$ rate using your card abroad for those who have already bee

[steruth]

Hi

Just wondering as speaking to my bank on the phone re the charges for using your card abroad ( bank )
There is a 2.75% charge for exchanging and £1.50 per transaction, but the lady said the dollar rate is much better using your card that exchanging here in the uk
Has anyone been quite recently and know the difference they received in the dollar rate compared to the uk, do you know roughly the two dollar rates at the time.

I know it is supposed to be better, but this lady went in June and said there was a significant difference.
Thank you
x

[babybelle]

I've done this previously and yes it is expensive (think it was £1 .50 per transaction plus 2% at the time) but the rate was a good bit higher.

I only lifted large denominations so used it infrequently. Wouldn't do it too often but it was ok for a couple of transactions

[smelli]

I will report when i get there in a few days now.

We have Nationwide cards and only get 1% charge and a good exchange rate.

We take a few dollars to start us off then just buy and withdraw from ATM's when we need to. Works for us.

[steruth]

The lady told me the rate was higher and you dont notice the charges then as the better rate?

thanks for the reply, I have used it myself before abroad but that long ago i cant remember ... lol

[John]

Your bank should give you the bank interchange rate when converting your dollar to pounds, this usually works out around one cent better than the tourist rate, so we are not talking huge amounts here. I opened up a nationwide flex account for my last trip, at that time they didnt charge any fees although I believe they now do. I would suggest opening up another current accoutn that does not charge, but looking at your countdown you won't have time.

Don't just rely on the one card though, it can get lost/stolen/blocked - J.

[UniEagleX]

check out the article on Money Saving Expert Site, which covers cards abroad.

moneysavingexpert/tra...p-travel-money

I find Martin's advise to be a great help.

[lausan]

There are four main charges that apply… From martin Lewis

A 'Load' on top of the Exchange Rate (Debit and Credit Cards).

While exchange rates change daily, what you get always depends on the ‘Visa/Mastercard wholesale rate'. It's about the best exchange rate possible, as it reflects currencies' real interchange value.

This should mean more Euros, Dollars or Costa Rican Colons per pound, but unfortunately almost all cards secretly add a ‘load', an extra charge usually of 2.75%. So the higher the ‘load' the worse the exchange rate you get. This means £100 worth of Euro spending costs you £102.75. Worse still, it isn't broken down on statements so you won't notice .

Technically there are two types of loading on cards.

The Issuer Fee is the load Visa adds itself, which has a standard setting of 0% inside Europe and 1% for the rest of the world.

The Optional Fee is added by the card provider, as its cut of the currency conversion. This can be split and altered depending on each worldwide region.

Thus for a card which has a standard flat loading of 2.75% everywhere, the load is set at 2.75% within Europe and 1.75% outside. Whereas for a card (like Nationwide) which is 0% everywhere, it doesn't add an optional fee and absorbs the outside-Europe issuer fee within its own costs.



Cash Withdrawal Charges (Debit and Credit Cards)

Withdraw money from an overseas cash machine and the card provider will add a fee, usually around 2.5% of the amount withdrawn with a minimum of, around £3. Many people are aware of this charge for credit cards, but it's important to note it applies to most debit cards too.

Many overseas banks, especially in the USA, also charge an additional fee for withdrawing cash. Little can be done about this, except trying a few different banks to find the cheapest. Thus taking larger amounts out to cover a longer period is cheaper than lots of small withdrawals, though do ensure your cash is stored securely.

A Penalty for Spending (Debit Cards only).

Rather sadly, a few card providers have decided to take profiteering from holidaymakers up a level. Spend on a Halifax, IF, RBS, NatWest or Lloyds TSB debit card and you'll pay a fee each and every time, e.g. Halifax adds £1.50 per transaction.

This means that the normal ‘paying on the card's cheaper than making withdrawals' rule is defeated for these cards, so withdraw a large cash lump instead as it's cheaper. See the Holiday cards from hell section for more.

Unexpected Interest Charge (Credit Cards only).

Normally repay a credit card in full at the end of the month and you don't pay any interest. Yet withdraw cash and even if it's paid off in full, many providers still charge interest, often at a higher rate than spending e.g. Halifax's One card charges 9.9% for spending, but 23.9% for withdrawing cash.

While this isn't exclusive to withdrawing cash abroad, in the UK it's rarely noticed as credit card cash withdrawals aren't common. Those who don't pay off in full will, of course, always be charged interest.

Holiday cards from HELL

Halifax Debit Card
Spending penalty: £1.50. Exchange load: 2.75%. Cash Withdrawal fee: £1.50

Lloyds Debit Card
Spending penalty: £1. Exchange load: 2.99%. Cash Withdrawal: 1.5% min £2 max £4.50

IF Debit Card
Spending penalty: £1.50 Exchange load: 2.25%. Cash Withdrawal fee: £1.50 or 1.5%

RBS Debit Card
Spending penalty: £1.25. Exchange load: 2.75%. Cash Withdrawal fee: 2% min £2 max £5

NatWest Debit Card
Spending penalty: £1.25. Exchange load: 2.75%. Cash Withdrawal fee: 2% min £2 max £5

Abbey Debit Card
Spending penalty: £1.25. Exchange load: 2.75%. Cash Withdrawal fee: 1.5% min £1.99

[steruth]

Thanks everyone , unfortunately i do have half my spending going in half way through my hol so i have to use my card !

but i will try and use it wisely, i think it is best to draw the max cash off per day so only incurring the £1.50 charge less frequent.

THanks

[Guest]

We use a CC alot in the states. We have post office one that doesn't charge you for using it and the rate is always better than the one you get for currency.

We still take money though (especially in a downward market) as it's safer and easier to budget.

[Harry]

We are off in 2 weeks time .. we'll be taking $1,000 and the rest will use a Nationwide Credit card... always a far better rate.