Halifax Clarity - Using abroad Query

Simon7685

We are heading to the US in August on holiday and have opened a Clarity card for spending on without fees. What I want to establish is regarding cash withdrawals.

If I draw cash and then immediately log into my Halifax current account and pay the amount withdrawn, will I pretty much get round the interest charges, as in effect I have withdrawn and repaid on the same day?

If I can do this then I believe I will get a much better exchange rate than if I took all our money in currency. Obviously I intend to use the card for spending as well to get the best deal and will operate the same policy of clearing the card on an ongoing basis. I am just unsure whether or not it will work for cash.

Thanks in advance

[Deleted User]

Yes - assuming you have no other balance. Although, the interest is buttons, so don't worry if you don't pay it off the same day.

Steve059

If you have anything else on the card, you need to pay this as well. And there will still be a tiny amount of interest on the next statement for the time the payment is crawling through the system.

bigadaj

You obviously need to be certain that your internet connection abroad is secure or that could cause more problems than a few pennies in interest.

Typical charges are around £0.75 per £100 for two weeks, so a Fortnights holiday would cost less than that.

Neil49

Unless you can find atm's that don't charge a fee (typically $3 for a cash withdrawal) then you will probably pay more in atm fees imposed by the US banks than the interest charged by Halifax.

I've done what you are suggesting without any problems. From what I recall it took a day or two for the transactions to appear on my Clarity card account.

I suggest you post a question about which US banks etc don't charge an atm fee in the Travel section of this forum, stating where you are going to. For starters, I have used TD Bank in New York and they don't charge, but they are a Canadian based bank and I don't know how far afield they operate in the US

DavidFx

With the Clarity Card you have to wait until the transaction appears on your account before you can pay it. If you have a non-cash advance balance on your card (from purchases) and you credit your account before the cash transaction is added the credit is used to reduce the overall balance and the cash advance is still 'live'. I found this out the hard way but Halifax did refund me.
Cash advances are always cleared before other transactions.

YorkshireBoy

DavidFx wrote: »

I found this out the hard way...

The 'easy' way would have been to read, and understand, condition 6.1 of your agreement with them.

Cash advances are always cleared before other transactions.

Not if you already have a statemented balance. Any payments made to the card go first to statemented balances before 'recent transactions'. Again, see condition 6.1 of your agreement.

Simon7685

Lots of useful advice, thanks to everyone. I totally expect to end up having to pay some small amounts here and there but I just hate paying interest in any form. So the sooner I can pay off what I've used the better. However a few small amounts has to be preferable for the better exchange rate!

I should have bought it prior to referendum night but hindsight is a wonderful thing...........

chattychappy

Simon7685 wrote: »

I should have bought it prior to referendum night but hindsight is a wonderful thing...........

Or hedged with a bet on brexit. Which is what I did!

But then got my debit card blocked because in 20 years I've never gambled and they assumed it was fraud.