Not a complaint, More a query about paying in Pounds or Dollars for our cruise.

[Babynan]

Hi.

This is not in any way a complaint about Royal Caribbean. It's just a query.

We are booked on Independence of the Seas on 30th November from Southampton UK, going to the Meditarranean.

 

I understand that because this is an American Cruise Line, everything on the ship is in U.S Dollars.

 

My question is, when we booked it online direct through the Royal Caribbean website, we were charged in GBPs. I would have thought that it would have been in Dollars. The reason I ask is, because, as you know the British Pound isn't worth that much at the moment, and when I compared the same cruise paying in Dollars, it came out cheaper than we are currently paying.

 

Does anyone know why the Cruise Line do this, and also, if we were to book again for another cruise, do we have to pay for it in GBPs? Just a thought.

 

Thanks

James

[Essiesmom]

Because you must have booked on the UK website. If you had been able to book it through the US website, it would have been in $US. EM

[Babynan]

Thanks for the reply. I didn't know at the time that there were two differnt websites. I should have payed more attention. I was probably just excited because I had never booked a holiday directly online before. We normally just go through Travel Agents.

Thanks

James

[LondonTowner]

I occasionally buy things online like a hotel in France, Spain etc or a present for my stepdaughter in Oz. For any of those type of transactions I pay in the local currency and use a CC with no foreign transaction charges.

[John Bull]

Moving on to your on-board account........

When (or before) you embark you register your credit or debit card with the ship.

The on-board currency is the US dollar - that's how prices will be expressed but you don't need to get any US dollars unless you want to use the casino tables.

You sign for everything you buy on the ship - excursions, drinks, dining upgrades, ship's shop etc etc - and it's charged to your on-board account (any on-board credit is credited to that same account). You will get statements so you can check that you've been correctly charged, then the total is charged to your card in one lump sum at the end of the cruise.

 

Part-way through your cruise you'll be asked if you want your on-board account to be converted to the currency of your card (ie sterling) "for your convenience". DECLINE that kind :rolleyes: offer - keep the charge in US dollars and allow your card issuer to convert at a much better exchange rate than the ship.

Same applies to any outlet ashore where you use a card. Keep the charge in local currency.

 

Most cruise lines, including RCI, don't charge for using a credit card to settle your on-board account, though they will charge a foreign transaction fee as well as that lousy exchange rate if you get them to convert to sterling.

 

By the same token, ship's currency exchange desk gives truly lousy exchange rates for euros. So get your euros before you go from the usual suspects Sainsbury, Tesco, M&S, Post Office, on-line, etc, or use ATMs in the ports.

With Sainsbury (and probably others) the on-line exchange rate is significantly better than the in-store rate. So go on-line and order click-and-collect from your local store rather than just buying from the store.

 

Don't forget to tell your card issuer about your foreign travel - that includes your on-board account.

 

If you have a card without foreign exchange fees (eg Halifax Clarity, Capital One, Nationwide Select, Post Office Credit) so much the better. If you plan to travel abroad a fair bit, it's worth getting one of those cards just for foreign travel.

 

Great ship for a first cruise

 

JB :)

[Babynan]

Thanks everyone for your help. when we went to Florida on holiday the last couple of years, I have used my REVOLUT card, which works the same as my bank debit card, except there are no charges. I have it linked to my Debit card, and all I do is transfer money from the debit card onto the Revolut card. I can then use it in atm's abroad and also anywhere that accepts Visa and Mastercards.

 

It's also godd because I can load it with GBPs and then change it to Dollars or Euros, or pretty much any currency. The best part is the exchange rate is the Interbank rate, not the tourist rate.

 

I'm assuming I won't be able to use this to register with the ship, but would I be able to use it to pay off my onboard account?

Thanks

James

[John Bull]

Thanks everyone for your help. when we went to Florida on holiday the last couple of years, I have used my REVOLUT card, which works the same as my bank debit card, except there are no charges. I have it linked to my Debit card, and all I do is transfer money from the debit card onto the Revolut card. I can then use it in atm's abroad and also anywhere that accepts Visa and Mastercards.

 

It's also godd because I can load it with GBPs and then change it to Dollars or Euros, or pretty much any currency. The best part is the exchange rate is the Interbank rate, not the tourist rate.

 

I'm assuming I won't be able to use this to register with the ship, but would I be able to use it to pay off my onboard account?

Thanks

James

 

Hi, James,

 

I'm guessing that REVOLUT is effectively a pre-paid debit card. Not linked to your bank account but you have a system to top it up from your bank account.

