Speedcard

rbulph · 31 January 2006 at 6:29PM

Got a mailshot from Speedcard . This is a VISA Electron card which you preload before you spend on it. At first I thought it might be quite a good idea because companies like Ryanair charge extra for using a debit or credit card, but not for VISA electron cards. But then I read further:
- £9.95 application fee
- £2.45 monthly service charge
- £9.95 renewal fee every two years
- £5 termination fee
- £1.20 fee for ATM withdrawal
- no interest paid on credit balance
- no overdraft facility and
- you have to send them photo ID through the post (bad luck if it gets lost, especially if it's your passport).

Why on earth would anyone want such a card?

georgedawes · 31 January 2006 at 6:49PM

rbulph wrote:

Got a mailshot from Speedcard . This is a VISA Electron card which you preload before you spend on it. At first I thought it might be quite a good idea because companies like Ryanair charge extra for using a debit or credit card, but not for VISA electron cards. But then I read further:
- £9.95 application fee
- £2.45 monthly service charge
- £9.95 renewal fee every two years
- £5 termination fee
- £1.20 fee for ATM withdrawal
- no interest paid on credit balance
- no overdraft facility and
- you have to send them photo ID through the post (bad luck if it gets lost, especially if it's your passport).

Why on earth would anyone want such a card?

I have just had the same e-mailed to me from Travelsupermarket. I thought exactly like you did and trashed it!! They must think we are stupid! :mad:

Amba_Gambla · 31 January 2006 at 6:52PM

georgedawes wrote:

I have just had the same e-mailed to me from Travelsupermarket. I thought exactly like you did and trashed it!! They must think we are stupid! :mad:

the sad thing is that there are some people out there that are that stupid....

rbulph · 1 February 2006 at 1:46PM

OK, they tell me you can just send a copy of your passport.

LaurenceK_3 · 2 February 2006 at 5:54PM

Hi there, Laurence here from Speedcard. Thanks for your comments.
Whilst we do charge fees, our policy is to be upfront and straightforward about them.

Our fees when abroad are much lower than most banks and building societies in terms of Credit Card and Debit Card charges. The difference is that most people are unaware of hidden charges;

Martin Lewis lists these charges on this site; they are

Loaded Exchange Rate or often called Foreign Transaction Charge.
Most Banks and Building Societies charge typically 2.75%

Speedcard charges 0%, Foreign Transaction Charge.

Cash Withdrawal Charge.
According to Martin, this is typically 2% and a minimum of 2%

Speedcard charges £1.20 flat rate at ATMS.

Interest Charge.
This is the hidden fee that Credit Card companies charge, when you are withdrawing cash overseas on Credit. It is charged immediately until you pay it off and it is often much higher than your current rate of interest.
Most Card providers charge between 14% and 22%

Speedcard is not a Credit Card product so there is no Interest Charge.

(If you take a £1,000 overseas and withdraw it 2x at an ATMs,)

Typical Debit Card Product £47.50
Credit Card Product (22% pay back after 30 days) £65.80
Speedcard (includes monthly fee, ATM Fee and load fee) £14.85

Hope this helps

Angie8 · 2 February 2006 at 6:26PM

Considering the charges I doubt if Martin will be giving it the thumbs up.

I think you'll find that most people on here are well aware of credit and debit card charges.

TheChillPill · 2 February 2006 at 7:16PM

In fairness, I think there is always a market for products like this - and of course, more variety and choice is always a good thing.

Cards such as these are good for people that maybe struggle to get mainstream banking facilities - for example, bankrupts etc. It's another way that such people are able to take advantage of online offers and so on.

Nothing wrong with companies offering things like this - the more choice and availability offered to people the better, in my opinion. If you don't need it, or can't justify the expense, then fair enough - but there could be people out there where such a product has a real benefit to them.

Just my 2c

King_Of_Fools · 2 February 2006 at 7:20PM

LaurenceK wrote:

(If you take a £1,000 overseas and withdraw it 2x at an ATMs,)

Typical Debit Card Product £47.50
Credit Card Product (22% pay back after 30 days) £65.80
Speedcard (includes monthly fee, ATM Fee and load fee) £14.85

Nationwide FlexAccount £0

Hope this helps

BWZN93 · 2 February 2006 at 11:38PM

King_Of_Fools wrote:

Nationwide FlexAccount £0

Hope this helps

And thats not just the debit card either, the cash card is also a big fat £0

Jo xx

rbulph · 3 February 2006 at 3:00PM

TheChillPill wrote:

In fairness, I think there is always a market for products like this - and of course, more variety and choice is always a good thing.

Cards such as these are good for people that maybe struggle to get mainstream banking facilities - for example, bankrupts etc. It's another way that such people are able to take advantage of online offers and so on.

Nothing wrong with companies offering things like this - the more choice and availability offered to people the better, in my opinion. If you don't need it, or can't justify the expense, then fair enough - but there could be people out there where such a product has a real benefit to them.

Just my 2c

Yes, that just occurred to me, it could be useful for people who've gone bankrupt.

moongarden · 14 February 2006 at 1:10PM

it might be the only option to enable a person with bad credit to make electronic payments

having said that Nat West Step account has a Solo card which they charge nothing for.

Speedcard

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