MSE News discussion. Nationwide kills cheap overseas spending

apt

jonesjw wrote: »

Don't these credit cards generally have terms which prevent you from pre-loading the card? That was certainly the case last time I looked at such a card.

What if I take a 4 week holiday & withdraw £300 a week on a credit card that's charging 2% interest a month. Then I log on & make 4 debit card payments the same day as the withdrawla, which might take 4 days to clear.
Would I be charged £300 x (4/30) x0.02 x 4 = £3.20 interest?
That would be 0.26% of the total withdrawn, which seems like a good deal to me. If that's the way they calculate interest.
Has anyone tried this?

That is fine if you have free or cheap internet access when abroad. The Santander zero credit card accepts faster payments, so the interest cost is potentially even less. Another alternative is to set up future payments into the Santander (or Halifax) card accounts via internet banking and withdraw the same amount or just above the day before.

Biggles

worldwheeler wrote: »

What about using the Halifax Clarity and preloading it before travelling abroad? Would this result in a fee free ATM withdrawal and no interest as the card has an in credit balance before and after the transaction!?

I was thinking the same, but Halifax do prohibit credit balances on the card.

babury

Santander changed my visa electron card to a debit card and when I asked why I was told that it was because Visa are withdrawing all electron cards. IS THIS TRUE?

cdsheldon

I opened a FlexAccount when Nationwide first introduced an interest bearing current account, and have used it as my only current account ever since. I have been a strong supporter of the account and Nationwide's mutual status and as a result of my advice many of my family and friends have opened accounts. The free overseas cash withdrawals have been a valuable bonus, but not the main reason for sticking with FlexAccount.

But what is happening to this mutual Society and the account I have supported for so long? Are they trying to get rid of customers like me?

FlexAccount no longer pays any interest, unlike many of its rivals who pay 4% or 5% (within limits) or £5 per month. The interest rates on its basic e-savings account is minimal and customer service has deteriorated. I don't want their new European travel insurance which probably wouldn't cover my pre-existing medical condition and as far as I am concerned the lost of free overseas cash withdrawals is just the last straw.

I'm sorry but I think its time to switch to another provider and I will now be researching the market and reading all Martin's advice to find another account.

Bye bye Nationwide.

Megalomaniac

Personally, I would recommend keeping the account, with a very low balance and then ultimately they would be losing more money than if they lost me as a customer. I hope they don't bring it in on their credit card or else I will go to Halifax and their clarity card. Much more rewarding with them and ironically, they're a bank, not a building society!

EDIT: If nothing else, I plan to continue to profit from them from by switching a standing order to make it my main account :beer:

Inactive

Just found a bit of bumph from Nationwide, it reads;

You talk, we listen.:rotfl::rotfl:

Was this proposal discussed at the very recent AGM? so that members could have their view?


Erm . NO.

I call it the Nationwide mushroom effect...:D

SaveTheEuro

babury wrote: »

Santander changed my visa electron card to a debit card and when I asked why I was told that it was because Visa are withdrawing all electron cards. IS THIS TRUE?

I recently renewed my visa electron card with Santander without difficulty. I run a regular debit card on the account too. The electron card is handy for booking easyjet flights, avoiding the surcharge for debit and credit cards.

Any

Nationwide already some time ago tightened their T&C to make sure that only people who actually use FlexAccount as their main account get the perks..
Also in their T&C was that they can review your account and withdraw perks meant only for "real" customers.

So these excuses that it is to stop everyone using these perks is rubbish.

They've become just regular bank, which doesn't offer anything special any more. The other banks at least compete on rates on other products, Nationwide haven't done that for years.

What do they think they are going to gain by this???

Not customers, that is for sure!!

davidgmmafan

"If Nationwide really wanted to penalise only the people who utilise the account for travel, they could exclude anyone who has their salary paid into the bank account from the charges."

Totally agree with this, its all bleep! Checkout the other thread for list of things Nationwide has changed thier view on, feel free to add to it. This is the own goal of the year so far IMHO. Maybe they just need to lose some customers to improve thier dire service?

Dylanwing

Can't say that I am too bothered by this on a personal level, as I only go abroad about once a year, and don't normally use the cashpoint more than one or two times, so the travel insurance gain will far outweigh any costs I pay.
As a marketing ploy, bearing in mind the advert calling the fee a "tip", it is a major gaffe, and I have a feeling that they will lose a lot of good business (People who travel a lot and draw a lot of cash), whilst keeping moderate business (Us once a year cheapskates). I actually wonder if the suits have costed this properly, and taken into account the bad publicity, loss of business, and the simple fact that there will be a drop in the number of overseas cash withdrawals once this comes in.
Not sure about paying peanuts and getting monkeys, but it definitely seems that if you pay big money, you get idiots who can't just 'leave well alone'.