 

If so, no, like you I very much doubt you'll be able to register with it cos they will be putting a daily "hold" on funds and that's not possible with most/all pre-paid cards - they draw the money or they don't, but they can't "hold".

 

I'm hesitant to say anything about paying with that REVOLUT card cos I really don't know, but you can pay off a chunk during the cruise using cash so I don't see any reason why you can't do that with a pre-paid debit card. Something at the back of my mind is telling me that you MIGHT have to do that by a certain time, perhaps 24 hours before cruise-end, purely for logistical reasons, which would leave the card that you registered to pick up the last day or two's spend.

 

but best be guided by others about that. :rolleyes:

 

JB :)

[Babynan]

Thanks John for your help.

Is it the Cruise line that puts a hold on debit cards, or is it the bank?

The reason I ask, is because when I spoke to Natwest bank, they told me that as long as I told them what countries we were visiting and on which days, they would not put a hold on our debit cards.

I'm sure you are right about the Revolut card. We should be able to pay chunks of our bill off throughout the cruise using it.

Thanks

James

[John Bull]

Thanks John for your help.

Is it the Cruise line that puts a hold on debit cards, or is it the bank?

The reason I ask, is because when I spoke to Natwest bank, they told me that as long as I told them what countries we were visiting and on which days, they would not put a hold on our debit cards.

I'm sure you are right about the Revolut card. We should be able to pay chunks of our bill off throughout the cruise using it.

Thanks

James

 

The hold is put on by the cruise line. The hotel. The car rental agency. And many other services that you might use when booking ahead or when final costs aren't known.

Folk don't always know about the holds, because the money's not taken / returned so it doesn't appear on your card statements

 

The response you got from Nat West suggests to me that the person misunderstood - that he/she thought you were asking whether the card would be BLOCKED from foreign transactions.

Ask someone else at the bank about "HOLDS on funds" instigated by merchants.

 

A big problem with holds is that the system to release a hold is very slow - it takes a week or even two after you've paid your on-board acccount at the end of the cruise before the hold is released. And it's the same with hotels, car rentals etc. The banks blame the merchants and the merchants blame the banks, but in these days of instant transactions it should be released immediately that bills and add-ons have been paid.

 

JB :)

[ldubs]

Interesting. I'm confused about the OPs question. I'm not saying it is wrong. I just don't understand the objective I guess. Let's say for the sake of discussion that 1GBP = 1.3 USD. Exchange fees aside, what difference does it make whether you pay in USD or GBP? I understand that purchasing power can be diminished if one currency is weak against the other. But, that being the case, what is there to gain paying in dollars as opposed to pounds? Won't you still be paying the equivalent of 1 GBP for every 1.3 USD?

 

Please be gentle :D

[Geldhart]

The issue is not paying in $us or pounds. It's that exchange rates fluctuate, and different providers of that service charge different fees (flat fee and/or a premium on the "official rate"). For example you might get charged £3 plus only get $125 for your £100 instead of $130.

 

Sent from my LG-H831 using Forums mobile app

[ldubs]

The issue is not paying in $us or pounds. It's that exchange rates fluctuate, and different providers of that service charge different fees (flat fee and/or a premium on the "official rate"). For example you might get charged £3 plus only get $125 for your £100 instead of $130.

 

Sent from my LG-H831 using Forums mobile app

 

Thanks. I understand about exchange rates and fees. I just wasn't connecting the OP's question to that. I guess the OP's concern is a foreign transact fee.

[cruising cockroach]

Some cruise lines also use exchange rates that are different from current exchange rates - even allowing for exchange markups. A few years ago, one line was offering a rate at least 10% (depending on how you want to calculate it) better in my currency than USD fare at the prevailing spot rate.

 

They do this as an incentive in some markets but also to gouge in others. You can look at fares from the fishy site sometimes which will review this.

[OzKiwiJJ]

Interesting. I'm confused about the OPs question. I'm not saying it is wrong. I just don't understand the objective I guess. Let's say for the sake of discussion that 1GBP = 1.3 USD. Exchange fees aside, what difference does it make whether you pay in USD or GBP? I understand that purchasing power can be diminished if one currency is weak against the other. But, that being the case, what is there to gain paying in dollars as opposed to pounds? Won't you still be paying the equivalent of 1 GBP for every 1.3 USD?

