Nationwide - hope yet

[fjmike]

For those of you who had a Nationwide account and your still smarting from their withdrawal of free foreign spending on their debit card there is some hope. according to Martin Lewis' site in January Norwich and Peterborough BS are starting a similar deal to the old Nationwide one

 

http://www.moneysavingexpert.com/news/travel/2010/11/new-best-debit-card-for-overseas-spending-launches-in-january

[Guest JudgeMental]

it makes no mention of rates? *-)

[fjmike]

Is your glass always half empty Judge????? :-D

[snailsontour]

At first glance this looks good for us and has the type of 'strings' that had the Nationwide had in place then it may not have changed its policy.

[Guest JudgeMental]

fjmike - 2010-12-04 10:49 AM

 

Is your glass always half empty Judge????? :-D

 

No I am a natural optimist, that tempered by enlightened self interest.....

 

your post means nothing with out some rudimentary checks first to see if they pay a commercial rate...a simple phone call? Then if no they are not comparable to Nationwide even now *-)

[hymer1942]

Have to agree with Judge here, lots of options but the main element that is required is a comparable rate that we got with N.W. Barrie

[net-traveller]

Slightly different circumstances but nevertheless a comment on Nationwide.

 

Monday 22 November having registered the death I walked up the High Street into NW and presented certificate for action. They took details and said that I would receive communication from the appropriate team within 2 working days.

 

Up until yesterday his internet login was still available. The snail mail communication arrived this morning.

 

Proud to be different. Different as in worse than the rest these days.

 

 

[Derek Uzzell]

Nationwide's FlexAccount provides a VISA debit card, as will the revised Norwich and Peterborough BS accounts becoming available next year.

 

For the umpteenth time - THE CURRENCY CONVERSION RATE IS A RED HERRING. All VISA debit cards use the same currency conversion rate when card usage occurs on a like-for-like basis.

 

Imagine that it's January 2011 and I have two VISA debit cards - a Nationwide FlexAccount VISA debit card and one of the new Norwich and Peterborough BS VISA debit cards.

 

Now imagine that I'm in France and I'm buying a €100 bottle of wine. I decide to use my Nationwide VISA debit card to pay for it and the VISA Europe exchange rate for that day will be applied to that transaction.

 

If I had chosen to use my Norwich and Peterborough BS VISA debit card instead, the currency conversion rate would have been the same. However, using the Norwich and Peterborough BS card would be the cheaper option, because they won't be charging any transaction fees.

 

It's the same for withdrawing cash from 'foreign' ATMs. Nationwide now charges fees for this and Norwich and Peterborough BS (from 1/1/2011) will not.

 

If I decided to withdraw, say, €300 from a foreign ATM using my Norwich and Peterborough BS card, my Norwich and Peterborough BS current account would be debited less than my Nationwide FlexAccount would be if I'd chosen to use my Flexaccount debit card.

 

It's the fees that do the damage, not the currency conversion rate.

[lennyhb]

So with N&P account I have to either pay £500 a month into a Gold Account or keep a balance £5000 in a Gold Lite Account both accounts pay the grand interest rate of 0.00%, in exchange I get free cash withdrawals abroad but they don't tell me their rates.

 

My Lloyds TSB Current Account pays me 4% interest gives me free worldwide travel insurance including winter sports, UK AA cover including home start & relay, mobile phone insurance plus other benefits. The only catch is it costs £8 a month (reduced rate as SWMBO used to work for them ).

Nationwide make a small charge for cash withdrawals abroad but give me commercial rates.

If I use my Nationwide Credit Card I get commercial rates & no charges.

 

It's a no brainier I'll stay where I am thanks.

 

 

 

 

[smifee]

When I first used my NW debit card abroad in 2000 I started off checking the rate on the BBC red button business foreign exchange page. It showed 2 rates:- Tourist & Pound. Pound rate was always higher and was the rate I got on the card.

 

I've run down my NW flex account and closed the other NW accounts. Have moved to Halifax and they pay me 5 pounds a month for having the account. Will now apply for an account with N&P.

 

On next trip under the water I'll use NW Visa debit card, Halifax Visa debit card, Halifax Mastercard credit card and N&P Visa debit card to draw 50 euros on each at the same time. Then check rates & charges for each. The winner gets to have my accounts.

[Guest JudgeMental]

lennyhb - 2010-12-04 6:37 PM

 

If I use my Nationwide Credit Card I get commercial rates & no charges.

 

 

so no 1% charge with the NW credit card?

 

what about for cash transactions? I have to pay a German dealer approx 8000-10000 euro, was trying to find most convenient (and cheap) way to do it......

[Guest peter]

fjmike - 2010-12-04 10:49 AM

 

Is your glass always half empty Judge????? :-D

Probably, he's told me they start drinking where he lives, at 5pm. :D

[Guest peter]

JudgeMental - 2010-12-04 9:55 PM

 

lennyhb - 2010-12-04 6:37 PM

 

If I use my Nationwide Credit Card I get commercial rates & no charges.

 

 

so no 1% charge with the NW credit card?

 

what about for cash transactions? I have to pay a German dealer approx 8000-10000 euro, was trying to find most convenient (and cheap) way to do it......

Jump on the ferry and take it to him in a brown paper bag. :D

[lennyhb]

JudgeMental - 2010-12-04 9:55 PM

 

lennyhb - 2010-12-04 6:37 PM

 

If I use my Nationwide Credit Card I get commercial rates & no charges.

 

 

so no 1% charge with the NW credit card?

