Why you should never exchange currency at the airport and other ways to save

Aussies love to travel and new research suggests a third of holidaymakers will continue to press ahead with plans for an overseas trip despite the declining value of the Australian dollar.

International travel has become more expensive for Australians in some popular countries including the UK and the US prompting many Aussies to reconsider their travel plans.

New data from Compare the Market shows two-thirds of respondents said the low Aussie dollar had affected their plans in some way.

A little over a fifth of those said they won't travel at all this year, while the others will be changing aspects of their trip due to the weaker dollar, such as holidaying locally instead.

But the data shows it won't deter everyone. There are also some great ways to save on your holidays, including getting the best from your currency exchange. But more on that later.

Older travellers are the least likely to be put off by having to pay more for their holidays, with over 40 per cent of Baby Boomers saying their international travel would go ahead as planned.

Compare the Market's Chris Ford said an international holiday was a calendar highlight for many people and despite a "bleak outlook in terms of currency conversion" many Aussies would be forging ahead with their overseas plans.

"In some cases, people pre-book their holidays months or years in advance, so there's a good chance that some Australians may have largely avoided the sting of the recent challenges to the Aussie dollar," Mr Ford said.

"However, they'll probably notice that their spending money doesn't go as far if they haven't already locked in a reasonable currency conversion rate."

UTS Institute for Public Policy and Governance industry professor and chief economist, Professor Tim Harcourt, told Explore in April he didn't think currency fluctuations would stop Aussies travelling.

His advice was to "hedge [your bets] where you can with exchange rates" and "shop around for discounted flights".

He also suggested purchasing a money card from the bank and locking in your desired currency when it is at a high rate.

Mr Ford from Compare the Market recommended converting currency before you get to the airport where it is "almost always" a worse deal. Compare currencies well in advance and lock in a good price when you see it, he said.

And while three per cent of survey respondents said they would skip out on travel insurance to save money, Mr Ford advised against it.

"Travel insurance can protect you against financial losses that arise from unforeseen scenarios and medical emergencies, so it's worth considering if the worst were to happen on your trip," he said.

His other money-saving recommendations include avoiding the tourist traps, considering public transport, opting out of the bells and whistles like buffet breakfasts, and embracing the layover for a cheaper air fare.

"Indonesia and Thailand are also still really affordable, making them solid picks for families, couples or solo travellers who want big adventure without the big price tag," Mr Mitchell said.

He said though the Aussie dollar has fallen slightly against the New Zealand dollar it is still a "great pick for stretching your travel budget further".

Intrepid has also seen a 108 per cent growth year on year in bookings from Aussie travellers to Central Asia, with trips to the "Stans" (Turkmenistan, Uzbekistan, Tajikistan, Kazakhstan and Kyrgyzstan) becoming "very popular", with meals to guided tours "refreshingly affordable".