Foreign transaction fees same as Starling?

[sturgeon]

I always use my Starling card exclusively for trips abroad for the near perfect exchange rate. I need to book a holiday online in Euros so was researching which card to use as I’d rather use my BA Amex, Barclaycard Avios or Virgin premium card so the spend contributes to unlock vouchers.

It appears the first two apply a 2.99% transaction fee. Virgin apparently doesn’t charge any fee in the European economic area. Additionally after using the online currency converter on both the Virgin and Starling site today, both transactions would cost the identical amount in sterling. Both charge a small 0.53% markup on the European Central Bank fee.

I had no idea about this. Will the foreign spend on my virgin card still earn 1.5 points per £ after exchange rate is applied? And crucially does this spend still contribute towards the spend threshold to unlock a voucher?

If so, I see no good reason to use my starling or any other fee-free debit card in Europe in the future if I already own a virgin card. Unless I’m missing something? The starling still makes sense outside of Europe though or virgin do charge 2.99%

• This topic was modified 54 years, 4 months ago by .

[Guernsey Globetrotter]

Yes- this is correct, as per the current HfP review of the Virgin credit cards:

https://www.headforpoints.com/2022/02/18/review-virgin-atlantic-reward-plus-mastercard-credit-card-4/

“At present, Virgin Money is not charging any fees when you pay for something in Euro, Swedish Kronor or Romanian Lei.

This is NOT an advertised benefit, but you will see it written in the small print of the credit agreement. It only applies to ‘in person’ transactions and not online spending.

As Virgin Money adds a 3% foreign exchange fee on transactions in all other currencies, you might want to get a separate free credit card to use abroad.”

[sturgeon]

Ah hold on, it only applies ‘in person’? What if I am booking a local hotel and paying in euros on their Spanish website?

[sturgeon]

It doesn’t say anything about in person payments only on their fees page? It says:

“Non-Sterling Transaction Fee (for foreign currency transactions): 2.99% of transaction.
We will not charge this if the transaction is in Euros, Swedish Kronor or Romanian Lei and it takes place in the UK or European Economic Area (EEA).” it says the transaction can take place in the U.K and surely as this is for a purchase in Euros or the other specified currencies that suggests it doesn’t need to be in person.

https://uk.virginmoney.com/virgin/assets/pdf/VM34209.pdf

[Harrier25]

From past reports it should be for transactions in person only but there have been reports from some contributors on this site that their online Euro transactions haven’t attracted a Foreign currency fee with their VA card, nor have transactions in other European currencies that aren’t mentioned, so who knows?!!

[yonasl]

In addition to Starling which is a debit card I would highly recommend Tymit which is a Visa credit card. Its advantage is that you can spread the cost over 3 months for free.

[Harrier25]

Yuck! I wouldn’t use Starling abroad nor would I want to spread the cost of my holiday spend over 3 months. I want rewards, not debt.

[yonasl]

Harrier25 wrote:

Yuck! I wouldn’t use Starling abroad nor would I want to spread the cost of my holiday spend over 3 months. I want rewards, not debt.

Problem is that at 3% fee both Amex and Barclays have it is better to search for something else.

[Harrier25]

Just stick your Barclaycard (Hilton or Avios) behind Curve…while it still exists. Leave your Amex at home, unless you’re chasing a bonus.

[DJ]

sturgeon wrote:

It doesn’t say anything about in person payments only on their fees page? It says:

“Non-Sterling Transaction Fee (for foreign currency transactions): 2.99% of transaction.
We will not charge this if the transaction is in Euros, Swedish Kronor or Romanian Lei and it takes place in the UK or European Economic Area (EEA).” it says the transaction can take place in the U.K and surely as this is for a purchase in Euros or the other specified currencies that suggests it doesn’t need to be in person.

https://uk.virginmoney.com/virgin/assets/pdf/VM34209.pdf

I used the card for booking museums etc online, I was never charged any additional fees, just the Mastercard conversion rate for the day.

I still have Curve Black Legacy, but I do not trust the card anymore after random duplicate transactions from time to time.

[Harrier25]

DJ wrote:

I still have Curve Black Legacy, but I do not trust the card anymore after random duplicate transactions from time to time.

I too have Curve Black Legacy and the advantage of it is that it has no FX spend limits.

[DanielD]

From current experience of being in Denmark and Norway, as well as Sweden, over the past month, it would appear that transactions using the Virgin card in DKK and NOK (as well as SEK), also don’t attract foreign transaction fees.

[sturgeon]

Harrier25 wrote:

Yuck! I wouldn’t use Starling abroad nor would I want to spread the cost of my holiday spend over 3 months. I want rewards, not debt.

which reward credit cards are you using fee abroad out of interest? And for payments in the USA?

[Harrier25]

Virgin Atlantic (Europe only) and Curve linked to Hilton Barclaycard.