Using a credit card in Barbados

As well as shipping rum and sugar around the world, Barbados hosts visitors from just about everywhere, and depends on tourism as a major source of revenue. It’s especially popular with visitors from Canada, the US and the UK.

The local currency is the Barbadian dollar (BBD), and since 1975, it’s been “pegged” to the US dollar at US$1 = Bds$2. When you’re paying in cash, you’ll typically be given the choice of paying in US dollars or Barbadian dollars. For example, a bottle of wine in a supermarket might set you back US$15 or Bds$30 (most food has to be shipped from the mainland, and as a result is not cheap). When you’re paying by card, you’re much less likely to be given the choice – you’ll simply be billed in BBD.

Many of the local small businesses are still primarily cash-based, so you’ll need to carry dollars as well as a card. However, hotels, car hire companies, the majority of restaurants plus the ever-popular boat trip companies will all happily accept card payments. Visa and Mastercard credit cards are widely accepted and you might be able to use your American Express card in some places, too.

Some businesses, including the majority of supermarkets, require you to show a valid photo ID when you use your credit or debit card, and some might insist on looking at your passport. In many locations, you’ll be asked to sign for the transaction, either on paper or on the card reader, so don’t forget to sign your card before you go.

ATMs in Barbados

You’ll find ATMs (cash machines) linked to the Plus or Cirrus systems, so using your Visa or Mastercard card will be easy. There are plenty of cash machines in Bridgetown, and in larger towns around the island. You’ll also find them at many petrol stations.

Unlike those in the UK, almost all the local ATMs are in small enclosed rooms that you access one user at a time. Sunglasses or hats are not allowed in these rooms.

Some local bank-affiliated ATMs impose additional fees to those your bank may levy. You might also be asked which account (savings or credit, say) you wish to withdraw your funds from.

Additionally you’ll be given the choice of who should exchange the funds to the local currency – the bank that owns the ATM or your own bank. Normally, if you’ve bagged a card with favourable terms for spending abroad, it’ll make sense to use your own bank to exchange the funds.

Since the official language of Barbados is English, that’s the default for cash machines.

Cash in Barbados

Cash is king in Barbados, and it’s easy to burn through it quickly. Goods and services don’t come cheap, and as a result, coins are largely redundant. Bank notes start at $2 and run up to $100, and whereas if you whipped out a £50 note in the UK a shopkeeper might be annoyed with you, you’ll get no objections when you hand over a $100 bill in Barbados.

Keep around $200 on you in cash to pay for flying fish “cutters”, snacks, drinks, souvenirs, buses and so on, and don’t be surprised if you’re flatly refused when you ask to pay by card. You may also encounter shopkeepers who aren’t particularly comfortable using the card machines they have.

Chip and PIN, chip and signature or magnetic strip and signature

You may find any of these in Barbados. Contactless payments are not prevalent yet, however. Don’t forget that you may be asked for photo ID when you use your card at a shop, and don’t forget to sign your card before you travel.

You’ll need to know your PIN in any case, to use cash machines.

Is it safe to use my card in Barbados?

By exercising some caution when using your credit card in Barbados, you’ll have a relatively trouble-free experience.

• Keep your PIN safe. Use one hand to enter the PIN and the other to shield it from prying eyes and hidden cameras.
• Select ATMs with care. Try and stick to ATMs in banks and avoid using ones in the street.
• Watch out for “skimmers”. When installed in an ATM, a card skimmer works by stealing information from credit and debit cards. If you feel the card slot is not as smooth as it should be or if there’s a problem with the keypad, cancel your transaction and look for another ATM.

Keeping your credit card (physically) safe

Remain alert to street crime, especially where two or more people work in distracting victims before decamping with their valuables. There have been numerous instances of thefts from hired cars so don’t leave your wallet or purse in a parked car. In some cases, thieves pose as police and ask to see wallets for identification purposes. In such a scenario, make sure you’re speaking with genuine police officers. It is very unlikely that a real officer will want to sift through your wallet.

