Halifax or Barclaycard for going abroad?
Comments
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You can pay what you want (up to account balance) between statement issue and due date. Same applies before the statement is issued.Paying off the entire balance when due by DD is of course what I meant (and standard MSE advice for any credit card).
The Ts&Cs of the Clarity card state that any earlier repayment than the due date is not permitted. Unsurprising that'll be because the only way the card issuer can make money is via charging interest. I've used my card for as many foreign currency purchases as possible when traveling, plus cash withdrawals whenever needed. As we know, by paying all off on due date by DD, purchases attract no interest, only cash withdrawals do.
The total interest I've paid is very reasonable based on paying all off by DD on due date. I did a comparison to see how much I saved even with the interest, compared to old methods of normal credit & debit cards, and it worked out very well.
It's putting the account in credit that's not allowed (but rarely penalised).0 -
(emphasis added).The Ts&Cs of the Clarity card state that any earlier repayment than the due date is not permitted. Unsurprising that'll be because the only way the card issuer can make money is via charging interest. I've used my card for as many foreign currency purchases as possible when traveling, plus cash withdrawals whenever needed. As we know, by paying all off on due date by DD, purchases attract no interest, only cash withdrawals do.
No, the T+Cs don't say that. You are entitled to pay off any transaction as soon as it has been processed. You don't need to wait for statement and you certainly don't need to wait for the due date. If you are making purchases only and you pay off in full by the due date you won't pay interest, whether not you pay by DD.
In the case of cash withdrawals, (or if you are not paying the full balance or both), then the sooner you pay the less interest you will pay. If you have the money in your current account, the worst thing you can do is wait until the due date to pay, be that by DD or manual payment because you will pay the most interest*.
What is prohibited is pre-loading - ie making payments to put a positive balance on your CC in attempt to avoid interest on cash withdrawals.
(* of course if you are travelling it may well be that making earlier manual payments is not practical. So that might be a good reason to leave it to a DD. Paying interest could still be good value compared with hours wasted trying to get dodgy wifi connections working)0 -
JustAnotherSaver wrote: »Yes, obviously, but when you don't really want anything in foreign money it's a bit tricky looking for something to spend on that you don't particularly want/need.
What about a cheap item on foreign eBay? A piece of paper for 1 euro or something, which ships to the UK.
Does that sort of thing qualify? Can you use your normal eBay account, do you need a (for example....) Italian one?
Just get something off a site like Aliexpress, for the equivalent of 1 euro you can get much more than a piece of paper including shipping to the UK.0 -
The cashback offer will likely reappear for Clarity. I got it last September when it expired at the end of September.0
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Interesting, I'll review the ts&cs doc. Even so I wouldn't want the card cancelled because Halifax doesn't fancy me as a customer any more (have read this can happen).chattychappy wrote: »(emphasis added).
No, the T+Cs don't say that. You are entitled to pay off any transaction as soon as it has been processed. You don't need to wait for statement and you certainly don't need to wait for the due date. If you are making purchases only and you pay off in full by the due date you won't pay interest, whether not you pay by DD.
In the case of cash withdrawals, (or if you are not paying the full balance or both), then the sooner you pay the less interest you will pay. If you have the money in your current account, the worst thing you can do is wait until the due date to pay, be that by DD or manual payment because you will pay the most interest*.
What is prohibited is pre-loading - ie making payments to put a positive balance on your CC in attempt to avoid interest on cash withdrawals.
(* of course if you are travelling it may well be that making earlier manual payments is not practical. So that might be a good reason to leave it to a DD. Paying interest could still be good value compared with hours wasted trying to get dodgy wifi connections working)
Like this post discussing Clarity overpayments said:
http://forums.moneysavingexpert.com/showpost.php?p=42996198&postcount=11
Leaving it all to the DD only costs a few quid in interest over the period of a holiday. Which seems excellent value to me.0 -
Interesting, I'll review the ts&cs doc. Even so I wouldn't want the card cancelled because Halifax doesn't fancy me as a customer any more (have read this can happen).
Like this post discussing Clarity overpayments said:
http://forums.moneysavingexpert.com/showpost.php?p=42996198&postcount=11
Leaving it all to the DD only costs a few quid in interest over the period of a holiday. Which seems excellent value to me.
Paying no interest is better value to me.
I've found that waiting a day or two doesn't result in any interest, so if you know you will have better internet access in another location then it's ok to wait a short while. IME, it should be paid off on the same UK calendar day that the cash withdrawal appears on your statement (and that's the only way to find out the exact amount anyway).
I only use my Clarity for cash withdrawals and in the rare case that my other cards are declined, and always pay off ASAP. Halifax has not ditched me yet, after 5 years...0 -
I only use my Clarity for cash withdrawals and in the rare case that my other cards are declined, and always pay off ASAP. Halifax has not ditched me yet, after 5 years...
I'd look into Starling bank as they have a Mastercard debit card FX fee free and their account pays some interest of 0.5% from memory, which isn't market leading but better than paying Halifax interest.
Before Starling I paid the clarity card off as soon as I got back from holiday as it's about 25% APR, I could go to the extreme and try to pay it off while I'm on holiday, but for the sake of 4p, 5p, or even 13p (the most interest I've been charged) I personally would rather just enjoy the holiday
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(emphasis added)Interesting, I'll review the ts&cs doc. Even so I wouldn't want the card cancelled because Halifax doesn't fancy me as a customer any more (have read this can happen).
Like this post discussing Clarity overpayments said:
http://forums.moneysavingexpert.com/showpost.php?p=42996198&postcount=11
Leaving it all to the DD only costs a few quid in interest over the period of a holiday. Which seems excellent value to me.
Yep that's overpayments which I would never do. It is not an overpayment if you pay after you've made the transaction.
Trust me, most of my transactions are foreign and I am withdrawing cash every week on Clarity or Santander Zero (which works the same way). I have never used a DD and I always pay off a few days after the transaction - depending on the timing, usually before statement generation. I've had Zero since it was an Abbey National Zero card!
The only issue is you mustn't put the account deliberately in credit - ie send them money to cover transactions you haven't made yet. That is for regulatory reasons and is reflected in the T+Cs. The experience here is that people get away with it, but the inconvenience of having a card blocked means it's not worth it (IMHO).
Whether it's worth paying just after a cash transaction or letting a DD take the money on the due date is up to you. On my current interest rates and a £250 withdrawal, using DD in that way would cost me up to £4.40 on Clarity and £11.00 on Zero. As you say, "a few quid", but too may quids for my liking on just £250.0 -
I never go abroad with less than 3 cards (Clarity, Santander Zero, Post Office Platinum for purchases). ATMs abroad can be very hit and miss.0
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I'm not hugely savvy on credit cards but I got my first one in 2017 - Halifax Clarity - to take abroad as I had the £20 cashback (paid promptly, no problems) and no fees for use. When I came back, I popped into Halifax and they were very helpful - I just took the cash from the ATM and paid it all off in full. I'd certainly give it a thumbs up, just simple and straightforward, and better value than those that seem to charge for use in shops etc abroad.... Just Keep Swimming ...0
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