£ vs € and when to get my holiday money.
Discussion
Ok apologies for the possibly daft post but I’m going to be changing £4k for a euro trip.
Trip isn’t until August but am I correct in thinking that the £ will now only keep falling until our EU departure date?
It was 1.18 only a few weeks ago. It’s 1.12 now. So do I buy now or are there any likely factors that could bump it back up a bit?
I am thinking of getting a post office credit card instead for the bulk of it but I need to look into the exchange rates on using that. Eg if I spend 4000€ abroad how much will I owe when I come back and settle it in £.
I know it’s a “how long is a piece of string” question but I’m just wondering what you more regular/experienced travelers and money guys think.
And yep it’s only a few hundred € difference but better in my pocket than theirs.
Thanks in advance.
Trip isn’t until August but am I correct in thinking that the £ will now only keep falling until our EU departure date?
It was 1.18 only a few weeks ago. It’s 1.12 now. So do I buy now or are there any likely factors that could bump it back up a bit?
I am thinking of getting a post office credit card instead for the bulk of it but I need to look into the exchange rates on using that. Eg if I spend 4000€ abroad how much will I owe when I come back and settle it in £.
I know it’s a “how long is a piece of string” question but I’m just wondering what you more regular/experienced travelers and money guys think.
And yep it’s only a few hundred € difference but better in my pocket than theirs.
Thanks in advance.
Thanks Maz,
I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
Dont get 4k of cash out! Sod travelling with that amount of money. Get a credit card with 0% commission overseas and a debit card with commission free withdrawal overseas. Both will use the visa/Mastercard exchange rate which will be better than you can get changing your cash.
I have a nationwide flexplus debit card and select credit card which both offer these services, both in Europe and worldwide. There are many many similar products on the market.
I have a nationwide flexplus debit card and select credit card which both offer these services, both in Europe and worldwide. There are many many similar products on the market.
marky911 said:
Thanks Maz,
I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
You can pre-load the Clarity card in advance or make a payment the same day you take the money out to minimize the interest. The APR is annual so for a month the interest (if you don't pre-load/pay it off as you go) is buttons for the convenience you get.I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
marky911 said:
Thanks Maz,
I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
I think he's meaning use the Clarity card for paying for things and the occasional cash withdrawal when you are there. Not to use it for withdrawing 4,000 cash! I’ve just had a read and it’s fee free abroad etc but states representative APR as 19%.
I can’t see a 0% introductory period so will that not cost quite a bit on £3k/£4K. It will be paid off within a month of withdrawal so maybe I’m missing something to do with that?
I thought interest was added daily though from day of withdrawal?
Anyway thanks.
Do you really need cash only?
RicksAlfas said:
I think he's meaning use the Clarity card for paying for things and the occasional cash withdrawal when you are there. Not to use it for withdrawing 4,000 cash!
Do you really need cash only?
Yeah I did, cant imagine why you need all that cash in this day and age. I've used the Clarity for some cash withdrawals and the card for all expenses. Even though I didn't pay it off as soon as I'd used the cost was minimal, you also get the full exchange rate unlike when you change your cash.Do you really need cash only?
It also minimises the chance of having any left over and getting shafted a second time when you change it back.
Think about a currency card from the likes of Caxton or FairFx
https://www.caxtonfx.com/
https://www.fairfx.com/
You load the card with Sterling from your bank account & can then use it any ATM to get cash in the local currency. Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK) then consider taking one of these as a backup in case the credit card is lost or gets declined.
https://www.caxtonfx.com/
https://www.fairfx.com/
You load the card with Sterling from your bank account & can then use it any ATM to get cash in the local currency. Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK) then consider taking one of these as a backup in case the credit card is lost or gets declined.
Get yourself a Revolut Card.
Load it up with your £££'s and just use it to pay in €€€'s as you would your normal debit/credit card here and it will give you the best interbank exchange rate for every purchase and ATM withdrawal.
https://www.revolut.com/
Load it up with your £££'s and just use it to pay in €€€'s as you would your normal debit/credit card here and it will give you the best interbank exchange rate for every purchase and ATM withdrawal.
https://www.revolut.com/
Mr Pointy said:
Think about a currency card from the likes of Caxton or FairFx
https://www.caxtonfx.com/
https://www.fairfx.com/
You load the card with Sterling from your bank account & can then use it any ATM to get cash in the local currency. Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK) then consider taking one of these as a backup in case the credit card is lost or gets declined.
I don't think you'll pay interest on purchases with the Halifax card from the point you use it (certainly don't with the Post Office card). I don't have experience of the 2 prepaid cards you mention but if they avoid the charges you get if you use a normal bank card to withdraw cash at an ATM they seem an ideal solution.https://www.caxtonfx.com/
https://www.fairfx.com/
You load the card with Sterling from your bank account & can then use it any ATM to get cash in the local currency. Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK) then consider taking one of these as a backup in case the credit card is lost or gets declined.
