Use a cheap credit card abroad

January 10, 2007

On average holidaymakers are spending £81 more than necessary depending which credit card they use according to Nationwide.

Many credit cards (although not all ) carry fees for use abroad of up to £1.50, in addition to 2.75% of the purchase value every time the card is used abroad.

Over the duration of a typical holiday, Brits could result in easily spending £81 on fees imposed by their own credit card. This situation can easily occur as the trend to take our credit cards abroad and use them is increasingly popular.

More than half (57%) UK residents used such a card for some of their time spent abroad last summer, with an average bill totalling £799, with one Briton in 11 spending more than £1,000 and a further 1 in 20 spending £2,000 or more. (figures supplied by Moneysupermarket.com)

Rob Kenley of Moneysupermarket.com is concerned that if British people don’t plan ahead on how to tackle the debt once they return then they will be left with far more to worry about than their suntan ! He says,” without prompt action this spending can rapidly turn into an expensive problem”.

He encourages the 41% of credit card holders who do not clear balances each month to consider transferring to one of the 49 zero percent balance transfer offers available to reduce amount due to be paid in interest. He also strongly advises to save towards clearing balances once 0% deals come to an end.