 

what about for cash transactions? I have to pay a German dealer approx 8000-10000 euro, was trying to find most convenient (and cheap) way to do it......

 

No charge but like any card they charge for cash withdrawal and pile on the interest.

You could pay with the card but I doubt if your German dealer would let you Germans don't like CC's, often if you pay buy CC for goods much over a 100 quid they put on a 4.5% handling charge.

 

When I had to pay for my van I used a bankers draft and negotiated a very good rate with my bank manager about the same as commercial rate, did help that we have a staff account as the wife used to work for the bank.

 

 

 

 

[Mel B]

JudgeMental - 2010-12-04 9:55 PM

 

lennyhb - 2010-12-04 6:37 PM

 

If I use my Nationwide Credit Card I get commercial rates & no charges.

 

 

so no 1% charge with the NW credit card?

 

what about for cash transactions? I have to pay a German dealer approx 8000-10000 euro, was trying to find most convenient (and cheap) way to do it......

 

Paypal 'gift' transaction?????

[Guest Peter James]

Get a Santander current account. I got £100 switching bonus, plus 5% interest and free cash withdrawals in Spain for 12 months subject to terms and conditions.

[Derek Uzzell]

smifee - 2010-12-04 7:50 PM

 

When I first used my NW debit card abroad in 2000 I started off checking the rate on the BBC red button business foreign exchange page. It showed 2 rates:- Tourist & Pound. Pound rate was always higher and was the rate I got on the card.

 

I've run down my NW flex account and closed the other NW accounts. Have moved to Halifax and they pay me 5 pounds a month for having the account. Will now apply for an account with N&P.

 

On next trip under the water I'll use NW Visa debit card, Halifax Visa debit card, Halifax Mastercard credit card and N&P Visa debit card to draw 50 euros on each at the same time. Then check rates & charges for each. The winner gets to have my accounts.

 

The charges will be as follows:

 

NW FlexAccount debit card - 2% + £1

 

Halifax VISA debit card - (2.75% + £1.50) + £1.50

 

Halifax Clarity credit card - 12.9% interest until debt paid off

 

Norwich & Peterborough BS debit card - NIL (from 1/1/2011)

 

[lennyhb]

Derek. you can not make a comparison like that without listing the exchange rate for each bank, Nationwide's rate is often as much as 5% better than other banks.

 

 

[Derek Uzzell]

lennyhb - 2010-12-05 9:15 AM

 

Derek. you can not make a comparison like that without listing the exchange rate for each bank, Nationwide's rate is often as much as 5% better than other banks.

 

 

You have read my yesterday's 6.33pm posting?

[lennyhb]

Yes but I do not agree with it I have use Nationwide & Tesco visa for purchases in Belgium in a very short timeframe the Nationwide rate 5% better.

On a £100 with NW charges you would still have a 2% advantage on £500 2.5%.

 

 

[Guest JudgeMental]

"NW FlexAccount debit card - 2% + £1"

 

I thought NW was 1% for european transactions??

[lennyhb]

Just had a look at NW site they only give one charge for transactions abroad so it's 2% M'Lord.

 

I did discover they have a currency converter on their site that gives you daily rates at least they are being open about conversion rates, but then they haven't got as much to hide as the others.

 

 

 

 

[Derek Uzzell]

lennyhb - 2010-12-05 10:40 AM

 

Yes but I do not agree with it I have use Nationwide & Tesco visa for purchases in Belgium in a very short timeframe the Nationwide rate 5% better.

On a £100 with NW charges you would still have a 2% advantage on £500 2.5%.

 

 

I'm not going to argue with you - there's an easy-to-follow guide on

 

http://www.moneysavingexpert.com/travel/cheap-travel-money#hell

 

Tesco's "Clubcard" credit card (which I assume is the one you are referring to) is an awful card to use for transactions outside the UK, with a 2.75% exchange-rate loading, plus an extra 3.0% (minimum £3.00) for withdrawing cash from an ATM, never mind the Interest APRs.

 

Nationwide's DEBIT card used to have no exchange-rate loading for transactions in the Eurozone and no extra fee for Eurozone ATM withdrawals. Now NW applies a 2.0% exchange-rate loading, plus an extra £1 for an ATM- withdrawal.

 

Nationwide's Gold CREDIT card has no exchange-rate loading for transactions within the Eurozone, but cash withdrawals from ATMs will currently attract 27.9% interest.

 

All three cards begin by employing the same underlying VISA currency exchange rate, but it should be obvious from the above that using the Tesco card instead of the NW cards could cost you 5% or so more.

 

 

[lennyhb]

I was not aware the Tesco card was so bad I have a Tesco Platinum CC I only use it abroad for work related transactions where I am not paying the bill, just so I get my Airmiles always use NW for personal transactions.

 

 

 

 

[Brian Kirby]

smifee - 2010-12-04 7:50 PM .........On next trip under the water I'll use NW Visa debit card, Halifax Visa debit card, Halifax Mastercard credit card and N&P Visa debit card to draw 50 euros on each at the same time. Then check rates & charges for each. The winner gets to have my accounts.

I can tell you now that you will pay interest on the cash withdrawal on the Halifax Credit Card from the time of the withdrawal to the time the balance is cleared.

I would expect the currency conversion rates on all to be approximately equal, saving changes due to different dates/times of withdrawal, with the biggest difference in cost (apart from the interest on the credit card withdrawal) being the different transaction fees charged by the different issuers, plus their cash withdrawal charge.

From past experience, the fees and charge may not be separately identified on your statement, but may just be subsumed into the conversion rate, making it difficult to abstract t'other from which.