Pre-paid holiday cash cards

Has anyone got any experience of using these? Will be travelling to Porto, Lisbon and the Algarve in April, and having discovered that one of the hotels I've booked into only offers a communal safe (effectively a safe kept behind reception for every guest to place items in) I am loathed to take all notes.

One of my debit cards can be used abroad, but I want to stick to a set budget and not be tempted to overspend unless it's an emergency.

Our daughter has been using FairFx in the US (they have a euro version) and it has proved to be decent value and easy to use. Any initial fee can usually be bypassed by going via one of the money saving webites.

Paul

I use Fairfx for $ but they do euros, & they offer a good rate, a few cents above the high street rate.

Taking the card out & top up is easy.

I think the cards last for 3 years once they are loaded but I use mine each time we go to Florida so I'm not positive about this.

I hope this helps.

R-P

Caxton offer a prepaid mastercard. Caxtonfx.com I think. Normally good rates. I have a $ and a € card.

I tried a FairFX on a trip to San Francisco and wondered why I bothered.

There were fees to use cash machines to get physical cash and in shops and restaurentsI might well have just used my credit card.

Whilst the rate was good the extra cash machine fees soon gobbled that up (and I too $200 out at a time so not piddling amounts).

However they do work for some people but thats my $.02 worth !

I'd have to agree with Tontybear, after all the commission and charges they are no better than using a conventional credit/debit card.

The lady in Thomas Cook at the weekend almost leapt over the counter trying to "flog" me one!! I'm sticking with my credit card.

There were fees to use cash machines to get physical cash and in shops and restaurentsI might well have just used my credit card.

Whilst the rate was good the extra cash machine fees soon gobbled that up (and I too $200 out at a time so not piddling amounts).

But isn't this exactly the same as using any cash card? And you get a far better exchange rate?

They also function as debit cards, and for those who, per the OP, want to be helped to stick to a budget or alternatively maybe can't get / don't want a credit card, seem to me a good bet. I wouldn't use one, but it is a good bet for my daughter.

There were fees to use cash machines to get physical cash and in shops and restaurentsI might well have just used my credit card.

Whilst the rate was good the extra cash machine fees soon gobbled that up (and I too $200 out at a time so not piddling amounts).

But isn't this exactly the same as using any cash card? And you get a far better exchange rate?

They also function as debit cards, and for those who, per the OP, want to be helped to stick to a budget or alternatively maybe can't get / don't want a credit card, seem to me a good bet. I wouldn't use one, but it is a good bet for my daughter.

Fair point, the fairfx would be best and take a small amount of cash along too to keep control of money.

There were fees to use cash machines to get physical cash and in shops and restaurentsI might well have just used my credit card.

Whilst the rate was good the extra cash machine fees soon gobbled that up (and I too $200 out at a time so not piddling amounts).

But isn't this exactly the same as using any cash card? And you get a far better exchange rate?

They also function as debit cards, and for those who, per the OP, want to be helped to stick to a budget or alternatively maybe can't get / don't want a credit card, seem to me a good bet. I wouldn't use one, but it is a good bet for my daughter.

As I said it didn't work for me but can undersdtand how they might for others like those with no CC or who want to stick to a known budget.

Horses for courses I suppose.

I'd suggest to VS075 that they look around as there are several available and look at the rates offered but also any withdrawal fees too.

As fai as I am aware Caxton themselves do not charge fee and commissions - but of course the ATM might.

By preloading the card you fix the exchange rate at the time of purchase. This also avoids merchants offering to convert to £ (at their rate of course!).

Of course, the actual rates to purchase fx should be looked at - we all know that "no fees" can also mean poor rates.

Travelex cash passport did do a good offer (generally needed to buy through supermarket based cash desks as this offer wasn't available direct), allowed no fee cash withdrawls, worked well for us the other year in OZ. The other advantage was being able to top up online..
As you say its the withdrawl charges that make or break these cards. Maybe worth shopping around to see if likes of sainsburys/tesco etc still offering this...

