Summer Vacation Caution: Potential ATM Issues Risking Holiday Money Shortage
Heading out on vacation this summer? Watch out for a cash crunch if you're not aware of your bank's foreign withdrawal limits!
Many jet-setters opt for withdrawing cash at the ATM during their travels. But, let's be real, lots of folks might be oblivious that there's a limit on how much coin you can pull out every day. This varied limit is something you should discuss with your bank ahead of your trip to avoid getting stuck without cash.
Here's a rundown of how much dough each high street bank permits you to snag each day on your travels:
BARCLAYS
Barclays, the bank for over 20 mil Brits, lets its customers withdraw up to £300 (or £1000 for premier account holders) on foreign soil every day. This limit can be increased via the Barclays app, ensuring the same applies when you're abroad. Withdrawing cash abroad will incur a 2.99% fee.
LLOYDS
Lloyds allows customers to withdraw up to £800 daily when abroad, but the amount could vary depending on the ATM you choose. Lloyds levies a 2.99% fee for foreign transactions, but Club Lloyds members have recently seen this fee whipped away as part of recent updates to the scheme.
HALIFAX
As a subsidiary of Lloyds, Halifax imposes a daily withdrawal limit of £800, and, like Lloyds, charges a 2.99% fee for foreign transactions. However, starting August 1, Halifax Rewards customers will have this charge ejected.
SANTANDER
Santander lets customers withdraw up to £300 when abroad, with the same rate applying to transactions made within the UK. Do keep in mind that the Edge, Edge Up, and Everyday accounts are subject to this limit. For Santander customers with a Private Current Account (which requires a monthly fee), the daily withdrawal limit can skyrocket to £1,500, subject to the ATM.
NATWEST
NatWest houses over 19 million users across the UK, making it a popular bank for many. The amount you can pull out from an ATM abroad depends on the type of bank account you have: student, graduate savings, or teen accounts have a £250 daily limit, while premium accounts like NatWest Silver or Platinum increase the limit to £300. NatWest charges its customers a 2.75% fee for using their debit card abroad.
NATIONWIDE
Nationwide lets current account holders withdraw up to £500 every day from a foreign ATM, with a caveat: some overseas banks may impose higher transaction limits, which means customers could only withdraw a sterling equivalent of £135–£150 per transaction for safety reasons. Nationwide charges a 2.75% fee for using a debit card abroad.
PLEASE BEWARE OF THIS AVOIDABLE MISTAKE WHEN TRAVELLING ABROAD
If you're globe-trotting this summer, take note: it's simple to inadvertently shell out extra cash by making this common error at the ATM. Cash machines usually offer the option to pay in either local currency or pounds. It might seem like a no-brainer to pick the familiar pounds option, but doing so could cost you more!
The overseas bank performs the conversion when you opt for pounds, and the rates are generally not favourable. Instead, pick the local currency to let your card handle the conversion, which usually results in a much better exchange rate.
ALTERNATIVE OPTIONS FOR SPENDING ABROAD
There's a variety of specialist cards that offer impressive exchange rates. These cards encompass travel credit cards and pre-paid cards, allowing you to spend abroad without being tacked with fees or set exchange rates.
Travel credit cards, such as the Halifax's Clarity Card, let you spend money abroad without paying a cent in fees or hidden charges. However, these cards may still charge you for ATM withdrawals. Always ensure you pay off your balance before the end of the month to avoid paying interest on those expenses.
Pre-paid cards enable you to put a set amount of cash on the card at a fixed exchange rate before your vacation. Just remember that these cards may come with hidden fees and costs, so be sure to peruse the fine print before making a decision.
Enrichment Data:
When using a UK high street bank’s debit or ATM card abroad, the daily withdrawal limit (without incurring added fees) depends on two factors: the specific card or account type offered by your bank and the local ATM network's own limits, which can differ from your bank's allowance.
Key Points:
- Foreign Withdrawal Fees: Most UK banks charge a non-sterling transaction fee (usually a percentage of the amount withdrawn or a flat fee) plus a non-sterling cash fee if you use your debit card at a foreign ATM. Some of these fees can be avoided by utilizing accounts with fee-free withdrawals abroad or travel-specific packages.
- Daily Withdrawal Limits: Even if your bank offers fee-free withdrawals, your card's allowance is still subject to:
- The bank's own daily ATM limit (often set by your account type or card)
- The ATM provider's limit, which can be lower than your bank's limit
- Fee-Free Withdrawals: Only certain specialist accounts or digital banks (such as Monzo, Revolut, or premium packaged accounts from high street banks) offer a set number of fee-free withdrawals abroad. These are monthly, not daily, allowances.
Typical UK High Street Bank Withdrawal Limits and Fees:
| Bank/Account Type | Typical Daily UK ATM Limit | Fee-Free Abroad Withdrawals? | Notes on Foreign Use Fees ||--------------------|----------------------------|------------------------------|--------------------------------------------|| Standard Current Account | £300–£500 | Rare | Fees: 2–3% + £1–£2 per withdrawal[1][3] || Premium/Packaged Account | £500+ | Occasionally yes | May offer fee-free withdrawals as a perk || Travel Credit Cards | Varies | Yes, within limits | May still charge for ATM withdrawals || Pre-paid Cards | n/a | Yes, but with hidden fees | Check the small print before selecting |
In light of your bank's foreign withdrawal limits, it's crucial to discuss these limits with your bank before embarking on a trip to avoid running out of cash. For instance, Barclays allows customers to withdraw up to £300 daily, while Nationwide offers a daily limit of £500. These limits could vary depending on your account type or the ATM provider.
