Almost half of Irish credit card users believe they have to pay a foreign exchange commission when paying by credit card in other euro-zone countries, according to a survey of Irish credit card users by MasterCard Europe.

There is now no foreign exchange commission payable in the euro zone, but when asked how much foreign exchange commission card users would typically have to pay when making a purchase by credit card in the euro zone, most people said this was around 7 per cent.

Some 27 per cent of the 500 people questioned by telephone said they withdraw cash from overseas cash machines, up from 21 per cent before the euro.

Since the implementation of the EU Cross-Border Payments Regulation last July, people travelling abroad should not have to pay any more to withdraw cash from ATMs or make card payments than they do at home.

The MasterCard survey also showed that paying by credit cards when travelling in the euro zone has increased in popularity over travellers' cheques since the introduction of the euro.

Some 53 per cent of those surveyed use their credit card, compared to 48 per cent before the euro.

Now only 6 per cent of people take travellers' cheques with them when visiting other countries in the euro zone compared to 28 per cent before January, according to Mr Brian Moore, MasterCard Europe's general manager for the UK and Republic of Ireland.

"Being able to keep track of spending and compare prices has clearly made a big difference to Irish travellers in the euro zone," Mr Moore said.

The credit card issuer is trying to convince more travellers to use plastic to pay for goods and services while on holiday; however, cash is still the preferred method of payment for most Irish travellers.