Paying for a holiday in a foreign currency on AMEX

Leard91

I am in the process of booking accomodation (a chalet, in France) for a skiing trip I'm organising. The owner of the chalet wants me to pay for the chalet in Euros over the payment link they have sent me. I would like to use my AMEX, just so I can get section 75 protection. Will AMEX charge me a currency conversion fee for this? If so, what options do I have to ensure I can get section 75 protection, and avoid currency fees? I could just pay on my Monzo and avoid all fees, but I'd rather on credit card.

darkcloudi

I would get a Halifax clarity credit card which provide a better conversion rate and don't charge a fee. But if you don't have one now then need to go through application process (they may be others to). 

I think Amex might be more expensive in terms of rate conversion and fees but could be wrong. But i would use a credit card regardless for the protection.

Leard91

According to MSE, AMEX don't charge for 'spending charge'. Does this essentially mean that it's free, or does the 'exchange load' means they charge 2.99% on converting the currency?

DullGreyGuy

Leard91 said:

According to MSE, AMEX don't charge for 'spending charge'. Does this essentially mean that it's free, or does the 'exchange load' means they charge 2.99% on converting the currency?

There will be no explicit charge but you'll be getting an exchange rate intentionally worsened by 2.99%

There are credit cards out there that neither apply an explicit charge nor an exchange loading. 

Travel is notoriously difficult to get S75 protection on because of the use of so many agents and other middlemen than break the required direct connection between Debtor, Creditor and Supplier. 

Nasqueron

If you are paying the owner directly and they are not an agent, could you pay a deposit on the card?

S75 of course is no substitute for travel insurance!

DullGreyGuy

The OP says they've been dealing with the owner and been given a link to make the card payment... it's who that link is that is of potential risk of introducing another party. The owner could be a large corporation and the link is to their own website so no worried but if its a small time operator it could be via a letting agent or other middleman that then breaks S75

Nasqueron

DullGreyGuy said:

The OP says they've been dealing with the owner and been given a link to make the card payment... it's who that link is that is of potential risk of introducing another party. The owner could be a large corporation and the link is to their own website so no worried but if its a small time operator it could be via a letting agent or other middleman that then breaks S75

Exactly and if they have a card payment machine or use a payment processor which could break it

CliveOfIndia

It seems to me there's an easy answer to this one - don't worry about S75 in this case.

The reason I say this is that any protection offered by S75 will be inferior to that offered by a decent travel insurance policy.  Yes, it'll cover you if the supplier goes bust or whatever, but so would a dedicated insurance policy.  But a travel insurance policy will also cover a multitude of other things not covered by S75 like lost luggage, you having to cancel the trip for personal reasons (no fault of the accommodation supplier), medical costs if you break a leg, etc. etc.

It would be extremely short-sighted to not take out a comprehensive insurance policy for a trip such as this - so actually the protection offered by S75 is pretty much irrelevant in this scenario.  And that's putting aside the arguments about whether or not it would cover you anyway due to possible breaks in the supplier-customer link.

But if you do want to use a credit card (and actually, if you want to use a card for spending whilst you're over there, as well), then use one of the so-called "travel cards" such as Halifax Clarity which won't charge any FX fees.  Actually there are quite a few others available these days, some of them arguably even better, it's just that Clarity is one of the old original travel cards, and pretty unique in it's day, so everyone remembers it.

artyboy

I'm just surprised you can find a chalet owner in France that will take amex to start with!

DullGreyGuy

Nasqueron said:

DullGreyGuy said:

The OP says they've been dealing with the owner and been given a link to make the card payment... it's who that link is that is of potential risk of introducing another party. The owner could be a large corporation and the link is to their own website so no worried but if its a small time operator it could be via a letting agent or other middleman that then breaks S75

Exactly and if they have a card payment machine or use a payment processor which could break it

Were that the case no one would have S75 protection as there is no other way of taking a credit card payment but the House of Lords, as the Supreme Court of the day, decided that traditional merchant bank services dont break the chain even though they are in-between the creditor and the supplier. 

Nasqueron

DullGreyGuy said:

Nasqueron said:

DullGreyGuy said:

The OP says they've been dealing with the owner and been given a link to make the card payment... it's who that link is that is of potential risk of introducing another party. The owner could be a large corporation and the link is to their own website so no worried but if its a small time operator it could be via a letting agent or other middleman that then breaks S75

Exactly and if they have a card payment machine or use a payment processor which could break it

Were that the case no one would have S75 protection as there is no other way of taking a credit card payment but the House of Lords, as the Supreme Court of the day, decided that traditional merchant bank services dont break the chain even though they are in-between the creditor and the supplier. 

I didn't say otherwise?

Please read my comments before "correcting" them to give information that is already given

If they have a card payment machine - fine
If they use a payment processor - it may break the link