The Best (and Worst) Cards

Let me add:

The Good -- USAA

The Bad -- Regions

s

As usual that article does not have all its facts straight. Under the debit card section it specifically says that Bank of America charges a 3% conversion charge on its ATM withdrawals plus mentions a $5 charge for non affiliated withdrawals. That is just plain wrong, unless it has changed in just the past few months. Bank of America shows a 1% conversion charge on your bank statement, but ironically every one of those withdrawals also seemed to be discounted the 1% (lower than the rate on credit cards or on XE for the same date). So in fact there was no conversion charge for any of my withdrawals -- and certainly not a 3% one. Where did they get that information?

Meanwhile I had looked at opening a Wachovia checking account for the express purpose of foreign ATM withdrawals, and there is a Wachovia just a couple blocks from me. But unless I wanted to keep a huge balance in it, their checking account fees far outweighed any advantage I'd have by using their ATM card on European trips. My Bank of America checking account charges me nothing for regular service, even paying me interest on my balance. So it's paying me back the couple of $5 charges I may have when I can't use an affiliated bank -- which is rare.

I would really like to know if Capitaol One is truly "absorbing" that 1% fee or if they are, in fact, making up the difference with exchange rates, etc.

Of course, nobody claimed this article was "in depth" now did they?

Just before my daughter left for her internship in Ireland, she opened an account at WAMU. They do charge a $3 fee to use ATMs out of the country. But don't tack on their own currency conversion fee.

Dukey, there have been numerous reports from people who use Capital One who have checked their exchange rates and their bottom line and have indeed determined that Capital One is absorbing that 1%.
Others have suggested, however, that policy might not extend to ALL Capital One cards -- like special reward type ones -- not their "Big Hassle" ooops, I mean "No Hassle" reward card, where clearly there is no fee or charge for foreign charges.

So in other words, CAPH, that article is wrong about Washington Mutual as well.

Thanks for the quick replies.

All of the banks mentioned, including Washington Mutual and BOA, in the article were contacted in the last two weeks. It is possible that the customer service representative on the other line might have given incorrect information.

In my own experience, I know that I've received two different answers my own bank in regards to currency conversion. Interestingly enough, I've had better luck calling than actually speaking to the bank manager of my local branch.

I think the more important thing is to increase awareness about these fees.

Thank you, Neo for that information.

To clarify on WAMU, they don't charge to use other banks ATMs within the US. But they do charge the $3 fee overseas. As I said though, they don't add a conversion fee. And, sadly, that made it the best my daughter was able to do.

I have to say also that, so far, we've been extremely happy with WAMU. We've run across a few minor problems and they've gone way out of their way to help.

Thanks CAPH52 for sharing your experience. Sounds like another call to WAMU is in order.

When I travel, I'm less concerned about the withdrawal fees and more about the currency conversion rates but I can see how those fees could really add up for your daughter.

Schwab Investor Checking:

Zero percent currency markup
ISA absorbed
Foreign ATM (US or overseas) rebated

No costs whatsoever to cardholder.

Just checked with US Bank - their conversion rate is based on the Wall Street Journal rate the day prior to the day they process the transaction. They have a 3% conversion fee on all international charges.

Also checked with Wells Fargo Bank about the fees associated with buying some Euros before leaving the States. They charge 6.62% fee to do so. I was just curious. I use ATM's while there but there was a discussion about having some Euros when landing.... but I just grab at airport anyway..... Just an fyi

Turnstile Traffic, I think you've learned what many have reported here in the past. Many bank representatives, including officers, really don't have a clue what their bank actually charges. Apparently bank personnel are often aware that their bank credit card charges a certain percentage exchange rate for purchases, and I think often they just assume that the ATM cards will work the same way. When a bank officer insisted that there was no charge for me to get euro traveler's checks from them, he seemed totally clueless as to how a different exchange rate could make any difference. He kept insisting that if there is no fee it doesn't cost me anything. Duh!

My favorite was discussing the cost of getting some euro for a deposit on an apartment with a senior teller at my bank and finally she said, "I don't know why everyone is so concerned with getting their currency. They'll all just take US currency in Europe. They're glad to get it." So much for expert advice!

It's as if most people think it's still 1948!

Bookmarking

I did some research on this for our five month trip and ended up changing banks to a credit union and dealing with the No Hassels Capitol One card (I once asked them on the phone, does their tag line mean No Hassels for THEM?).

Over five months, this did save us a lot of money. Especially in Bali where we had to visit the ATM almost daily because of small withdrawal limits!