I've used a FairFX $ card in the states and it's a pretty reasonably alternative to cash and sometimes expensive credit/debit cards.

You'll probably read this warning on the prepay card websites but just in case you miss it - never use them during checkin at a hotel or anywhere else where you're effectively leaving a deposit. Sometimes a very large amount is preauthorised - the hotel doesn't physically take money but it's ringfenced and you can't get at it. Apparently it can take quite a while for the money to be released again after checkout, not much use if you're on holiday and your entire trip budget in on a prepaid card.

So no substitute for a real credit card with plenty of credit in that scenario.

You'll probably read this warning on the prepay card websites but just in case you miss it - never use them during checkin at a hotel or anywhere else where you're effectively leaving a deposit. Sometimes a very large amount is preauthorised - the hotel doesn't physically take money but it's ringfenced and you can't get at it. Apparently it can take quite a while for the money to be released again after checkout, not much use if you're on holiday and your entire trip budget in on a prepaid card.

Good tip, thanks.

As you say its the withdrawl charges that make or break these cards. Maybe worth shopping around to see if likes of sainsburys/tesco etc still offering this...

Sainsburys have their own co-branded card now.

http://sainsburysmoneycard.co.uk/

Worth mentioning that none of these products are covered by the FSCS - so if the operator goes bust, then you lose your cash?

The exchange rate quoted on the Sainsburys site today for USD of 1.52 is also IMO v.poor - According to travelmoneymax, I can buy USD cash at 1.598 today.

The Citibank foreign currency accounts are good - no monthly fees and a proper visa debit card. I have the USD one and transfer money in by bank transfer - the transfer rate is pretty good - e.g. transferred £100 on 28/01/11 and was credited at 1.587, best rate quoted on travelmoneymax on the day when I checked was 1.585.

Yes, you do have to be aware of the lack of FSCS protection.

Some interesting responses here. The FSCS participation point is something I admittedly was not aware of, so I shall definitely be checking the small print and rules out the Sainsbury's card that was plugged earlier.

I was conscious of the fact that some do charge fees for cash machine withdrawals, and it is a card that doesn't charge this is what I'm after as the idea is to only carry a small amount of cash and withdraw as and when I anticipate the need to pay cash-only, as well as extra security of course.

The CaxtonFX card looks a good bet, so shall see what the rates are nearer the time as I have about 2 months to go yet and will probably hold out to see if the rates creep up a bit.

As ever, thank you.

I use the Caxton card
Excellent exchange rates
No ATM fees at most major banks
No CC charge on transactions
Easy to top up when abroad through website
Good strong financial backing ( or so they tell me)

Another vote for the Citi debit cards.
Although they are in Euros or Dollars, the accounts are based in the UK so are fully covered by FSCS

Some interesting responses here. The FSCS participation point is something I admittedly was not aware of, so I shall definitely be checking the small print and rules out the Sainsbury's card that was plugged earlier.

It's the same for the Caxton Fx card. Is it more likely that Sainsbury or the Newcastle Building Society would go under?

I was conscious of the fact that some do charge fees for cash machine withdrawals, and it is a card that doesn't charge this is what I'm after

You may well still get charged by the institution running the cash machine though.

That said, the "Know Before You Go" page on the Caxton website is a model of information and clarity so I'd be tempted to use them for that reason alone...

It is indeed, pretty much covers everything potential customers ought to know having taken a look last night. And personally, it's things like that which sway me in the direction to whoever is offering it as it means I make more of an informed choice.

The website also lists the exchange rates they offer in comparison to other retailers based on £500, and I am impressed - they are better than the Post Office (as of 16.53 GMT on 12/2/11 it is Caxton's €1.1580 versus the Post Office's €1.1411 to £1, and the US Dollar rates are competitive also by about 3 cents) and they normally offer the most competitive rates.

I use the ICE card. International Currency Exchange. Currently offering $1.57.