 

Please be gentle :D

 

What often happens when there are "local" websites for cruise companies is that the cruise line sets a price in the local currency that allows for a certain amount of exchange rate fluctuation, and the exchange rates are continually on the move - they aren't static for a set period of time. This usually means they make the price higher that it would be if taking the USD price at a specific point in time and converting it to local currency. It's also possible they add in a fudge factor - in other words they then adjust the price (upwards) to what they think the local market will bear.

[lbjen]

Well prices fluctuate, just as exchange rates do. Perhaps the fare you paid in GBP when you booked was also different in USD than it is today. Plus RCCL sets their own exchange rate, of course in their own favor.

 

The only way to get the US fare is to book via the US. I don't know if you can do that if you are UK based unless you have someone who lives here that would do it for you (we book cruises for my British inlaws).

[John Bull]

Interesting. I'm confused about the OPs question. I'm not saying it is wrong. I just don't understand the objective I guess. Let's say for the sake of discussion that 1GBP = 1.3 USD. Exchange fees aside, what difference does it make whether you pay in USD or GBP? I understand that purchasing power can be diminished if one currency is weak against the other. But, that being the case, what is there to gain paying in dollars as opposed to pounds? Won't you still be paying the equivalent of 1 GBP for every 1.3 USD?

 

Please be gentle :D

 

Thanks. I understand about exchange rates and fees. I just wasn't connecting the OP's question to that. I guess the OP's concern is a foreign transact fee.

 

I think you'll find the price difference way too great to be the result of exchange facilities & fees.

Cruise prices to Brits are higher than those to N Americans, and Aussies get screwed even more.

 

It's all about selling to a different market.

Why do they charge us higher prices?

Because they can - they're competing against the prices of UK cruise lines and other packaged vacations available to Brits.

Same as for instance the cost of electronic equipment, usually cheaper in the US than in Europe.

It's a fact of life that we have to live with, and doubtless we fare better than our American cousins in other fields.

 

Some of us Brits (and plenty of Aussies too) used to book through US T/As in order to get those US prices.

There were (still are) a few downsides

- we're at the mercy of exchange fluctuations between booking and final payment, though that can be a plus rather than a minus

- there wasn't (still isn't?) an organisation like ABTA (Assoc of British Travel Agents) to safeguard our money if the cruise line or T/A went bust or ran off with our money, though payment by credit card provides most of the safeguards.

- there are a few fairly minor US add-ons like port charges, which are included in the advertised price in the UK.

- the arrangement is subject to US consumer protection, not UK consumer protection.

Nonetheless the price differentials made it worth the complication. And the penalty-free cancellation before final payment is a bonus (in the UK your deposit is forfeit from the moment you pay it)

 

But now being retired we book good late deals in the UK, and US/UK price differentials aren't big enough to warrant our using a T/A from the other side of The Pond. And many US cruise lines have wised-up to the practice and will only accept bookings through US T/As for those with a North American address, though there are ways to get round this.

 

I think this is why the OP is finding a significantly higher price in GBP than in USD.

 

JB :)

[ldubs]

I think you'll find the price difference way too great to be the result of exchange facilities & fees.

Cruise prices to Brits are higher than those to N Americans, and Aussies get screwed even more.

 

It's all about selling to a different market.

Why do they charge us higher prices?

Because they can - they're competing against the prices of UK cruise lines and other packaged vacations available to Brits.

Same as for instance the cost of electronic equipment, usually cheaper in the US than in Europe.

It's a fact of life that we have to live with, and doubtless we fare better than our American cousins in other fields.

 

Some of us Brits (and plenty of Aussies too) used to book through US T/As in order to get those US prices.

There were (still are) a few downsides

- we're at the mercy of exchange fluctuations between booking and final payment, though that can be a plus rather than a minus

- there wasn't (still isn't?) an organisation like ABTA (Assoc of British Travel Agents) to safeguard our money if the cruise line or T/A went bust or ran off with our money, though payment by credit card provides most of the safeguards.

- there are a few fairly minor US add-ons like port charges, which are included in the advertised price in the UK.

- the arrangement is subject to US consumer protection, not UK consumer protection.

Nonetheless the price differentials made it worth the complication. And the penalty-free cancellation before final payment is a bonus (in the UK your deposit is forfeit from the moment you pay it)

 

But now being retired we book good late deals in the UK, and US/UK price differentials aren't big enough to warrant our using a T/A from the other side of The Pond. And many US cruise lines have wised-up to the practice and will only accept bookings through US T/As for those with a North American address, though there are ways to get round this.

 

I think this is why the OP is finding a significantly higher price in GBP than in USD.

 

JB :)

 

OK, now it is making sense to me. Haha Thanks.