Credit card charges abroad - warning

Dfmacarry

Hello
I've just got myself a travel credit card for my trip to Australia. I'm surprised (shocked!) By the number of businesses charging an additional fee for paying by credit card. I got this card on Martin's advice that travel credit cards are the best (cheapest) way of spending abroad. But no mention of the 1-2% surcharge on transactions. This may turn out to be the most expensive way of spending. Of course I can avoid businesses that apply this levy. But it's tricky. (Especially when it's accommodation charge). And it seems to be a prevalent practice here. Not like UK where additional charges are illegal. This has caught me unawares. I think there should be SOME warning about these practices on the website. Not such a happy camper! Return to atm cash withdrawal. Any other solutions?

stevie11

Can you name the card you have? I have used the Halifax Clarity extensively whilst travelling for many years and the only extra fees are from cash withdrawals at ATM's.

I have also recently got an MBNA Horizon card which operates in the same way. There are a number of these credit cards which are particularly good for zero transaction fees. (Exc ATM's).

Gloomendoom

I have used the Clarity, Monzo and Starling cards in Australia quite extensively without ever being surcharged on purchases. You do have to pick and choose ATMs however. Some charge and some don't. I have found the Commonwealth bank the best ones to use if there is a choice.

bradders1983

Dfmacarry wrote: »

Hello
I've just got myself a travel credit card for my trip to Australia. I'm surprised (shocked!) By the number of businesses charging an additional fee for paying by credit card. I got this card on Martin's advice that travel credit cards are the best (cheapest) way of spending abroad. But no mention of the 1-2% surcharge on transactions. This may turn out to be the most expensive way of spending. Of course I can avoid businesses that apply this levy. But it's tricky. (Especially when it's accommodation charge). And it seems to be a prevalent practice here. Not like UK where additional charges are illegal. This has caught me unawares. I think there should be SOME warning about these practices on the website. Not such a happy camper! Return to atm cash withdrawal. Any other solutions?

Yes, because they wont cost you anything in fees, will it?

Sharon87

If you want to pay for accommodation I personally use UK sites like hotels.com or expedia because you can pay in pounds when you pay in advance.

Credit cards are cheaper for 'holiday spending' aka when you're there, use it instead of cash currency.

zagfles

Dfmacarry wrote: »

Hello
I've just got myself a travel credit card for my trip to Australia. I'm surprised (shocked!) By the number of businesses charging an additional fee for paying by credit card. I got this card on Martin's advice that travel credit cards are the best (cheapest) way of spending abroad. But no mention of the 1-2% surcharge on transactions. This may turn out to be the most expensive way of spending.

Why do you think 1-2% will be "the most expensive" way of spending? If you changed cash the charge would likely be 4-5%.

Of course I can avoid businesses that apply this levy. But it's tricky. (Especially when it's accommodation charge). And it seems to be a prevalent practice here. Not like UK where additional charges are illegal. This has caught me unawares. I think there should be SOME warning about these practices on the website. Not such a happy camper! Return to atm cash withdrawal. Any other solutions?

What card have you got? If a Barclays travel card, withdraw cash and pay in cash, if the Clarity, the same except pay it off asap to minimise interest.

Duckyduck

Would a debit card have avoided the charges? Monzo or Starking May have been more suitable. It’s good to have a couple of options.

Archergirl

Used my Nationwide there before OK

Neil49

Used Clarity and Monzo in Australia last year and didn't get charged anything extra. Australia is a big user of cards so cash not really needed. Even found a petrol station that gave a discount for using card over cash to offset the charges imposed by the banks for paying in cash.

Strange that the OP hasn't responded to the comments.