Nationwide C/card cashback

HGLTsuperstar

I used my Nationwide c/card overseas last year & got a nice cashback come December. However they have now stopped cashback for overseas transactions, but if I preload my card from my Flex Acount here in the UK before I go, as this isnt a foreign transaction, will I get the cashback?

smartsaver

No I don't think so. The transaction will still take place abroad so won't attract the cash back. As they have lowered there cash back rate to .25% you won't miss out on much anyway...

Chadsman

I would have thought it very unlikely as the pre-loading is a payment onto the card... which does not qualify for cashback, and the payment from the account is taking place outside the UK so is a foreign transaction.

But a NW card is still one of the best (if not the best) for spending overseas as the is no foreign exchange loading which is typically 2.75% on most cards.

Better to pay with a card not charging a FOREX fee but offering no cashback, than to pay with a card offering 1% cashback but also charging 2.75% for FOREX.

grumbler

HGLTsuperstar wrote:

...I preload my card from my Flex Acount here in the UK before I go, as this isnt a foreign transaction, will I get the cashback?

Yes, preloading is not a foreign transaction, but it is not the one that gives cashback. Actual foreign transactions with NW card do not give cashback now. Some people believe that they can avoid cash withdrawal fee by preloading credit card. I do not think it works. And you can use your NW debit card for cash withdrawals.

P.S. It is not a good idea to place the same post twice, especially on the same board!

lisyloo

I would warn against pre-loading a Nationwide credit card.

The money is not insured i.e. if your card gets nicked then you are NOT covered if the money gets spent.

The Ts & Cs are ambiguous but I've checked with them and Nationwide only insure THEIR losses, they do not insure YOUR losses.

You could lose all your money, so not worth it in my opinion for paying a couple of %.
I would use the credit card to withdraw cash and pay it back immediately that you are back in the UK. Small interest but safer.

Milarky

..if I preload my card from my Flex Acount here in the UK before I go, as this isnt a foreign transaction, will I get the cashback?

I don't think so as they wouldn't count pre-payments as purchases anyway. Also, hasn't the cashback rate on this card dropped to 0.25% from 1st March - making it pretty worthless to carry on?

Instead, You are eligible for a NW Classic card, as an existing customer. This is now better value than the Rewards card since it conitnues to be interest free for the full 56 days. You cannot get their 0% for 6 months deal as this is only available to 'new' customers. However, if look at their summary box - you can request balance transfers online to any other credit card (and for any amount over £1) and they will treat them just like purchase transactions - interest free for up to 56 days provided your statement is paid in full (eg by direct debit, preferably). If you combine this with an Egg card you can enjoy up to 7 weeks interest-free cash every two months repeatedly (and cahoot's credit card and Liverpool Victoria's credit card also work similarly)

grumbler

lisyloo wrote:

I would use the credit card to withdraw cash and pay it back immediately that you are back in the UK. Small interest but safer.

Not only the interest, but cash withdrawl fee 1.5% (min £1.50). Why do you think it is safer than using debit or cash card?!

student100

Milarky wrote:

Instead, You are eligible for a NW Classic card, as an existing customer. This is now better value than the Rewards card since it conitnues to be interest free for the full 56 days. You cannot get their 0% for 6 months deal as this is only available to 'new' customers. However, if look at their summary box - you can request balance transfers online to any other credit card (and for any amount over £1) and they will treat them just like purchase transactions - interest free for up to 56 days provided your statement is paid in full (eg by direct debit, preferably). If you combine this with an Egg card you can enjoy up to 7 weeks interest-free cash every two months repeatedly (and cahoot's credit card and Liverpool Victoria's credit card also work similarly)

I think also Nationwide's Comic Relief card works the same way as Classic (no 0% and slightly higher APR but that shouldn't matter), except Comic Relief also benefit from purchases you make on the card.

lisyloo

grumbler wrote:

Not only the interest, but cash withdrawl fee 1.5% (min £1.50).

It depends on the amount, but often this is still less than you would pay with other credit cards.

Why do you think it is safer than using debit or cash card?!

That isn't what I meant (sorry if I wasn't clear).

I meant that paying the fees was safer than pre-loading your credit card and risking losing the whole lot.
I agree that debit cards are fine as any losses should be insured in the normal way. It's the pre-loading that isn't safe (at least with Nationwide).

MarkyMarkD

I don't get what you are saying here, lisa. With a debit card, it's all your money. With a pre-loaded credit card, you are arguing that it's your money. But you're saying one is protected and one is not?

student100

What she said was:

With a debit card, the money is in your bank account and the bank would take liability if, say, you were to have your card stolen and the money withdrawn.

However, on a credit card, if you are using it as a credit card then the CC company would normally be liable for their losses due to theft etc. BUT if the CC account has been pre-loaded with your money they will not be liable for the loss of your money.

So if you preloaded your CC with £1000 before you went on holiday, and your card was stolen and the £1000 spent, there would be no way for you to get that money back from the CC company.

So pre-loading is not a good idea; much better just to open a Nationwide current account if you want to do that.