Debit card costs in USA

smallzoo2

my daughter who is 23 is going to New York for the week and only has a halifax debit card. She says she's tried to get a credit card but cant as she works part-time

When I looked at the halifax fees they are 2.99% foreign transaction fee plus £0.50 per purchase

Halifax have a travelready scheme were you pay £7 per week to avoid the foreign fee but there doesnt seem a way to avoid the £0.50

She does not want to carry cash around New York so any suggestions to minimise her costs ?

She estimates she will spend around £300 when she is there a she is staying with a friend of ours

Thanks

daveyjp

Starling current account is Forex free.

bagand96

There's also Monzo and Chase that are fee free abroad. Chase has the added benefit of no ATM fees at Chase ATMs if she wanted some cash. 

Some available from High Street banks too https://www.moneysavingexpert.com/credit-cards/travel-credit-cards/#top

lr1277

This is not a recommendation as I have never used this product, but there is the Currensea card.

Main advantage is there is no form of credit check. The reason there is no credit check is that it plugs straight into your current account and draws the money from there. This is assuming Currensea have a relationship with Halifax and there is no reason to think that they don't.

Say something is bought for $30 in the US. Currensea checks your current account has enough money to pay that amound (and I think puts a hold on that money) then authorises the transaction in dollars. A day or 2 later the money is debited from the current account.

There is a free version and a paid version.

I don't know the details but the paid version uses the interbank rate (which is better than the fx fee free rates offered by other providers). The free version costs a little based on the interbank rate.

As it acts like a debit card there is no S75 protection. And I am unsure how a chargeback might work.

If your daughter doesn't want to go through the hassle, she could use her halifax card. 3% of £300 is approximately £9.

Your daughter needs to decide if she is willing to through the hassle to save approximately this much money?

Edited to add: sorry I overlooked the 50p per transaction with Halifax. Then I don't know her total costs pounds sterling wise.

smallzoo2

so are you saying allof these options also avoid the foreign currency purchase fee of £0.50 for each purchase ?

la531983

smallzoo2 said:

so are you saying allof these options also avoid the foreign currency purchase fee of £0.50 for each purchase ?

Thats clearly just a Halifax thing. Chase and Monzo wont add anything extra on, if she buys something for 10 dollars its converted to GBP at the Mastercard rate and thats all she pays in GBP

MyRealNameToo

smallzoo2 said:

so are you saying allof these options also avoid the foreign currency purchase fee of £0.50 for each purchase ?

Yes, the likes of Starling and Chase charge you no fee and no adjustment to the FX rate charged by Visa/Mastercard. 

The only thing of note is that receiving non-GBP deposits isnt fee free but thats just a case of using Wise or another solution if someone wants to pay her in USD for something whilst out there but fairly unlikely to happen whilst on a weeks holiday. 

daveyjp

No charges for using Starling for payments or cash withdrawals.

ATMs may charge a fee, but that's levied by the ATM provider, not the card provider.

I'd would however take some cash if only for tips.

MyRealNameToo

daveyjp said:

I'd would however take some cash if only for tips.

And remembering that tipping culture is massive there with staff relying on them to make up the majority of their wages. 

In most cases bills will turn up with the options of 15%, 20% and 25% tip precalcuated and you just put it all on the card but say you get a glass of water at a bar you often won't be charged but its customary to give the bar tender a dollar (might have inflated since I last went). 

Blackbriar_040

I would go for the Chase debit card!

App is very good, easy to link current account, transfer money instantly!
As mentioned, no fees, plus their are Chase Manhattan ATM's everywhere!

If she planning on shopping, NY is expensive, City tax!
Head to one of the discount malls, outside the city!

Plus, don't recommend trying the Root Beer, is taste like Germoline!  

Exodi

I'd recommend the Wise card - used it for many years in the past, no issues.

Nowadays I use my Nationwide FlexPlus account (but costs £18 p/m) but my sisters constantly hassle me for the wise card.

https://wise.com/gb/card/