Avoiding debit card fee for buying foreign currency

fil212

So, I just paid for some Euros from Travelex on my Debit card and I have only just noticed that Natwest is now charging me a £4.50 fee to use my Debit card to buy Euros. I guess I didn't realise that this change was going to come in when they replaced my Maestro card with a Debit card.

So, what can I do to avoid these charges? I have to buy currency to travel in Europe quite often. Does anyone know which cards do not charge a fee for purchasing currency? Or do I need to resort to pay for currency using cash?

Thanks

benjus

Well, you could always open an account with a bank that doesn't charge for buying foreign currency in the UK (e.g. HSBC, First Direct, Nationwide, Halifax). But if you're thinking of doing that, you might as well open an account that's free to use abroad (e.g. Metro Bank in London) and just use your card for cash withdrawals and purchases when you get there.

See: http://www.moneysavingexpert.com/travel/cheap-travel-money

If that seems like too much hassle, some Bureaux de Change that offer mail order services will allow you to pay by bank transfer instead of using your card, although you have less protection if something goes wrong.

Yet another option would be to buy a prepaid currency card; you generally need to make the initial purchase by debit card (and may get charged), but once you have the card you can usually top them up by bank transfer. TravelEx Cash Passport Globe is probably your best bet (make sure it's the Globe card, not a specific currency card).

fil212

Thanks Benjus. Yes, I think you're correct, I'll be using my Halifax Debit card next time because I don't think they charge a cash withdrawal fee for buying foreign currency.

I'm aware of the other ideas; prepaid currency cards, cards that don't charge for cash withdrawals when I'm abroad but I need to buy Euros before I go for taxis, metros, sandwich shops and other places that will only take cash.

If the Halifax Debit Card do charge for buying Euros from Travelex or Thomas Cook (these fees only appear on the statement with Natwest, not on the invoice or anywhere else) I'll be back to Martins tip 5 on his page "withdraw pounds on your debit card and pay with that." or searching for a bureaux that takes bank transfers.

If anyone can confirm that the Halifax Debit Card doesn't charge for charge a cash withdrawal fee for buying foreign currency from Travelex or Thomas Cook (eg. sources other than their own travel service) that would be great.

Thanks

benjus

I don't think I've ever arrived at an airport/station that had no cash withdrawal facilities, but if you prefer to take cash with you, that's your choice.

I haven't used my Halifax card to buy foreign currency, but I can't see any mention of a charge for this on their fees page: http://www.halifax.co.uk/bankaccounts/rates-rewards-fees/

The Travel Money Maximiser on this site also lists Halifax as a bank that does not charge for using a 3rd party to obtain foreign currency.