Using credit cards abroad
Discussion
My Tesco CC has a foreign use fee of 2.75% per transaction. Would I be right in thinking that this is factored into the exchange rate that they apply when converting back to Sterling? i.e. I get a weaker rate so that they recoup their 2.75%.
I checked their site and couldn't find anything on it plus I didn't have any direct charges on my bill for my last holiday abroad.
TIA
I checked their site and couldn't find anything on it plus I didn't have any direct charges on my bill for my last holiday abroad.
TIA
I know that chaps but it doesn't answer the question
If my current card does reduce the rate then I need to look at typical rates that the Clarity card charges so I can assess the difference. The Tesco one provides either Avios (good for saving for our flights for the retirement trip) and/or triple points for Chunnel crossings (good for the annual pilgrimage across to the mainland).
I just want to be armed with all the facts that's all
If my current card does reduce the rate then I need to look at typical rates that the Clarity card charges so I can assess the difference. The Tesco one provides either Avios (good for saving for our flights for the retirement trip) and/or triple points for Chunnel crossings (good for the annual pilgrimage across to the mainland).
I just want to be armed with all the facts that's all
oblio said:
I know that chaps but it doesn't answer the question
I need to look at typical rates that the Clarity card charges so I can assess the difference.
I just want to be armed with all the facts that's all
If I understand that part of your post correctly, then it doesn't:I need to look at typical rates that the Clarity card charges so I can assess the difference.
I just want to be armed with all the facts that's all
http://travelmoney.moneysavingexpert.com/holiday-m...
I have several different reward cards for UK based £ purchases and use the Halifax Clarity for all overseas foreign currency purchases. There are no fees and it offers, pretty much, the best exchange rates.
Martin Lewis couldn't possibly be wrong!
Ozzie Osmond said:
Get a Halifax card with zero foreign use charges.
But what exchange rate do they give compared with say HSBC? Last time I was abroad, I was charged 1.75% (I think) with my HSBC card but that was more than offset with a better exchange rate offered over a card one of my relatives was using that had a zero charge.
pushthebutton said:
There are no fees and it offers, pretty much, the best exchange rates.
That's it: I just want to check the exchange rate offered that's all...So can anyone answer my question? Do CC's (or mine specifically) just take their 'cut' by reducing the efficacy of the exchange rate? i.e. making it at least 2.75% worse than it could/should be?
It's called an Exchange Load of 2.75% on the MSE website. I'd assume that's different to a flat transaction fee hence you weren't charged any transaction fees.
It looks to me that they charge a 2.75% Exchange Load on a rate (checked today) of $1.3686 / £1. So, the answer to your question appears to be yes.
Happy to be corrected.
It looks to me that they charge a 2.75% Exchange Load on a rate (checked today) of $1.3686 / £1. So, the answer to your question appears to be yes.
Happy to be corrected.
The Halifax card gives you the Mastercard exchange rate: https://www.mastercard.com/global/currencyconversi... whenever I've looked it's been better than any cash rate I've been able to find - to the point where I generally don't bother taking cash with me any more, just use it to take some cash out at the airport when I arrive. Only thing to be aware of is there is no interest free period for cash withdrawals so you're paying interest on these immediately, this is easily mitigated though by pre-loading the card (not technically allowed but I've been doing this for some time with no issues), or use online banking while you're abroad to keep an eye on spend & transfer money to cover the withdrawal, it's not a lot either way - from memory £100 for one month costs about £1 in interest on my clarity card.
oblio said:
Thanks all - I think you have confirmed my thoughts.
I'll get a Clarity card for our big summer trip
ta
so to summarize - you will pay 2.75% on each purchase transaction and you will pay the daily mastercard exchange rate on top of this. Currently the currency spread is around 1.6-1.7% for the Euro to GBP, so each transaction will cost you about 4.4% in total fees. I'll get a Clarity card for our big summer trip
ta
GT2CS said:
oblio said:
Thanks all - I think you have confirmed my thoughts.
I'll get a Clarity card for our big summer trip
ta
so to summarize - you will pay 2.75% on each purchase transaction and you will pay the daily mastercard exchange rate on top of this. Currently the currency spread is around 1.6-1.7% for the Euro to GBP, so each transaction will cost you about 4.4% in total fees. I'll get a Clarity card for our big summer trip
ta
oyster said:
GT2CS said:
oblio said:
Thanks all - I think you have confirmed my thoughts.
I'll get a Clarity card for our big summer trip
ta
so to summarize - you will pay 2.75% on each purchase transaction and you will pay the daily mastercard exchange rate on top of this. Currently the currency spread is around 1.6-1.7% for the Euro to GBP, so each transaction will cost you about 4.4% in total fees. I'll get a Clarity card for our big summer trip
ta
...I'll get one, I thinkGassing Station | Finance | Top of Page | What's New | My Stuff