Is it cheaper to change currency in UK or Spain?

l_mac

We're going for a 7 day break next week to Spain and we're unsure what's the best way to change our money to Euros. We won't be using credit cards as i only have one for emergencies and my partner avoids them like the plague. Our other options then are:

Getting travellers cheques before we go
Changing to cash euros in UK before we go
Taking money from the ATM using our bank card over there
Using a Thomas Cook Moneycard

I just came across the Thomas Cook Moneycard as i was browsing on internet this morning but i don't know anyone who's used one so not sure if it's a good option or not.

Ideally we'd love to just use our bank cards over there at an ATM but don't know if this is more expensive. Can anyone give me advice please??

benjus

Forget Travellers' Cheques... we're in the 21st century now.

Most bank debit cards cost around 3% to withdraw cash or make purchases overseas, although a few have lower, or even zero, fees. Which card do you have?

A prepaid card is not a bad option, however I would recommend this one instead of the Thomas Cook one: http://www.travelex.co.uk/uk/cash-passport-globe.aspx - it costs 1.49% on all transactions, including cash withdrawals. It keeps your money in pounds and only converts the money as you use it. (it's actually supplied by TravelEx, which also supplies the Thomas Cook money card, but it's a better deal).

To get an idea of how the charges compare, this is a very rough guide to how much it costs to get foreign currency by different methods:

* Fee-free debit card - 0%
* Fee-free credit card - 0% (assuming you pay it off immediately)
* TravelEx Cash Passport Globe - 1.49%
* Good online Bureau de Change - 1.5% (assuming no charges imposed for paying for it by debit card)
* Typical debit card - 2.5-3%
* Thomas Cook Money Card - 2.5-3%
* Travellers' Cheques - 2.5-3% + cost of cashing them
* High street Bureau de Change - 4% or more
* Airport Bureau de Change - lots!

antenna

You will get a better rate if you shop around when in spain......but you must ask "how many euros will you actualy give me for £100 or whatever.......even if it says "No Commision" you may need to change £1000 to get that rate,most are honest but some will have your pants down.

l_mac

Thanks for the reply folks, Benjus i have an RBS debit card, partner has a Clydesdale Bank debit card.

miss_hh

We were able to use santander for free while abroad in spain.

l_mac

miss hh - do you have to have a Santander account to do this or any bank account?

benjus

l_mac wrote: »

Thanks for the reply folks, Benjus i have an RBS debit card, partner has a Clydesdale Bank debit card.

According to this: http://www.moneysavingexpert.com/travel/cheap-travel-money#howgood

Clydesdale Bank is 2.75% for spending, 3.75% for cash withdrawals - pretty average.

RBS is 2.75% + £1.25 per transaction for spending, 4.75% for cash withdrawals - nasty! Don't use this one except in emergencies.

I'd recommend getting the Travelex prepaid card I suggested in my previous post. Make sure you get the specific one I linked to, as there are lots of different ones.

benjus

l_mac wrote: »

miss hh - do you have to have a Santander account to do this or any bank account?

You would need a Santander account for this.

l_mac

Benjus, that's really helpful thanks, i'm looking into the Travelex one just now and can pick it up at the airport which is handy too. Been a few years since i've been abroad so a bit out of touch and grateful for the advice!

benjus

One thing you should be aware of - TravelEx prepaid cards don't have your name on them. That can be a problem with some Spanish shops, who ask for ID when paying by card, and may refuse to accept the card if they can't confirm that you're the cardholder.

This won't be a problem for withdrawing cash and I've heard that shops in more touristy areas don't ask for ID, but it's something to bear in mind.

l_mac

Benjus, thanks for that something to watch out for. I don't suppose you would know if there is a better exchange rate in the UK or Spain just now?