Question: I''m going to Dubrovnik in Croatia. Do restaurants and shops charge in euros or kuna? If they are charged in euros and you use your debit or credit card, is there a commission charged for each transaction as for non-euro currencies?
Peter Kelly
Answer: Advice about how best to organise your holiday money for Croatia is often conflicting and confusing. Even though Croatia joined the European Union in 2013, and is committed in time to joining the single currency, at present the currency remains the kuna.
While plenty of places accept the euro, and some hotels quote rates in euros, I use only the kuna. .
Don''t acquire Croatian kuna in large quantities in the UK; you will get a worse rate than when you arrive. If you like to have a modest amount of foreign currency for incidentals when you arrive, then I suggest to go to your local post office and change 20 pounds or so into Croatian kuna. You won''t get a great rate of exchange, but it will be better than your UK departure airport -and it is commission-free, which is handy for small transactions like this.
Alternatively, just wait until you reach the arrival airport in Croatia and change there -though only a small amount, because Dubrovnik airport''s bureau de change does not offer good rates.
When you arrive in the city proper, you can identify the bureau de change (known locally as mjenjacnica) with the best rates for sterling. Some places charge commission and some don''t, so the sensible question to compare rates is How many kuna will you give me for 100 pounds?
Paying by card can be expensive in any foreign currency. While the conversion rates are usually reasonable, most credit and debit card issuers levy additional charges.
Keener rates are available for euros - to which the kuna is pegged -than pounds. So if you have some spare euros and do not intend to go to a euro country soon then you might as well bring them. But I don''t think it is worth changing sterling into euros and then into Croatian kuna - you pay two margins in the process.
The Independent