Using Clarity card and ensuring charge is in euros

in Credit Cards
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littlemoneylittlemoney Forumite
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I recently got the Halifax Clarity card to buy an item from a german web site in euros. When making payment using the only option of Paypal, whereby I selected Paypal guest log in where I entered the details of my clarity card. I was then asked the following:

[FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Pay in your currency using the PayPal conversion rate[/FONT]
    • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Exchange rate: £1.0000 GBP = !!!8364;1.0822 EUR[/FONT]
    • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]This rate is 3.50% above the foreign exchange rate provided by PayPal's financial partners.[/FONT]
    • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Amount you'll pay: £58.95 GBP[/FONT]
  • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Pay in the merchant's currency[/FONT]
    • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Exchange rate: Your card issuer will determine the foreign exchange rate you pay. To find out the exchange rate, contact your card issuer.[/FONT]
    • [FONT=Helvetica Neue, HelveticaNeue, HelveticaNeue-Light, Helvetica Neue Light, helvetica, arial, sans-serif]Amount you'll pay: Final amount determined by your card issuer, including any applicable fees.[/FONT]

I am confused as to what is the difference between these two options and which I should select.

I didn't log in to my Paypal account as I wanted to use the Clarity card especially as I can get a £20 cashback if I make a transaction in a foreign currency by 30 Sep 2018. I am unclear as to which of the two options would ensure the charge on my Clarity card was in euros

As this is my first purchase in a foreign currency any advice would be appreciated.

Replies

  • dj1471dj1471 Forumite
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    The first option converts to GBP at a rate that costs about 3% (last time I checked). The second option charges you in the foreign currency allowing the Clarity to convert the currency, which is the option you always want to choose.
  • eDickyeDicky Forumite
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    Yes, choose the option to pay in the merchant's currency, allowing your card to convert your pounds at the ideal MasterCard rate. Allowing PayPal to convert would defeat the purpose of using a card such as Clarity.
    Evolution, not revolution
  • littlemoneylittlemoney Forumite
    608 Posts
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    Thanks for the advice. I have placed my order as I know what to do now.
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