Withdrawing money on credit card - please help!

becks1005

Hello
I'm off to USA and Canada with the halifax clarity credit card. There are no fees for withdrawing cash on it but interest is charged on the money withdrawn. Is there anything stopping me putting money on the credit card to start with (so it's in credit) and withdrawing it when abroad to avoid interest being charged?
Ive done this accidentally before with no problems but not sure it's really allowed...?
Any advice would he appreciated!

Doshwaster

This has been answered many times before.

While it is strictly against the T&Cs to put the card into a credit balance there is nothing to stop you.

However, think very carefully. If your card is lost/stolen/cloned/blocked then it could be difficult getting access to the money you have loaded. For the few pounds in interest that you are going to be charged then it really isn't worth the risk?

The Clarity card works out at about £1 per £100 per month so pay the balance off when you get home then it's only going to be a few quid. If you want you can save money by transferring money into the account as soon as transactions appear but I have better things to worry about when I'm on holiday than internet banking.

PeacefulWaters

becks1005 wrote: »

Hello
I'm off to USA and Canada with the halifax clarity credit card. There are no fees for withdrawing cash on it

Most USA ATMs charge a fee. So prioritise purchases over cash. TD Bank in New York State offered free ATM withdrawals when I was there in 2013. Some McDonalds stores had ATMs charging 99c which was cheaper than the mainstream banks.

If you have to pay, one large withdrawal is better value than several smaller ones.

but interest is charged on the money withdrawn. Is there anything stopping me putting money on the credit card to start with (so it's in credit) and withdrawing it when abroad to avoid interest being charged?

The terms and conditions forbid it.

You're saving 3p per £100 withdrawn per day in interest v the risk of your bank freezing your account. You would probably get away with it but it's not a saving worth making for the risk of being without the card.

YorkshireBoy

becks1005 wrote: »

Any advice would he appreciated!

Now might be a good time to familiarise yourself with your account T&Cs. If you haven't much time...go straight to condition 16.9

http://www.halifax.co.uk/creditcards/help-guidance/terms-and-conditions/clarity-card/

Here's what can happen when you try and breach your Halifax card's T&Cs...

https://forums.moneysavingexpert.com/discussion/528883

Oh, and thank you. I now have £874...because I get a pound for every time someone asks on here if its OK to pre-load a Halifax Clarity card (to save £1.17 interest on £500 of cash withdrawn over a fortnight's holiday and paid immediately on their return to the UK).

becks1005

Thanks so much for your replies and sorry I didn't realise the same question has been asked many times before! Also didn't realise how little interest is actually charged - expected much more than that, and no I hadn't read the T&Cs either 😳 seems I was very lucky last time to get away with it!
Really appreciate the time you all took to reply x

Neil49

To limit the amount of interest you pay you should not wait for your statement to arrive before paying off the balance. As soon as you return just logon to your Clarity account to see how much you owe and pay it straight away.

If you are away for a few weeks you could always get onto the internet in the US and do a transfer from your bank account to Halifax if you really want to limit the amount of interest. Personally I don't think it's worth the hassle and would rather be out enjoying my holiday!