Gap Year Credit Card advice

diablodaz

Hi, Im travelling round the world for 5months on Jan 16th and I am currently in the middle of acquiring a Nationwide Debit Card thanks to money saving expert, but in terms of credit cards I am torn between getting a HSBC 9 month interest free card for the big purchases abroad i.e. sky diving etc. or getting a Post Office or Nationwide Credit card for the zero charges abroad.

So I am wondering if anyone can help me shed some light on the pros and cons, and ultimately which card you recommend.

Regards

Darren

melancholly

how are you planning to 'manage' the card? will you be doing online banking while you're away or setting up a relative as third party mandate to check your bills and sign cheques to pay them or do you just want to ignore everything until you get back?!

Voyager2002

I have used the Nationwide card in this situation: their on-line banking is effective.

An interest-free card is only worth what it saves you. If you have the money available to clear the full balance, then the value of the interest-free benefit is only the interest you can earn by keeping this money in a savings account for the nine months. If you don't have the money then you ought not to be spending it.

diablodaz

I do have the money in my debit card account, its just for the fact that after the three months interest free period is up post office or nationwide will be charging me 15% interest (approx) for the last two months I will be there also when I get back as well into work.

Does anyone know the difference in cost between having an interest free card, but having foreign charges or having a 0% charges credit card such as the nationwide card but have an interest free period of only 3 months tops and 15% interest (approx) added on top.

Also I don't really want the hassle of dealing with switching funds about whilst I am away and would prefer to pay anything off when I get back, or is it advisable to set up up a third party mandate, if so how would I go about doing that.

Thanks Darren

diablodaz

I think what I may have to do is apply for a Nationwide Credit Card and every week go onto the online banking and use my funds from the Nationwide Cash card and put them into to equalise the Credit card, cause I feel that I will probably save more of the nationwide credit card as I am out there longer, thus making more purchases, as a result saving more on the nationwide credit card than I would on the hsbc 9-month interest free card but with foreign charges. If anyone has any other ideas or comments I would be very grateful to hear them

diablodaz

Sorry folks I have just changed my mind, I feel that just for ease of use and peace of mind whilst travelling I will take a 0% interest free card card, I was wondering if anyone could tell me about some 0% interest free cards that have the lowest charges for abroad.

Regards

Darren

cundall

when i went travelling RTW i took the nationwide cards (debit and credit), you can control everything online.

Donnie

Your problems are solved: Audi Mastercard

Voyager2002

Do please remember that even with an interest-free card, you still have to make the minimum payment each month. This can be done easily via on-line banking, or you can set up a direct debit so that the payment is taken automatically.

If you can get a new Nationwide card, with no interest for the first three months, then that is the way to go. Ensure that minimum payments are made until the end of the interest-free period, and that then the full balance is paid off.

If you get the HSBC card with a longer interest-free period, you gain by earning interest on the money you have saved to pay it off, and so will earn about 1 per cent in that three months. However, you will have to pay their foreign currency fee of about three per cent.

diablodaz

Just wondering, if anyone has used the 0% interest free Halifax cards as I currently with Halifax already, also if the charges are better than say the HSBC Credit Cards etc.

Regards

Darren

Donnie

Did you have trouble reading and digesting my post? I tried to keep it as simple as possible.