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Summary

Going abroad often means paying through the nose on credit and debit card s- well that doesnt have to be the case if you know what to look out for.

Credit Cards - the European credit card sting

Author: Anna Richardson (remortgages)

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Loans For Bad Credit: If you've got a poor credit history, can you borrow and if so how much ? This article explains.
Adverse Credit. When is a credit history described as adverse: When do have an adverse credit rating? The situation is far from clear but this article sheds light.

Brokers Online offers cutting edge articles and information about Life Insurance, health insurance and loans.

Traditionally, using plastic abroad has always meant big charges. Things are a lot better these days, but they have taken a downward slide again in some European countries, as they get the option to add an extra charge to your bill.

In France, Italy and Spain, many of the bigger restaurateurs and retailers have a system called DCC - dynamic currency conversion. It means they can convert your payment straight into sterling for you, at the till. This may sound tempting, but that conversion will add another 4% of the transaction onto your bill. What is often happening is that customers are authorising the payment in Euros, only for the retailer to put the payment through as sterling. UK customers dont even realise that this is going on, until they get back and look at the card statements. (mortgages)

According to the Visas DCC guidelines, UK cardholders should be given the option to pay in Euros ( mortgage rates ) or sterling. Most people dont get the option, they are not aware that there is an option, and leave none the wiser. The retailer gets the 4% by the way. Perhaps we could have put it down to the language barrier, but seeing as the retailer actually pockets the extra, were a bit suspicious of their motives.

The advice is: request the payment to be put through in Euros. There are a few ( life insurance quotes ) card companies like Lombard Direct, Saga and Nationwide that dont actually charge you any extra for converting the payment into sterling. The big mainstream banks put a 2.75% charge on, but thats still less than 4%, so its worth paying in Euros.

If you look at the cost of changing your money into Euros in the UK, ( term assurance ) and changing your cash and travellers cheques in Europe - youll find that paying by credit or debit card while abroad is still cheaper because Visa and MasterCard have better exchange rates. Its also reassuring to take money out as you need it, rather than walking around with wads of cash, or having to queue to change travellers cheques. (life insurance quotes)

In case you were still thinking of changing your money in a ( car insurance policy ) bureau de change, dont fall for the commission free signs. They just charge you more on the actual exchange rate, so youre still paying extra - how else do you think they manage to stay in business!

Another tip: dont be tempted to withdraw cash using your credit card - either abroad or in this country. You start paying interest immediately, and its always a very high rate of interest too. If you want to take cash out, only use your debit card.

Click here for part 2 (mortgage interest rates)


This website is owned and operated by Draco Internet Marketing Ltd
Summary Going abroad often means paying through the nose on credit and debit card s- well that doesnt have to be the case if you know what to look out for. Credit Cards - the European credit card sting Author: Anna Richardson (remortgages) Used Car Loans The car salesman will also want to sell you a loan. Stop. You ill probably get better terms elsewhere. Loans For Bad Credit If you've got a poor credit history, can you borrow and if so how much ? This article explains. Loans For Bad Credit If you've got a poor credit history, can you borrow and if so how much ? This article explains. Adverse Credit. When is a credit history described as adverse When do have an adverse credit rating? The situation is far from clear but this article sheds light. Brokers Online offers cutting edge articles and information about Life Insurance, health insurance and loans. Traditionally, using plastic abroad has always meant big charges. Things are a lot better these days, but they have taken a downward slide again in some European countries, as they get the option to add an extra charge to your bill. In France, Italy and Spain, many of the bigger restaurateurs and retailers have a system called DCC - dynamic currency conversion. It means they can convert your payment straight into sterling for you, at the till. This may sound tempting, but that conversion will add another 4% of the transaction onto your bill. What is often happening is that customers are authorising the payment in Euros, only for the retailer to put the payment through as sterling. UK customers dont even realise that this is going on, until they get back and look at the card statements. (mortgages) According to the Visas DCC guidelines, UK cardholders should be given the option to pay in Euros ( mortgage rates ) or sterling. Most people dont get the option, they are not aware that there is an option, and leave none the wiser. The retailer gets the 4% by the way. Perhaps we could have put it down to the language barrier, but seeing as the retailer actually pockets the extra, were a bit suspicious of their motives. The advice is: request the payment to be put through in Euros. There are a few ( life insurance quotes ) card companies like Lombard Direct, Saga and Nationwide that dont actually charge you any extra for converting the payment into sterling. The big mainstream banks put a 2.75% charge on, but thats still less than 4%, so its worth paying in Euros. If you look at the cost of changing your money into Euros in the UK, ( term assurance ) and changing your cash and travellers cheques in Europe - youll find that paying by credit or debit card while abroad is still cheaper because Visa and MasterCard have better exchange rates. Its also reassuring to take money out as you need it, rather than walking around with wads of cash, or having to queue to change travellers cheques. (life insurance quotes) In case you were still thinking of changing your money in a ( car insurance policy ) bureau de change, dont fall for the commission free signs. They just charge you more on the actual exchange rate, so youre still paying extra - how else do you think they manage to stay in business! Another tip: dont be tempted to withdraw cash using your credit card - either abroad or in this country. You start paying interest immediately, and its always a very high rate of interest too. If you want to take cash out, only use your debit card. Click here for part 2 (mortgage interest rates)
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