Credit Card For Emergency Cash When Abroad

milanbaros

I'm going away in August and although I should have all the funds I need to cover my expenses I would also like some security for emrgency expenditure etc.

I have a Nationwide Flex Account debit card with a £100 od which I will be using to withdraw cash (I will only be withdrawing cash, not purchases). I am planning to fund this account with £500 pm from my ice save account throughout the trip (roughly 7 months).

Obviously the OD is the best way to access emergency funds but I can't see my limit getting much higher before I go. Considering my very limited credit history I thought the best chance to get a credit card would be with Nationwide itself.

I understand that for cash advances on this card I wouldn't get an introductory 0% rate, would only have access to 50% of the limit and would be paying 21.9%.

Is there a way to access this £500 credit via a cash machine abroad and not be charged the higher rate? Or do you have any better suggestions for emergency cash? Will a transfer request from my ice save account be seen as a cash advance or a payment?

simongregson

In general you should try to avoid taking out cash on your credit card, however if you have to do it in an emergency the nationwide card is a good bet. Although you pay a fee and interest, 21% isn't that high for a cash APR. You will get the cash at the correct visa rate (no extra 3% commission). And nationwide have a positive order of payments. This means that the highest APR debt is paid off first (i.e. the cash advance). Most other cards pay this off last, leaving you with a huge interest bill.

Depending on where you are going, you could just pay as much as possible on the credit card, leaving your nationwide current account for emergency cash and saving fees.

Remember to pay off the cash advance :-)