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Most banks add a foreign usage fee to all credit card cash and purchase transactions.
"If you have a Halifax debit card, say, you will be charged a 2.75 per cent foreign usage fee, plus £1.50 for each cash withdrawal or purchase," says Mr Hagger.
"Lloyds TSB debit card holders will face a 2.99 per cent foreign usage fee, plus a £1 fee for each purchase – and between £2 and £4 per cash withdrawal".
The vast majority of banks add on a foreign usage fee for purchases and cash withdrawals, usually around 2.75 per cent to 2.99 per cent, plus an ATM withdrawal charge of as much as £5.
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Since last summer an increasing number of debit cards have introduced foreign usage fees while the cost of using credit cards abroad is also rising.
Not only do you pay a separate, higher rate of interest (typically over 25 per cent), but you may also be charged interest from day one as well as a fee of around 3 per cent and foreign usage fees (around 2.99 per cent) to boot if you're using your card at an ATM abroad.
There is a $2,500 initiation fee plus a $2,000 yearly usage fee.
After that, there is a usage fee of 50p a day, capped at £5 a month.
Both banks will increase their monthly overdraft usage fee from £5 to £6.
Meanwhile, if you are switching to Santander there will be no authorised overdraft usage fee for the first four months.
The new usage fee does not apply to Select Platinum, student, graduate or accounts in the black.
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