Avoiding Interest on Travel Credit Cards

Fletchasketch

Hello,


I have a Travel credit card which I haven't used up until now because it incurs interest and I can't claim interest back for work based expenses.


I was wondering, does anyone know, if I overpay on my credit card so that it is in credit when I go away, will I still pay interest? And is this even possible?


Thanks in advance!

[Deleted User]

I doubt if you would pay interest, but it will almost certainly be against the terms of the agreement. So you could risk having your card blocked,

Fletchasketch

Interesting. I don't think I have the terms anymore. Do you mean that I wouldn't be allowed to have an account in credit or that I'm not allowed to pay off a card before the charges appear on the statement?

[Deleted User]

Can't have in credit. Nothing wrong with making immediate payments.

td_007

Fletchasketch wrote: »

Hello,


I have a Travel credit card which I haven't used up until now because it incurs interest and I can't claim interest back for work based expenses.


I was wondering, does anyone know, if I overpay on my credit card so that it is in credit when I go away, will I still pay interest? And is this even possible?


Thanks in advance!

If it is for your work expense, you need to talk to your employer about foreign expenses. Surely it is wrong for the employer to expect you spend on your personal credit card and take the hit on interest as well. Either they should provide a company credit card or reimburse your expense+interest. Or you could use your debit card (making sure your bank is funded) and then expense all charges - this will cost the company more but at least you will not be out of pocket.

Fletchasketch

To be fair they probably would pay the interest charge, but often I'll buy presents etc. which are my own expenses and it would be impossible to split the charges out. I would imagine that by paying off enough to cover any cash withdrawals the next day and mainly using it for purchases not cash, the interest would be negligible. Did not realise you couldn't have a credit card in credit though. Useful to know, thanks.

thebritishbloke

If you pay off your statement in full every month, it won't incur interest (unless you're withdrawing cash on it).

Fletchasketch

thebritishbloke wrote: »

If you pay off your statement in full every month, it won't incur interest (unless you're withdrawing cash on it).

Thanks, but that's pretty much the point. Was hoping that there was a way to avoid paying interest when withdrawing cash.

CLAPTON

Fletchasketch wrote: »

Thanks, but that's pretty much the point. Was hoping that there was a way to avoid paying interest when withdrawing cash.

just take cash from the UK

Fletchasketch

CLAPTON wrote: »

just take cash from the UK

Eh? Charge-free? Please explain how!

lisyloo

I use Halifax clarity for cash abroad. I make faster payments the same day and pay no interest and no commission.

Btw - how would your employer know about commission? It's usually hidden by using a worse exchange rate.
Surely they wouldn't know as exchange rates fluctuate.