Fee free overseas spending: Barclaycard vs Clarity vs Monzo vs Revolut ?

izawa

Hello guys,

Various debates on what card gives better FX rates. Over the last 14 years I have been using Post office (not the travelmoney but their credit card which isnt offered anymore i think)  followed by Halifax clarity during 2019s followed by Barclaycard for overseas spending from 2023.

I found that Barclaycard gave slightly better rate than Clarity when compared both spends on same day.

My folks have been saying to use Monzo or Revolut and whilst reading about them, I am struggling how better can it be compared to Barclaycard? Leave aside 0.25% cashback , we focus on pure 0 fee FX spends.

People say use Monzo as it allows you to keep pockets of currencies. I have a HSBC global account which allows something similar. The rate I got on HSBC global that was very similar to Barclaycard. Barclay 0.25% cashback gives an edge here.

So I am really daft in thinking what better features does Monzo or Revolut offer in terms of overseas spend? Am I really missing any trick somewhere? Usually my overseas spends is in region of 70 euros/ day

Yes - I have read about Lloyds credit card and I may be tempted to apply for that and close down our Halifax clarity (it has served us very well and we are very grateful)

BlueonBlue

I would go with the Barclaycard ....they have telephone customer service...... you could use the clarity as a backup although I would probably look at and try the Lloyds card .

As far as the Clarity is concerned I dont believe its the same as it once was although others say thats incorrect .
Maybe I used it differently .

Im certain the clarity isnt great as the card was once the king then it all changed circa 2017 .
I read alot of detail on the work arounds on the old stoozing forum .....ultimately its now limited and a pia for long stays.

I did use the clarity alot from when it launched right through until the winter of 17/18 for long stay trips of around two months spending and withdrawing which meant long stays passed through billing cycles .

sausage_time

Barclaycard Rewards card also offers FX fee and interest free ATM withdrawals, which could be useful for occasional use.  Occasional because cash advances will likely show on your credit report if that concerns you.

Of course many ATMs slap on a charge, and always always pay/withdraw in local currency.  

daveyjp

For a very small percentage difference a day it really isn't worth analysing.  You don't know the rate before you spend and over years it will probably even out between providers.

MyRealNameToo

If cards are 0 fee, margin or whatever name they come up with to make some money for themselves then the rate being used is going to be that of MasterCard or Visa depending on which network the card uses. 

Both networks have known open policies of how the rate is set, there is no intrinsically better one than the other and simply sometimes one is fractionally better and sometimes the other is.  Some claim that one edges the other more often than not but generally its not the sort of margin thats going to make a material difference to your average punter.

BlueonBlue

Many years ago Nationwide had a overseas spending card that was known as the card to use .

If you worked out the Visa exchange rates on the transaction day ..... the rate you got was incorrect .
Difference in rates was just over £10 on one large transaction which they paid me back after contacting them .

So effectively they were using whatever rate suited them not the visa or mastercard rate on the day of spend .

izawa

Thanks all, then how about comparison of Barclaycard/Clarity vs Monzo/Revolut? Are the latter any worth?

BlueonBlue

What your asking is complex and ultimately personal choice so you need to do your own homework ....this MSE  link sums it all up so read it .

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

I wouldnt use revolut personally not without another travel account/card loaded with cash in case revolut  goes pear shaped .
What ever you get or do .....a backup travel card is needed..... ideally ....and cash for the unexpected.

Without even reading or thinking about it all ...I would get a barclaycard travelcard and a chase debit card but also look seriously into the Lloyds card or anything else that takes your fancy .

The fact you mentioned Revolut or the Clarity says you need to study it all as that last card is old news its still ok but it will have costs .
With Revolut who you gonna call with a frozen account ?

Over time travel cards chop and change its how banks work although the Clarity was top dog for about 7years up till 2017 ...I cant recall exactly .

izawa

https://forums.moneysavingexpert.com/discussion/comment/81855641#Comment_81855641

Thanks!

I have applied and been approved for Lloyds. I will most likely get Clarify cancelled and keep Barclaycard as backup for overseas spend.

I had absolutely no idea that Clarity had fallen off that much. Maybe I should check MSE every year to make sure I am getting the best for my travel spends.

BlueonBlue

The Clarity had a work around in 2017/18 but it was just a PIA when your supposed to be on a holiday over months .

Far easier to use another card that just does it all without costs to use your own money ie spend and withdraw cash.

When things go wrong or the unexpected hits …..then your ready and prepared .

You have to keep up to speed on the best cards to use because the banks will always move the goalposts sooner or later itst a matter of time .

Nebulous2

https://forums.moneysavingexpert.com/discussion/comment/81858650#Comment_81858650

I still use Clarity for most of my overseas spending or purchases here that are made in foreign currency and for that it is as good as it ever was.

Where it doesn't match newer cards is for withdrawing cash. If you take cash from an ATM they will charge you interest from the day you get it - like cash withdrawals are normally treated at home with credit cards. I use a different card for any cash withdrawals.

The other area where newer travel cards may give a benefit is in paying cashback. The most notable example of that was the Chase debit card, which gave 1% cashback on all purchases including abroad, whilst they were building customers, but that has now stopped.

It's a good idea to have more than one option when you go abroad, in case one card gets blocked or has a technical problem. See this recent thread:-

Random Declines - could be dangerous — MoneySavingExpert Forum