Travelex Supercard

kazmeister

If it's so good, how is Travelex making any money from it?

Over to MoneySavingExpert founder Martin Lewis:

“I asked exactly that question when Travelex first told me of its plans to launch Supercard. So much so I asked if it’d come in and chat to me about it so I could understand it.

"On the surface this is a loss-leader as there are no charges whatsoever. Even if it had added just a 0.1% charge to the exchange rate, it would’ve made sense.

"My big concern is this card would be cheap for six months then it’d whack on stealth charges. I specifically asked if it planned to do this, but it said that wasn’t the business model (of course, if it ever does change tack, I’ll let you know via my weekly email). After a little bit of pushing (it didn’t want to reveal commercially sensitive info), I finally managed to get it to explain.

"Travelex is a major player in the travel cash game, but it knows nothing about the people it deals with. By and large, its customers walk up to one of its bureaux de change, make the exchange, then walk off with their currency or they buy online.

"Supercard is all about building a customer database. Who they are. Where they go on holiday. What they buy.

"Then it aims to develop future products with a ready-made customer base (as many other firms do). It didn’t explain what these products are, but I suspect it’ll join the sending cash overseas market for example, for those looking to buy properties abroad.

"So in a nutshell, it seems (and you can never know 100%) the aim here is it believes offering a loss leader like Supercard is effectively a cheap model for customer acquisition for future products.”

Petetobin

Maybe that's why a lot of people didn't get a card and those who did are struggling to use it. They can build a customer database without it costing them anything! Of course, no one will buy any of their products as they will hate them!!

Ballard

I'm another who's far from impressed with their customer services. I have the card but couldn't remember the password and it proved impossible to change it through the app and my account is now blocked. I rang them and they asked for a screenshot of the error which I sent last Monday.

I won't be using it until November but I'd like it sorted earlier as I have some flights to book in NZD & AUD and wanted to try it out online. I might apply for the Halifax Clarity card as well but I don't really want to withdraw cash on it as I'll be away for 6 weeks so the interest I'd be liable to would make the 'fee free' less attractive (although I haven't calculated it).

NiftyDigits

Ballard wrote: »

I'm another who's far from impressed with their customer services. I have the card but couldn't remember the password and it proved impossible to change it through the app and my account is now blocked. I rang them and they asked for a screenshot of the error which I sent last Monday.

I won't be using it until November but I'd like it sorted earlier as I have some flights to book in NZD & AUD and wanted to try it out online. I might apply for the Halifax Clarity card as well but I don't really want to withdraw cash on it as I'll be away for 6 weeks so the interest I'd be liable to would make the 'fee free' less attractive (although I haven't calculated it).

You can arrange for payments to cover your withdrawals on the Clarity.

Gloomendoom

Ballard wrote: »

I won't be using it until November but I'd like it sorted earlier as I have some flights to book in NZD & AUD and wanted to try it out online. I might apply for the Halifax Clarity card as well but I don't really want to withdraw cash on it as I'll be away for 6 weeks so the interest I'd be liable to would make the 'fee free' less attractive (although I haven't calculated it).

If you pay off the amounts you withdraw as soon as possible, the interest is likely to be pennies. We use a Clarity for extended trips and have never paid more than a pound. If I remember correctly, our last trip cost us 76p. That was for two people over several weeks staying in Singapore, Perth and Melbourne.

Petetobin

I tend to prepay my Clarity card before I head off travelling and get the cash out early so the prepayment is applied to the cash transactions.

matty_art

Can you prepay it? I thought that was against the T&Cs.

Petetobin

I do, I just don't run credit balances for any prolonged period of time.

Ballard

NiftyDigits wrote: »

You can arrange for payments to cover your withdrawals on the Clarity.

Would I be correct in thinking that I'd need to logon to my bank to send the funds whenever I withdraw from an ATM? If this is the case then as much as I see the cost saving in using the Clarity I'm happy to use the Supercard for the sake of convenience.

Since my earlier post I've received the email from Travelex and have been able to use the Supercard to book a flight online. NZ$ 95.00 = £41.70. xe.com calculates it as £41.36 so I'm happy with this rate.

DilbertJones

Petetobin wrote: »

I do, I just don't run credit balances for any prolonged period of time.

How do you do this? DO you send an electronic payment just before you leave the UK?