Using debit card abroad

cherryade44

Hello, I have got a Starling debit card specifically for use for a trip to Iceland. The card claims no fees for use in Iceland. However I'm confused, do I still get charged for currency conversion ? If I pay for meals etc in Krona's will there be a conversion fee to pounds. Thanks for any advice

eskbanker

cherryade44 said:

Hello, I have got a Starling debit card specifically for use for a trip to Iceland. The card claims no fees for use in Iceland. However I'm confused, do I still get charged for currency conversion ? If I pay for meals etc in Krona's will there be a conversion fee to pounds. Thanks for any advice

No, that's what they mean by no fees.

TELLIT01

Wherever you go you should always ensure that payment is taken in the local currency.  If conversion is done at point of sale you will generally get a very poor exchange rate.  Although Starling don't have any fees for use, that doesn't mean there won't/can't be any charges by the bank the service provider in Iceland uses.

cherryade44

@eskbanker and @TELLIT01 many thanks for your replies, much appreciated 

DullGreyGuy

cherryade44 said:

Hello, I have got a Starling debit card specifically for use for a trip to Iceland. The card claims no fees for use in Iceland. However I'm confused, do I still get charged for currency conversion ? If I pay for meals etc in Krona's will there be a conversion fee to pounds. Thanks for any advice

It will convert at Mastercard's exchange rate without either a hidden percentage in the exchange rate nor any overt fees. 

As others have said, some ATMs and POS terminals will offer dynamic conversion to bill you in GBP when they detect a UK card being used, you need to make sure you decline that and pay in Icelandic currency as the offered exchange rate is terrible compared to Mastercards 

cherryade44

DullGreyGuy said:

cherryade44 said:

Hello, I have got a Starling debit card specifically for use for a trip to Iceland. The card claims no fees for use in Iceland. However I'm confused, do I still get charged for currency conversion ? If I pay for meals etc in Krona's will there be a conversion fee to pounds. Thanks for any advice

It will convert at Mastercard's exchange rate without either a hidden percentage in the exchange rate nor any overt fees. 

As others have said, some ATMs and POS terminals will offer dynamic conversion to bill you in GBP when they detect a UK card being used, you need to make sure you decline that and pay in Icelandic currency as the offered exchange rate is terrible compared to Mastercards 

@DullGreyGuy that''s great info, cheers for that

NoodleDoodleMan

If you are considering drawing currency at any point - be aware that the ATM owner bank may well take a commission.

Chase and Starling etc. have no control over that.

I have no idea what the scenario is in Iceland though.

zagfles

We were in Iceland last year. You won't need cash, everywhere takes cards, and I didn't see DCC anywhere.

liamfitz

Hello, Just use the card as if in the UK using your bank debit card. So in your example, here's how it works You top up your Starling Account/card from your normal UK account with say, £100.00,. In Iceland you eat at a restaurant, a meal, which costs 858 KRONA ( it's a good restaurant !). In your phone's Starling app. you see the exchange rate they give, at the time of purchase, is 8.58 KRONA per POUND ( sterling ). As you pay with your card, 858 KRONA, this would cost you £100.00. So at this point, after paying for your meal, you now have a balance of £0.00. P.S. Probably better if you pay in £110.00 say, ( in reality ) just to allow for fluctuation in exchange rate - and make sure you don't go overdrawn !

eskbanker

^ Necropost - this thread is over two years old!