SPENDING MONEY ABROAD

These days it is easy to find an ATM in even the most obscure places and to withdraw cash with the same convenience you have at home. Even if there's no ATM it's often possible to pay for goods or services with a credit card. It seems having the right plastic cards though is extremely important and is cheaper than any other method of spending whilst you're away.

Debit Cards
When using a Natwest debit card in an ATM abroad the bank will add on a transaction fee of 75p, an exchange commission of 2.65% and a cash withdrawal fee of 2.25% (max £4)

The Nationwide Flex Account Visa Debit card doesn't add an exchange commission anywhere in the world, is free of interest (unless you're overdrawn) and doesn't charge any transaction fee. Being able to withdraw cash from ATMs when travelling without any hidden costs is fantastic and removes the burden of carrying huge sums of currency or travellers' cheques around.

Credit Cards
When using a Natwest credit card abroad the bank will always add on an exchange commission of 2.65% and if using the card in an ATM they will add the cash withdrawal fee of 2.25% (max £4) and a huge rate of interest (whether the balance is paid off in full or not).

A Nationwide credit card does not charge an exchange commission on purchases made abroad. The right credit card is also a great way to make purchases since if something goes wrong with the goods you've bought (over £100 worth) then the credit card providers are jointly liable with the retailer, so you can complain to them and they'll refund you directly.

"There's a growing trend when spending abroad for the retailer to do the conversion to Pounds itself, giving you a poor exchange rate you've no control over. Always check that you won't be charged in pounds. That way, assuming you're using one of the top cards, you'll get the best exchange rate possible."

moneysavingexpert.com