pay in local currency or sterling?

dizzytina

We are going to America this month and Barclaycard have offered us a o% fee deal on all cash withdrawals and transactions abroad. My question is when you pay with a card abroad should you choose pay in dollars or pay in sterling pounds when prompted?


Something in my mind says I've read previously pay in sterling but I'm not sure if I'm correct now!!!
Help please :-)

Voyager2002

Barclaycard are not a charity and I suggest you ignore this kind offer and use one of the recommended options, such as Revolut.

eDicky

dizzytina wrote: »

Something in my mind says I've read previously pay in sterling but I'm not sure if I'm correct now!!!

Your doubt is well founded, the rule is to ALWAYS choose to pay in the local currency.

dj1471

Why on earth should the OP ignore the offer to use their card abroad without fees? Revolut is not the answer to every question.

To answer the actual question always pay in the local currency, never in sterling.

But check the terms of the offer carefully to ensure there are no fees or load on the exchange rate. They will likely still charge daily interest for cash withdrawals, if so go online and pay these off straight away (you may need to clear the entire balance to avoid interest depending on how Barclaycard allocate payments).

dizzytina

dj1471 wrote: »

Why on earth should the OP ignore the offer to use their card abroad without fees? Revolut is not the answer to every question.

To answer the actual question always pay in the local currency, never in sterling.

But check the terms of the offer carefully to ensure there are no fees or load on the exchange rate. They will likely still charge daily interest for cash withdrawals, if so go online and pay these off straight away (you may need to clear the entire balance to avoid interest depending on how Barclaycard allocate payments).

Thanks for your help ..... Yes I am assuming there would be a daily interest (but I am going to ring and determine that). It was intention to log on after each transaction and pay it the same day as we have wifi while we are there so I can keep a daily eye on the account and any transactions.

Murphy_The_Cat

dizzytina wrote: »

Thanks for your help ..... Yes I am assuming there would be a daily interest (but I am going to ring and determine that). It was intention to log on after each transaction and pay it the same day as we have wifi while we are there so I can keep a daily eye on the account and any transactions.

What a sad waste of your valuable holiday time.

SW17

dizzytina wrote: »

Thanks for your help ..... Yes I am assuming there would be a daily interest (but I am going to ring and determine that). It was intention to log on after each transaction and pay it the same day as we have wifi while we are there so I can keep a daily eye on the account and any transactions.

There should only be interest from the time of transaction on cash withdrawals, not purchases, so you don't need to monitor every transaction. Even with cash withdrawals, unless you withdraw a lot and have very high interest rates on your card, the interest should be minimal, I wouldn't let it dominate your holiday.

Would also suggest double checking that "no fees" also extends to the exchange rate itself, that they are not putting a markup on the Visa/MC exchange rate and somehow not describing that as a fee. If you at getting the Visa/MC rate and no other fees, it seems a good offer.

Voyager2002

dj1471 wrote: »

Why on earth should the OP ignore the offer to use their card abroad without fees? Revolut is not the answer to every question.

I doubt very much whether it is genuinely without fees, and agree with your advice to check the details carefully. (I am familiar with a similar HSBC "offer" that is in fact rather expensive, although this Barclaycard deal is a new one to me.) However, the OP asked a fairly basic question and so might easily be misled, so the best advice is to use an option that works for everyone else.

NiftyDigits

Since Barclaycard usually charge a flat rate of 2.99% for cash withdrawals, there should be no reason as to why the 0% offer is not genuine.
The real question is why I have not been offered this deal? Not that I need it, but that is not the point.
It means that I cannot scrutinise it.
Going to check my post...

leylandsunaddict

Voyager2002 wrote: »

I doubt very much whether it is genuinely without fees, and agree with your advice to check the details carefully. (I am familiar with a similar HSBC "offer" that is in fact rather expensive, although this Barclaycard deal is a new one to me.) However, the OP asked a fairly basic question and so might easily be misled, so the best advice is to use an option that works for everyone else.

Revolut isn't without fees either. They charge 2% for withdrawing over £500 cash a month.