Prepaid card provider My Travel Cash is seeking to revolutionise the prepaid card market with the removal of fees and the addition of an unlimited 1% cashback deal.
From today (14 June) My Travel Cash has removed foreign ATM fees from its range of Euro, US Dollar and Multi-Currency prepaid cards for new and current customers. This will make My Travel Cash one of the few providers (including Caxton FX) that do not charge a fee for loading the card or a foreign ATM fee.
The Euro and Dollar prepaid cards do not charge a foreign loading fee either for use in a country with the same currency. However, there is a foreign loading fee of 2.99% if they are used elsewhere. The Multi-Currency card charges a flat 2.99% fee for use in the UK or abroad. There is also a £2 inactivity fee if the card is not used for 12 months.
The cards also include 1% cashback on all purchases, which is paid in the currency of the prepaid card a month after the transaction. Cashback is not earned on ATM withdrawals.
How does the exchange rate on prepaid cards compare with debit and credit cards?
Recent Which? Money research found that the exchange rate on the Euro and Dollar My Travel Cash prepaid cards was very competitive. We checked the exchange rate on three consecutive days at the beginning of March and found the exchange rates offered on the Euro and Dollar prepaid cards matched some of the most competitive rates offered on debit and credit cards.
The Which? Money verdict
Dan Moore, Which? travel money expert, commented: ‘The My Travel Money Euro and Dollar prepaid cards offer a competitive option for use abroad. It will be interesting to see if other prepaid card providers follow suit. Additionally the exchange rate seems as competitive as some of the best options for debit and credit cards and there is 1% cashback on purchases.’
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