Not sure about the maths about the card fees and the article is a little vague about the recommended credit cards that you should use:
To clarify, the best credit cards to pay for this fee (i.e. the ones with no foreign currency loading and perfect exchange rates) would be
Halifax Clarity
Santander Zero (no longer available for new applications, although I've got one)
Saga
Nationwide (now only if you have a current account with them)
Capital One Classic Extra
I own 3 out of the above and the best one in my opinion is the Halifax Clarity, because you can use it for cash withdrawals anywhere in the world with perfect exchange rate, no currency loading AND no ATM fees. The only drawback is that interest accrues as soon as you withdraw cash (you get the normal interest free period with purchases, however) and you can't "pre-load" the card to avoid the interest. The solution I use is to get Halifax and Lloyds smartphone apps and when I am away, withdraw cash and then send a payment from my bank to Halifax via my banking app a day or two after withdrawing. (The Halifax app is useful to keep an eye on transactions - dodgy or otherwise) I did this for two holidays last summer and accrued a grand total of about 80p in interest, despite withdrawing at least £1500. I reckon I saved something in the region of £50+ compared to the crap exchange rates that you get in resort. That's a family meal out in Turkey, thank you very much. Even if you don't use a smartphone and pay the lot off at the end of a two-week holiday, you'll still be much better off by using it.
One other tip that I've posted here before - if you buy something abroad on your "good" travel credit card like one of the ones above or even take money out at an ATM, you are sometimes given the "opportunity" to have the sum "kindly" converted to £sterling. PAY IN THE LOCAL CURRENCY. With one of the cards above, you already have a perfect exchange rate. If you convert to £sterling, the rate you get is a lot less than "perfect". Example: I bought some one-way flights on Ryanair from Tenerife recently for €542.60. The Ryanair website said I could pay in sterling for about £480. I turned down their kind offer. The sterling equivalent on my Nationwide Gold Card was £452.74, so I saved myself yet another Ryanair charge of at least £27 just on that one transaction for not having Ryanair/their bank convert the bill for me.
Please do note that some credit cards are better than others for foreign usage. The ones I have listed are good, others can be dreadful.
I use the Halifax Clarity exclusively for foreign usage (other than Airline bills), as I have others which are better for use in the UK and I like to keep it all separate anyway.
http://www.moneysavingexpert.com/travel/cheap-travel-money#halifaxP.S. My Lloyds debit card would attract a £1.50 fee AND a crap exchange rate, so I won't be using that one.
