizable delivery charges and unfriendly terms.

Exchange rates are only the first of a number of points to consider. The amount that ends up in your wallet will potentially be subject to further costly charges and conditions that aren't always made clear. Some firms won't deliver cash to business addresses, so you could end up having to wait at home. Plus, the FSA and Financial Services Compensation Scheme do not cover currency exchange so you could more easily end up out of pocket.

These veiled but important points make it that much more important to buy from a reputable firm so that you don't fall victim to fraud. There are potential conversion hazards at every turn, but researching alternatives to your bank's option could end up saving you a lot more than you realised. Remember, they have no incentive to offer currency deals - they're the lazy option.