Written by Karen Bryan
When doing some research on home contents insurance, I was taken aback that Admiral charge a £5.95 fee for payment by credit card.
This seems excessive, especially considering that the quote was for £160. That’s more than an additional 3.5% for using your credit card to pay for home insurance.
I couldn’t believe that it cost so much for Admiral to process a credit card payment.
I did an online search for ‘average cost for UK merchant to process a credit card transaction’. According to an article on the This is Money site., the average cost is 0.8%. That’s way below what Admiral is charging.
I suppose that you need to put it into perspective. If Admiral do offer you the lowest price quote for insurance, look at the total cost you’ll pay if you pay by credit card. Or use your debit card, which incurs no additional fee.