Paying a bill in Euros- cheque or credit card?

Mossfarr

Hi everyone,

I have a bill to pay which is in Euros and I don't know what is the most cost effective way of paying it.
I usually pay by cheque as the company offers what has previously been a favourable exchange rate (1.22) however, as the rate of exchange is so good at the moment (1.30) would I be better paying with my credit card?
I have a Saga card which I think has pretty low charges for foreign currency purchases. the bill is for 432 euros.
cheers
Mossfarr

SiCarr87

Hi

I recently came back off Honeymoon and used a Credit Card a few times

When the statement comes through, the provider charged a 'None Sterling Fee'

I would check this on your T & Cs before hand, as if they charge a certain percent on None Sterling Transactions, you may be better off with a cheque

Mossfarr

Hi Sicarr87,

thanks for your reply.
The problem is banks also charge a foreign exchange fee when payment is made by cheque.
I think the only answer will be to ring my bank and my credit card company and ask what it will cost in each case. I just hate ringing credit card companies as they leave you on 'musical hold' whilst racking up call charges!
Mossfarr

grumbler

Pay by a card. It can't be cheaper for a cheque.
If you have several cards to chose from, see MSE article. There are cards that don't charge any fees:

• Your Card's Overseas Charges

If you can pay by a bank transfer check

fxcompared.com
mycurrencyexchange.com.

tripled

Credit cards typically charge 2-3%, debit cards a similar amount but often with a fixed transaction fee as well. There are exceptions to this.

Martin has compiled the rates most charge, go to Travel > Overseas Spending > Your Card's Charges on the top menu, or here's the link:

http://www.moneysavingexpert.com/travel/cheap-travel-money?&_ga=1.109804291.789722174.1422744173#howgood

System

Isn't the Saga card forex free but only available oldies ?

Mossfarr wrote: »

I have a Saga card which I think has pretty low charges for foreign currency purchases. the bill is for 432 euros.

glider3560

The Saga Platinum Credit Card (check which one you have) has no charge no foreign currency transactions.

The indicative rate showing on their websites at the moment are: Visa 1.3173500001 and MasterCard 1.347355.

Mossfarr

thanks to everyone who replied - I have paid the bill over the phone with my credit card, it seemed to be the best option - and by far the quickest.

And Heng Leng - yes the Saga card is only for the over 50's - there has to be some benefits to getting older!!

Mossfarr