Car hire taking deposit, not blocking??

Gilbs
Gilbs Posts: 25 Forumite
First Anniversary First Post
in Flights, currency & car hire
Hi there

I’m going on holiday in a few weeks to Malaga and have a car for 12 days.

Got car hire really cheap through Goldcar (I know these get a bad rep, but I used them last year without a hiccup). I’ve also taken out separate insurance as through them it was ridiculous.

The only thing that they did do last year, was actually take around £1500 off my MasterCard credit card, and then refund it. But due to the exchange rates on my card I lost out on about £50. Every time I’ve hired a car before this they have just blocked it on my card rather than actually take it off. Is this standard procedure these days, or is it just goldcar? And what do people normally do on this situation to incur the least cost?
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Comments

  • eDicky
    eDicky Posts: 6,572 Forumite
    First Anniversary Name Dropper First Post
    Gilbs wrote: »
    But due to the exchange rates on my card I lost out on about £50.
    Don't you have a fee free card for travel?

    https://www.moneysavingexpert.com/credit-cards/travel-credit-cards/
    Evolution, not revolution
  • HHarry
    HHarry Posts: 883 Forumite
    First Anniversary Name Dropper First Post
    eDicky wrote: »
    Don't you have a fee free card for travel?

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

    A fee free card won't protect you from exchange rate fluctuations between payment and refund.
  • Gilbs
    Gilbs Posts: 25 Forumite
    First Anniversary First Post
    Thanks for the replies

    I have a NatWest platinum credit card (I know these are crap, it’s just what I’ve had for years and meaning to change it) that I thought was 0% on overseas transactions. Is it simply that I need to tell them to take it off and put it back on in euros?

    Cheers
  • eDicky
    eDicky Posts: 6,572 Forumite
    First Anniversary Name Dropper First Post
    HHarry wrote: »
    A fee free card won't protect you from exchange rate fluctuations between payment and refund.
    That's true, and the fluctuation might also be in your favour. But OP dues not give a clear reason for the £50 loss, which would be quite a drop in GBP value over 12 days if that were the sole cause. Hence my initial question.
    Gilbs wrote: »
    I have a NatWest platinum credit card (I know these are crap, it’s just what I’ve had for years and meaning to change it) that I thought was 0% on overseas transactions. Is it simply that I need to tell them to take it off and put it back on in euros?
    It's not at all clear what you mean by "the exchange rates on my card" and "0% on overseas", but if you are allowing Goldcar to bill you in pounds then I can imagine their own exchange rate could easily lead to the loss.

    NatWest credit cards have no non-sterling spending fee but put a 2.75% markup on the MasterCard exchange rate, so it would be better to pick a credit or debit card from those listed in the MSE article and always pay in local currency.
    Evolution, not revolution
  • Photographer
    Photographer Posts: 1 Newbie
    Is there any way to get around the deposit? Never had a credit card and don't really want one. Is it possible to do it on a business debit card?
  • ASSJ
    ASSJ Posts: 13 Forumite
    First Anniversary Combo Breaker
    I use Centauro Car Hire have done for years they only block the card:smiley:
  • barnes69442
    barnes69442 Posts: 4 Newbie
    I went to Palma from 7/5/19 to 14/5/19 and I was charged by Goldcar for my deposit.
    However when I received my deposit back I had made over £13 because of the exchange rate sliding.
    I should have paid £12.84 for the car for a week and £16 excess insurance through Argus Car Hire but the gross cost after the rate profit was only £15.51. I did use a Santander Zero card for my transactions.
  • barnes69442
    barnes69442 Posts: 4 Newbie
    Also Goldcar have aggressive selling techniques for their excess insurance, I was quoted 175 euros.
    They also stated that my policy through Axa was insufficient.
    Be aware and stick to your guns.
  • EveryWhere
    EveryWhere Posts: 3,249 Forumite
    barnes69442 wrote: »
    Also Goldcar have aggressive selling techniques for their excess insurance, I was quoted 175 euros.
    They also stated that my policy through Axa was insufficient.
    Be aware and stick to your guns.

    They can state all they want, as long as you have the amount available for their excess. But why do business with such a firm in the first place?
  • EveryWhere
    EveryWhere Posts: 3,249 Forumite
    Photographer wrote: »
    Is there any way to get around the deposit? Never had a credit card and don't really want one. Is it possible to do it on a business debit card?

    Yes, purchase the excess waiver direct from the car hire company(not via a third party).
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