Potential credit card fees

Credit card fees can leave a noticeable dent in your pocket when you’re travelling overseas, so know what you’re up against well in advance and choose a card with no or low fees.

Foreign transaction fees

British credit card issuers typically charge a fee equivalent to 1% to 3% of your transaction, so carefully review your card’s fine print to avoid statement surprises. Some cards designed for travel come with no foreign transaction fees, so this could be a good time to switch.

Learn more about cards designed for overseas spending

Currency conversion fees

If a retailer offers to bill your credit card in sterling, dynamic currency conversion comes into play. While this might sound like a good deal, you’ll actually end up getting a worse exchange rate, and you might also end up paying currency conversion fees. Whenever you’re presented with an option, choose to pay in the local currency.

Cash advance fees

Using your credit card to withdraw money from an ATM may not make sense unless it’s a bona fide emergency. Each time you withdraw funds from an ATM, you’re likely to pay a cash advance fee. Your APR for cash advances is typically higher than your purchase APR, and you’ll typically get no grace period on interest — instead, you start paying interest immediately. Again, some cards designed for overseas spending will waive this fee.

The table below serves as an example of how much extra you may pay to use your credit card in Barbados.

Additionally, you can get an idea of costs by using these online currency conversion tools from Mastercard and Visa.

How to prepare before travelling to Barbados

1. Go with Visa or Mastercard. Carry at least two cards on your trip, preferably connected with Visa or Mastercard. If you just take an American Express card, you won’t get to use it in many places.
2. Think no foreign transaction fees. When there are cards that come with no foreign transaction fees, using ones that charge 2% or 3% of each overseas transaction does not make sense. Some of these cards don’t charge an annual fee, either.
3. Keep your bank posted. Banks, in their efforts to thwart fraudulent transactions, block credit cards if they detect suspicious activity such as unexpected overseas transactions. To make sure this does not happen to your card, let your bank know about your travel plans before you leave the UK.
4. Keep the emergency number handy. Know which numbers you’ll need to call if you end up losing your card or if you need an emergency replacement.
5. Know where you’ll get cash from. Consider using your debit card to withdraw cash from ATMs. If you need to exchange money, stick to banks or official money-exchange offices because possessing counterfeit money in Barbados is a serious crime. Try to avoid exchanging money at airports and popular tourist destinations because of typically poor exchange rates.

Next steps

Ask yourself these simple questions before you leave so your spending in Barbados does not hit any roadblocks.

• Which cards will I take? Visa and Mastercard are the favourites. If you’re planning a trip, check out cards which give you complimentary airport lounge access. If you’re planning well in advance, consider earning air miles for your trip with a frequent flyer credit card.
• Have I let my bank know? If you don’t inform your bank about your travel plans, you may end up with a temporarily suspended card.
• What fees do I need to pay? If your existing cards come with foreign transaction fees, look for one that does not. Paying in Sterling outside of the UK might come with currency conversion fees.
• How will I get cash? Using your debit card at an ATM is the simplest way to access your own money. You can carry cash and traveler’s cheques with you. Exchanging Sterling to Barbadian Dollars is easy and you’ll get several options.

When you’re in Barbados, you won’t be able to use your credit card everywhere, and so you’ll also need to carry cash.

