So you have saved all your money and your bank account is looking healthier but how do you spend this money abroad without having to paying for the privilege.
You clearly don’t want to be carrying around large sums of cash, in the unlikely event you get robbed you’re going to be feeling pretty glum. So we keep our cash in the bank to keep it safe and cash machines exist all over the world so its is a pretty safe bet that you can easily access it.
However as an example, in the UK Natwest and RBS debit cards will charge you 2.75% of the transaction value or £1 whatever is greater. This has only recently been reduce from 4%. Most other bank accounts offer similar dismal rates.
So for every 100 hundred pound you spend you have to pay £.2.75 for the privilege, after all your hardwork saving this is surmountable to day light robbery.
But it doesn’t have to be this way, there are bank accounts which are free to use abroad except they are few and far between. At the time of writing there was only one bank in the UK which offered free withdrawal from any cash machine around the world.
That account was the Norwich and Peterbourough gold classic, it offers no withdrawal charges, no retail transaction charges or handling fees for overseas spending. The only catch is you have to either have at least £5000 in your account or deposit £500 a month or else you face a monthly charge of £5. What this means is that if you follow their rules you can take your money out for free whilst backpacking around the world!
Bank accounts change often so always keep an eye out for the best deals, use price comparison websites like moneysupermarket.com to find the best offers. Even if you can’t find an account that offers free withdrawals make sure you pick an account with the lowest transaction fee to avoiding being stung for these unnecessary charges.
Know where your money is going and don’t be overcharged for spending it, it’s the little savings that all add up ultimately allow you travel for longer.