Avoiding charges on Sterling to Euro transactions

Stingy8astard

I have been using TransferWise to make payments in Euros.

I usually make a couple of payments a month; each is around €300 - €350.

However, I have noticed that when using a credit card to make the payment to TransferWise, the payment is treated as a 'cash advance' or money transfer by the card issuer, and attracts a hefty interest charge!

Would I be able to load Sterling from a bank account onto a pre-paid credit card (e.g. WeSwap) and then use the WeSwap card to pay TransferWise without incurring any additional charges?

If not, can anybody suggest a better way to make the Sterling payment?

And does anybody have any tips on how to word a complaint to the card issuer about what I consider 'hidden charges' in order to get the interest charges refunded, or will I have to exhaust the issuer's complaints procedure before taking the complaint to the ombudsman?

agrinnall

Use a debit card would seem the obvious solution.

Hamburglar0_0

Suggest you either send the funds to TW via bank transfer or pay using a debt card. Both should be free.

With regards complaining - yes in the first instance you need to complain to your credit card provider and Trading Standards.

eDicky

I'm not sure there's anything to complain about, it's common for such transactions with a credit card to be treated as a cash advance - you are 'buying' money to send. So as said, why not use a debit card?

Alternatively, use Revolut to send the payment, they accept credit card without fee and it is usually treated as a purchase. Interbank rate (weekdays) and no fee up to £5k/month, free international payment..

dj1471

Last time I used TransferWise (last month) they were still charging for debit card payments in contravention of UK law.

When I complained they demonstrated a very incorrect understanding of the legislation.

mgdavid

dj1471 wrote: »

Last time I used TransferWise (last month) they were still charging for debit card payments in contravention of UK law.

When I complained they demonstrated a very incorrect understanding of the legislation.

Then use CurrencyFair ! There's no charge to transfer by online bank transfer, their rates are competitive and the exchange fee is £2.50.
No vested interest, just a satisfied customer...

eskbanker

Stingy8astard wrote: »

does anybody have any tips on how to word a complaint to the card issuer about what I consider 'hidden charges' in order to get the interest charges refunded

Dear Card Issuer,

I recently used your card to access cash and was charged as if I'd used your card to access cash!

This type of devious skullduggery is outrageous....oh, hang on a minute, I get it now.

Forget it; as you were....

Love and kisses,

Stingy8astard

dj1471

mgdavid wrote: »

Then use CurrencyFair ! There's no charge to transfer by online bank transfer, their rates are competitive and the exchange fee is £2.50.
No vested interest, just a satisfied customer...

TransferWise also don't charge for bank transfers, which is how I paid, I was merely pointing out that advice to the OP to use a debit card will still result in charges.

Besides, if TransferWise weren't the cheapest I wouldn't have used them! CurrencyFair, like most brokers, don't support my destination currency.