Compare cards with fee-free currency conversion in Barbados

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Product UKCCF	Finder Score	Purchases	Annual/monthly fees	Initial credit limits	Representative APR	Incentive	Link
Monzo Flex	Finder score 8.2Great	0% if paid in full monthly or over 3 months. Reverting to 29% (variable) in 6, 12 or 24 monthly payments.	£0	Min. limit not specified, max. limit not specified.	29% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 29% (variable) p.a., your representative rate is 29% APR (variable).	Go to site Read review Compare	loading Fetching your data...
Santander All in One Credit Card	Finder score 9.3Excellent	0% for 15 months reverting to 23.9%	£3 per month	Min. limit £500, max. limit not specified.	29.8% APR (variable)	0.5% after £1 of monthly spend. Maximum of £10 cashback paid per month. Cashback paid Monthly into Card Account. Maximum spend for cashback purposes is limited to credit limit. Representative example: When you spend £1,200 at a purchase rate of 23.9% (variable) p.a. with a fee of £3 per month, your representative rate is 29.8% APR (variable).	Check eligibility Read review Compare	loading Fetching your data...
118 118 Money Guaranteed Rate Card	Finder score 7.8Great	49%	£0	Min. limit £500, max. limit not specified.	49% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 49% (variable) p.a., your representative rate is 49% APR (variable).	Check eligibility Read review Compare	loading Fetching your data...
Yonder Credit Card Finder Award	Finder score 9.7Excellent	29.94%	1 month for £0, £15 per month thereafter	Min. limit not specified, max. limit not specified.	66.7% APR (variable)	First month free for new members, £15 p/m thereafter. Plus, 10,000 bonus points. Earn 5 points per £1 spent and up to 25 points per £1 at selected partners. Membership includes worldwide travel insurance, no FX fees and use your points towards any flight. Representative example: When you spend £1,200 at a purchase rate of 29.94% (variable) p.a. with a fee of £15 per month, your representative rate is 66.7% APR (variable).	Check eligibility Read review Compare	loading Fetching your data...
NatWest Credit Card	Finder score 9.8Excellent	12.9%	£0	Min. limit £250, max. limit not specified.	12.9% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 12.9% (variable) p.a., your representative rate is 12.9% APR (variable).	Read review Compare	loading Fetching your data...
The Ulster Bank Credit Card Mastercard	Finder score 9.8Excellent	12.9%	£0	Min. limit £350, max. limit not specified.	12.9% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 12.9% (variable) p.a., your representative rate is 12.9% APR (variable).	Read review Compare	loading Fetching your data...
The Royal Bank Credit Card	Finder score 9.8Excellent	12.9%	£0	Min. limit £250, max. limit not specified.	12.9% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 12.9% (variable) p.a., your representative rate is 12.9% APR (variable).	Read review Compare	loading Fetching your data...
Halifax Clarity Credit Card Mastercard	Finder score 9.3Excellent	23.94%	£0	Min. limit not specified, max. limit not specified.	23.9% APR (variable)	Representative example: When you spend £1,200 at a purchase rate of 23.94% (variable) p.a., your representative rate is 23.9% APR (variable).	Read review Compare	loading Fetching your data...

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To make comparing even easier we came up with the Finder Score. Costs, perks and suitability across 120+ cards are all weighted and scaled to produce a score out of 10. The higher the score the better the card – simple.

Alternatives to credit cards

There are other options for spending abroad, such as Revolut, Starling, Monzo and similar digital banking accounts. These function much the same as regular current accounts but you won’t have to visit a branch to organise your finances. Our digital banking apps for travelling will give you lots more options.

Monzo, for example, allows you to withdraw cash at ATMs overseas but there will likely be a limit applicable, otherwise you’ll end up being charged for the privilege. On the other hand, making purchases directly with a Monzo debit card shouldn’t have any restrictions applied. To see which might work for you, compare Monzo, Starling and Revoult.

Bottom line

If you’re heading to Barbados soon, you won’t want to waste any time worrying about how to pay for long lunches and trips when you’re there. But being smart about how you spend before you arrive could help your money go further. Cash is king in Barbados but you’ll have plenty of other options to consider.

Be sure to compare deals if you do decide to use a credit card. You’ll also want to check what the fees, if any, will be for foreign transactions or currency conversions.

A little research goes a long way but once you do, you can focus on your holiday.

Frequently asked questions

• Are there any currency restrictions for entry into Barbados?

  There are no currency restrictions, although you may need to declare if you’re bringing in large sums – check the form you’ll be asked to complete before landing at Grantley Adams.

How to use a credit card in …

Written by

Chris Lilly

Head of publishing

Chris Lilly is Head of publishing at finder.com. He's a specialist in personal finance, from day-to-day banking to investing to borrowing, and is passionate about helping UK consumers make informed decisions about their money. In his spare time Chris likes forcing his kids to exercise more. See full bio

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Chris has written 602 Finder guides across topics including:

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