Best Debit/Credit Card for abroad

jonnypb

Currently have a Nationwide Flexplus account which I mainly use for savings and for their travel insurance and other benefits.  Been looking for a card to use while on holiday in Europe as my Natwest account isn't fee free when using abroad and I was kinda wanting not to use the nationwide card as I put money away in that each month and don't touch that account.

I do have one of the cash passport cards that I got from sainsbury's and used years ago but you have to load that up with euros before being able to spend and there's always the risk that you come home with euros left on the card and then have to convert back to sterling.  The benefit of it is that when you load euros onto it you know what the exchange rate is at the time of doing so and even if the rate then drops you know that whatever you put on the card at that time it makes no difference as it's already in euros.

I've heard a lot of people using Starling abroad as it's fee free, but would there be any other benefits to that compared to my nationwide flexplus debit card which is also fee free like a better currency exchange rate?  I know nationwide will use Visa for the currency exchange rate at the time of purchase, does starling do the same or do they use their own exchange rates?

Thanks

jackieblack

https://www.moneysavingexpert.com/credit-cards/travel-credit-cards/

400ixl

Starling uses the Mastercard spot rate at the time of purchase, so as good as you can get really. Many have the second account so that they can separate the money they have as you don't get the same levels of protection should the debit card be cloned that you do with a credit card. Therefore having a limit amount in the account being used with a debit card mitigates some of that risk.

Having a good travel Credit Card gives more protection than a debit card, but can have some costs for cash withdrawals though.

It is always best to have multiple means of payment, especially when abroad, so having 2 fee free debit cards, or 1 fee free debit card and a good travel credit card would always be a good idea. Especially in a world where there is little need to carry local currency as cash in most countries now.

Doshwaster

My travel choice is
Debit: Starling with my usual HSBC card as a backup (even though it's expensive for overseas use)
Credit: Halifax Clarity with several backups

Really important to have backups but even more important not to keep them all in the same place. If travelling as a couple make sure each of you has different cards and if solo then they aren't all in the same wallet. I always leave at least one card back in the apartment/hotel.

What I like about Starling is the instant (and I meant instant) notifications of all transactions. As long as you make sure that you pay in the local currency then there will be no additional fees. Some cash machines can be deliberatively confusing and waiters have been known to press the GBP button on your behalf.

With Starling there is an option to operate a EUR account alongside your main Sterling one but there really are no advantages unless you want to track all of your spending in Euros. 

NoodleDoodleMan

"With Starling there is an option to operate a EUR account alongside your main Sterling one but there really are no advantages unless you want to track all of your spending in Euros." 

Would a Euro account prevent these waiters from trying to convert a transaction to GBP - or eliminate the ATM from doing the same ?

eDicky

NoodleDoodleMan said:

"With Starling there is an option to operate a EUR account alongside your main Sterling one but there really are no advantages unless you want to track all of your spending in Euros." 

Would a Euro account prevent these waiters from trying to convert a transaction to GBP - or eliminate the ATM from doing the same ?

No, the Starling debit card is UK issued and recognised as such by payment terminals and ATMs.

NoodleDoodleMan

Thanks for clarification.

[Deleted User]

jonnypb said:

Currently have a Nationwide Flexplus account which I mainly use for savings and for their travel insurance and other benefits.  Been looking for a card to use while on holiday in Europe as my Natwest account isn't fee free when using abroad and I was kinda wanting not to use the nationwide card as I put money away in that each month and don't touch that account.

NatWest debit card payments are charge free this summer https://www.natwest.com/life-moments/travel/spending-abroad.html

So you'll get the Visa or Mastercard rate (depending on the logo on your card) when spending overseas.

Ballard

I have Halifax Clarity (credit), Starling, Monzo & Chase debit cards. My preference is for Chase as they currently pay 1% cashback on all debit card transactions that you're likely to make on holiday.

For my last trip I did pretty much all of the spending for my group on the Chase debit card. I logged onto the Chase app once a day and put notes against all debits to show who was involved in that spend. Once I got back I prepared a spreadsheet and the other two paid me what they owed. I don't see any significant difference between any of the above cards, to be honest. 

I have seen it mentioned that in certain situations you're better off using a credit card as you then get section 75 protection but I don't feel the need to have that on any of my holiday spend. There can be limits on ATM withdrawals from some cards but being as I generally use the card rather than cash I don't get close to the limits but having three debit and one credit card would allow me to withdraw as much cash as I'd ever need.

Doshwaster

Ballard said:

I have seen it mentioned that in certain situations you're better off using a credit card as you then get section 75 protection but I don't feel the need to have that on any of my holiday spend. There can be limits on ATM withdrawals from some cards but being as I generally use the card rather than cash I don't get close to the limits but having three debit and one credit card would allow me to withdraw as much cash as I'd ever need.

Another time it is good to use a credit card is when a hotel or car hire wants to put a security hold on your account as a deposit. Putting it on a debit card stops you spending that money and it can take a week or two for the hold to be released, by which time your holiday may be over. As long as you have a decent limit then this is less of a problem on a credit card.

Of course a credit card can also be essential in case of an emergency