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I have set the max to 0.05 as you suggested but that will not do me any good if there is a minimum CPC on the search term.
When does Google tell me whether there is a minimum or not? and how do I find out?
Set up your ad.
Include all the KWs you wish.
Set a bid max and then set a daily max.
Finish the process.
When you go back to look at your KWs, adwords will show if a word you chose has a min lower then the max you set [in RED]
The 5 cent trick seems to work sometimes but not all.
You can leave the word in or say the heck with it and PAUSE the ad.
It would be great if Google could add (or something similar)in their FAQ's what hannamyluv said :
It will let you know if there is a min bid, in bright red letters next to the search term while you are setting up the ad after you have put in your max bid. If nothing comes up, then there is no min bid.
I was concerned (and I know 5 pounds is not a lot) that I had to go throuh the whole set up process only to find that there was an enormous minimum! Especially as when you read the FAQ there is one part that says a reason for not being able to see the ad is that my max CPC may be below Google's min CPC!
Anyway is all set up now and works already! Amazing!