Brits warned about overseas plastic fees

Posted 2008-03-24

British consumers who are planning to head abroad are being urged to check the terms and conditions on their debit and credit cards before they leave the country. Comparison firm uSwitch has noted that nine banks now levy an average charge of £1.19 for every debit card purchase originating from outside the UK - totalling some £318 million. When combined with a further £368 million in credit card fees, that means British consumers are spending almost £700 million on unnecessary bank charges. Among the worst offenders are Bank of Scotland, Halifax and Cahoot - all of whom charge £1.50 each time you use your debit card abroad. Natwest and RBOS charge £1.25, while Lloyds TSB charges £1. But it is credit card foreign-exchange fees which notch up the biggest fees, typically standing in the region of three per cent on all purchases. The Post Office is currently the only major credit card provider that does not charge any foreign currency fees, according to MoneySupermarket.com.

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