Credit Card handling fees

Furch

Hi

I have a credit card which I transferred money to prior to a trip abroad so the balance would be in credit, I have withdrawn money a couple of times using this card at ATM's, then when I checked my balance I noticed that I am being charged a 3 pound "handling fee", does anyone know much about this?

_Andy_

Yes, standard charge for withdrawing cash.

Paul_Herring

You're also probably being charged a percentage of the amount as well, likely hidden in the exchange rate they're using.

Moggles_2

Personally, I wouldn't risk putting a credit card in credit. Credit cards - other than Egg Money - are not designed to carry a positive balance. Small amounts that arise temporarily (due to a refund, for instance) are okay, but the Ts & Cs usually prohibit payments that deliberately place the account in credit.

If you withdraw cash, their systems automatically apply a cash advance fee - as you've discovered - and you're charged cash withdrawal interest rates, even though it's your money, but it gets worse.

An horrendous story was posted on this board last year involving a honeymooner who had topped up his/her Halifax card to increase their spending power whilst abroad. Within days the Hally had locked their card and, whilst sympathetic, staff were unable to reverse the decision. Needless to say, their honeymoon in the USA was ruined

I hope you have a back-up card.