OP, why not just take a bit of cash (convert over here now if you wish) and a PO/Halifax card for the bigger purchases when you're there? It's not worth getting stressed trying to guess what the exchange rate will be in a few months time IMO.
There's also "challenger" banks like Revolut and Starling who won't charge for overseas transactions.
With Revolut I have a GBP and a EUR wallet within the same account, so can transfer money in to the GBP wallet from my UK account, change it to EUR whenever the rate looks favourable, and if I make a payment in Euros it will take it from the EUR wallet first, and then from the GBP wallet at the daily rate when the EUR wallet is empty.
Not covered by the FSCS guarantee though so I don't leave anything in it when I'm not using it, and I only use it to occasionally transfer money between my GBP and EUR bank accounts now anyway.
With Revolut I have a GBP and a EUR wallet within the same account, so can transfer money in to the GBP wallet from my UK account, change it to EUR whenever the rate looks favourable, and if I make a payment in Euros it will take it from the EUR wallet first, and then from the GBP wallet at the daily rate when the EUR wallet is empty.
Not covered by the FSCS guarantee though so I don't leave anything in it when I'm not using it, and I only use it to occasionally transfer money between my GBP and EUR bank accounts now anyway.
Mr Pointy said:
Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK)
No, it is not. It works exactly like a UK credit card except you get a decent commission free exchange rate. I've had one for a few years now and use it for all holiday spending. I don't use it in the UK.The only time interest is payable immediately is on cash withdrawals.
RicksAlfas said:
Mr Pointy said:
Even if you take a Halifax card & pay for stuff on credit (& I think interest is payable from when you use it unlike using it in the UK)
No, it is not. It works exactly like a UK credit card except you get a decent commission free exchange rate. I've had one for a few years now and use it for all holiday spending. I don't use it in the UK.The only time interest is payable immediately is on cash withdrawals.
Mazinbrum said:
RicksAlfas said:
I think he's meaning use the Clarity card for paying for things and the occasional cash withdrawal when you are there. Not to use it for withdrawing 4,000 cash!
Do you really need cash only?
Yeah I did, cant imagine why you need all that cash in this day and age. I've used the Clarity for some cash withdrawals and the card for all expenses. Even though I didn't pay it off as soon as I'd used the cost was minimal, you also get the full exchange rate unlike when you change your cash.Do you really need cash only?
It also minimises the chance of having any left over and getting shafted a second time when you change it back.
I should have been clearer when I said withdrawals I meant withdrawals and purchases.
I certainly don’t need to take it all in cash, I just thought that’s what you had to do when being a true powerfully built Pistonheader abroad.
I’ll probably get one of those cards then and take £1k in cash. It’s a road-trip with 3 couples in 3 cars so when it comes to all chipping in for the evening meal etc cash is easiest.
My main concern was what rate I’ll get come paying it off, but you’ve all clarified it will more than likely be better than the rate I’d get exchanging cash, so that’s great.
Let’s just hope the rate doesn’t keep tanking until I go in 2 months. It’s rather frustrating watching my spending money diminishing before I even go. C’est la vie.
Anyway thanks again.
I dont take holiday money any more, just use Halifax Clarity card for 90% of purchases, and take a little bit of cash out of an ATM abroad using a UK debit card.
Pay the credit card off at the end of the month and there is no interest to pay, and exchange rates are pretty good. For a balance between 'great rates' and 'easy to use' it works well. For the few hundred quid in cash its not worth worrying about the slightly worse FX rate the bank gives vs a specialist credit card.
If you use the Halifax card to withdraw cash you pay interest from the date of withdrawal.
Pay the credit card off at the end of the month and there is no interest to pay, and exchange rates are pretty good. For a balance between 'great rates' and 'easy to use' it works well. For the few hundred quid in cash its not worth worrying about the slightly worse FX rate the bank gives vs a specialist credit card.
If you use the Halifax card to withdraw cash you pay interest from the date of withdrawal.
red_slr said:
I cant see it dipping much below 1.10 anyway. But what do I know!
So I would just do as above and sort a card out and wing it.
This, I've been to sweden, norway, iceland, slovenia, canada and america, for holidays or work in the past 18 months. 95% of expendature was on card and 99% could have been on card. Anyway the only time i had an issue was when i went to pay for a meal in rural slovenia and they only took mastercard?! So yeh, i'd have a max of 100 euro at anyone time, just in case you find yourself in a similar situation. There's always cash points in the cities anyway.So I would just do as above and sort a card out and wing it.
red_slr said:
I cant see it dipping much below 1.10 anyway. But what do I know!
So I would just do as above and sort a card out and wing it.
I live in France and Spain but earn all my money £Sterling so I spend half my time looking at this https://www.bbc.com/news/topics/cx250jmk4e7t/pound...So I would just do as above and sort a card out and wing it.
If you look at the 5-year trend it has been fairly stable between €1:10 and €1:20 and on the amount you are looking at that is worth about £400, at worst.
We use a Post Office card for all our Euro costs - way safer than taking cash. The risk of losing that amount is just not worth the risk. You will also have a record of where it was all spent.
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