Foreign exchange rates can be costing consumers money according to an Abbey National credit card division survey.
The survey has found that around 38 percent of people would pay in Sterling on their credit card whilst abroad, believing they would not incur exchange costs. This is not the case though since dynamic currency conversion means the transaction is converted to the local currency automatically. It is also often the case that it is the receiving bank that levies the charge, often at quite high rates. Again this is something most people are unaware of according to Abbey National, finding over 60 percent falsely believing this to be the case.
The Abbey National credit card Zero is an exception to this foreign exchange scenario and as such it is hoped that either more consumers will use this particular card or that other credit card providers will follow the Abbey National lead.
A new Saga Insurance credit card, called the Platinum Visa Card, has just been launched which is set to offer a fair deal to Saga customers.
One of the biggest factors with the new Saga Insurance card is that transactions are ordered so that the most expensive to repay amounts are cleared first, something few other card providers offer. Furthermore there will be no currency charges for any transactions made in what is called Visa Europe. This includes the EU plus some others.
There is also the usual credit card offer included by Saga Insurance, namely 0 percent on balance transfers and purchases for 6 months. All in all this new credit card can save customers a great deal of money and is sure to be a resounding success.
Sainsburys Bank is supporting the use of reward schemes for credit card customers, saying they can help save money.
With over 8 out of 10 credit card users saying they will probably be spending less than last year on their cards the providers are looking at ways to incentivise their customers to use them, and reward schemes have proved very successful. The Nectar scheme is typical of the new approach to customers say Sainsburys Bank. Such cards provide real benefits to users, with the ability to save money on other items they use in their lives and ultimately reducing their costs.
The other point about reward schemes said the Sainsburys Bank spokesman is that they differentiate the credit card from many others. The usual 0 percent interest offers are everywhere so something different and real is the best way to attract users.
