Credit Card questions

Are you sure the car hire firms won't accept a debit card payment?

I believe I read in the bumpf that it said for the car rental that a "credit card is required" - of course, I'd rather not get one - but its not just that - I thought as the holiday is rather expensive and to get a bit of cover for anything going wrong in the event of cancellations, etc, then having paid for it via a credit card, it might also be the better option, except of course I now have to deal with these horrible credit card companies, which I have my whole life avoided (I think of them as Evil, their salespeople demons and devils - and when I hear that people have one, I think of them as stupid or unnecessarily risky idiots - and now I feel like I'm turning to the dark side and am having to contemplate the unthinkable - its an awful predicament to be in! I kid you not!).

If you feel that strongly then stick to your guns and refuse to get one.

abroad with

It's usually no hassle, just a form to fill in. You could get one in her name with you as an additional cardholder (a bit like a joint account, except that only one person is legally responsible for the debt!).

Very few cards have initial fees, most offer 0% for a bit. As you're going to use it abroad I'd suggest Nationwide, as nearly all the others rip you off by marking up the exchange rate. They only do interest free for 3 months but that'll probably be better than 6 months with other cards if your main spending in that time is abroad.

Watch out for Dynamic Currency Conversion, google for details but basically some retailers abroad will try to charge your card in GBP at a crap exchange rate, always insist on paying in the local currency (the retailer MUST ask you before converting the currency but many don't - check the receipt/PIN pad carefully and refuse to sign/enter PIN if they've converted the currency).

Most will let you set up a DD to pay them off in full every month, then you'll never pay any interest (unless you take out cash advances - which I guess you won't).

If you get an interest free initial period it may be better to set up the DD to pay the minimum amount until the 0% period is up then change it to pay the full amount.

Thanks for your advice Andy! Much appreciated : )

Really? If a Nationwide credit card gives the same good fx rates as their dedit card I may just get one. I expect to spend quite a bit in Euroland this year.

Simon

I think they use the same exchange rate for the debit and credit cards, usually within a whisker of the interbank rate.

Don't use the CC for getting cash out though as they'll charge a fee and immediate interest. Stick with the debit card for ATM withdrawals.

I did send a reply yesterday to your post to say thank you, but it seems it never appeared...so, once again - thanks Andy!

Saw it - it came through on my news server. You're welcome!