Paying off a cash withdawal Halifax Clarity

jennifernil

Normally we do not bother paying off the cash, but as we have internet access I thought we woud try to save a few pennies,

Today (Sunday 22nd) we took out 100 euros in France.

My next statement will be prepared on the25th, previous statement has been paid a few days back.

I can see on the "pending transactions" the cash we just took out today, if I pay it off + a little extra for any interest, will the money go to pay off this cash withdrawal, or do I need to wait till it actually appears on the "recent transactions" list?

grumbler

I would wait until the transaction moves from pending to recent.

jennifernil

Thanks, that was my thought too. Will wait a day or two and hope we still have internet access.

We are on a caravanning trip (we spend 3-4 months away every year) and internet is not always readily available in more remote areas.

grumbler

jennifernil wrote: »

Will wait a day or two and hope we still have internet access.

You can make a postdated payment while you have the access.
Later, if you still have access, you can adjust/cancel it if needed.

eDicky

The final GBP amount on settlement will probably differ slightly from the amount you see pending right after the withdrawal, due to exchange rate movement. But a few pence under or overpaid would hardly matter.

lr1277

I don't know if this will help but here goes....

A few years ago, I took cash out of a UK cash machine using my credit card, accidentally. I had fully intended to use my debit card, but by the time I realised it was too late and the transaction was complete.

Later that evening, I transferred money to my credit card, and a little bit extra, just in case. I was not charged any interest whatsoever.

It may have helped that the credit card was with the same bank as my current account.

HTH.

chattychappy

I use Clarity alot for foreign ATM withdrawals. I would wait for it to "appear" on your account before paying off. Technically you are putting the account into credit if you pay before the transaction goes through.

I don't bother sending "a bit extra to cover the interest". By doing this, you are only saving interest on interest, as interest on the withdrawal amount will stop when your payment arrives. On a 100 euro withdrawal, if you pay a week later, without sending extra to cover the interest and pay the interest on the next statement instead when the the transaction is shown (say a month later), then the extra interest you will pay is less than half-a-penny.

jennifernil

Thanks everyone. We have all our holiday spending on the card too, so no danger of it going into credit !!

However, I want to be sure they use the money I send to pay off the cash withdrawal, which I was not sure would happen if the withdrawal had not yet appeared on the "recent transactions" list.

One more question.......

If paying off cash listed on the statement after the statement is prepared and the DD amount set (we pay in full), will the DD amount eventually taken be reduced by the amount already paid off?

nb0825

This question has come up so many times, its worth doing a sticky thread

Dobbibill

If you have other transactions on your CC then it is best to wait until the cash withdrawal appears on your recent transactions before you make a payment.

chattychappy

Dobbibill wrote: »

If you have other transactions on your CC then it is best to wait until the cash withdrawal appears on your recent transactions before you make a payment.

I think the issue is the interaction with DD. Any payment (DD or otherwise) will be applied to statemented transactions before unstatemented transactions. If the OP is using DD, then the DD will be taken on or shortly before the due date. That means if the OP makes a withdrawal after the statement date and before the due date and then sends a payment to cover the ATM amount, that payment will, unfortunately, be applied to the previous statement balance. Interest will continue to run on the ATM withdrawal.

The OP's last question remains: having made the manual payment, will the DD amount taken be adjusted? I'll leave that to another poster as I never use DDs, partly because of this kind of issue. I do know that different cards interact differently - eg MBNA always take the DD amount, regardless of manual payments in the meantime.

I usually separate my foreign ATM withdrawals (Clarity/Santander Zero) from my foreign purchases (Nationwide Select/Post Office Mastercard). I pay off the cash withdrawals a few days after I make them and don't wait for the statement, knowing the payments will be correctly applied. For the purchases I pay in the usual way - some time between the statement day and the due-by date. If I do use Clarity for purchases, then I pay them off at the same time I pay off the next ATM withdrawal. Ie every time I make an ATM withdrawal I clear the entire outstanding balance - outstanding purchases + cash. Generally my Clarity statements are zero - except perhaps a few pence interest.