The following bankrate.com article was written in Oct. 2005, but still seemed accurate as of a few months ago. They have a table which more accurately describes the BOA card fees, for example, putting the 3% fee on the cc, not the debit card.

http://tinyurl.com/pyxvw

Robespierre, the Schwab Investor Checking doesn't seem to require a minimum monthly balance like I expected! I thought perhaps it might require $10,000 or something, but no? This sounds like an excellent option.

I thought I'd share this information even though, unfortunately, anyone who isn't going to Europe very soon won't be helped by it.

My daughter has been using her Target Visa since she's been in Ireland. I saw her last bill and, though I didn't take the time to actually figure it out, I thought it looked like she wasn't being charged much of a conversion fee. So, for the heck of it, since I also have a Target Visa, I just called to ask them what their conversion fee is.

Right now, they're charging only the 1% Visa fee and not tacking on any of their own. On April 3rd, they're changing their fee to 3%. That just happens to be the day I come home!

I'm wondering if this means it might be worthwhile to check out other MCs and Visas that have been issued by businesses other than banks. I think I'll check on my Dick's Sporting Goods MC!

Well I can attest that BOA is huge RIP OFF on the fees. FIVE DOLLARS? They have to be kidding. (As a result, I am moving back to a credit union!)

caution - hsbc is the worst for the traveller...not the best as claimed in this article.

my HSBC card did not work in any HSBC bank machine in china (or other banks' machines). the branch was open so i went in thinking that they could easily sort it out. i was told that the problem was with the issuing bank, not their problem. when i politely pointed out the (obvious) fact that this was an hsbc card and i was standing in an hsbc bank, they still repeated that the issuing bank was the problem. they were polite but refused to help a customer. this was the manager of a major Beijing branch. they just don't get it. upon returning home, the card could not be used because "there was an attempt to use it overseas". a new card had to be issued. i totally understand security concerns but this whole experience just shows an inability to deal with the needs of an international traveller. i live on the road and these strange things always happen with my hsbc card.

'the world's local bank'....this is a joke. my NatWest card works fine all over the world. i have also had other problems using an hsbc bank card in other countries.

hsbc also is not a good international bank in other areas. they offer few, if any useful services to those of us who live internationally and travel extensively. having accounts in different currencies still incur transfer fees as if they were being transferred to different banks. of course they market themselves quite differently. but if you start to ask a few simple questions, their 'international' story falls apart.

i suspect it was just on the list because of the international marketing rather than through real analysis of their ability to provide good service internationally.

unfortunately, when i posted this on the US board, it seems my main point was lost when it was all put down to my having a uk issued card. these problems are about how the bank operates around the world with nothing to do with where my card was issued. i would be interested to know the basis for choosing hsbc as 'the best'.

And I can attest that I love my BofA, I never pay a fee if I use a partner bank and I have 2 out of network fee free transactions.

ANd as Patrick said..the rate takes care of the exchange fee. Maybe you have the wrong kind of account.

I used a WaMu at an ATM in Turkey October 2007 to withdraw money. My statement shows a withdrawal of $274.63 and a $2.74 Foreign Transaction Fee. So I was charged 1% and no other fees.

My credit union charged $1.25 for each ATM withdrawal that I made on the trip.

Susan, you weren't charged a $3 fee? I wonder whether they've changed their policy since then.

My daughter's main reason for changing banks was to find one that would cause her the fewest hassles and charge her the fewest fees while she was in Ireland. So, of course, we made a point of asking about out of country ATM fees. That's how we found out that there was a $3 out of country charge but only a 1% conversion fee.

Another reason she went with WAMU is that they do free international wiring of funds. Her original intent was to get an account in Ireland and then wire funds online from her account at WAMU to the one in Ireland. But she's run into so many other little glitches that she hasn't had a chance to even try to open an account. Now that she has less than 3 months left, I'm not sure whether she'll bother.

CAPH52--I was not charged the $3 fee but did pay 1% in October 2006. I do not know if that is always true since I only used the card one time. It seems that WaMu is always making changes, so it is difficult to know what to believe. I opened the WaMu account to have more options if I had trouble with my credit union ATM cards. The WaMu that I have is a debit card.

There had been many discussions here at Fodors about using ATM and/or debit cards in Europe. Since I did not have a debit card, I opened the account at WaMu.

I would try calling their 800 number at WaMu and talk to the customer service department. Find out about the different types of accounts and charges.

Good luck with your search for a good bank and card. Be sure to read the fine print in their account disclosures and regulations.

"I used a WaMu at an ATM in Turkey October 2007..."

You did? Or you will?

"My statement shows a withdrawal of $274.63 and a $2.74 Foreign Transaction Fee...."

What was the Interbank rate that day? There may be a markup hidden in that $274.

marking

I can confirm that Capital One (over the past ten, or more, years) still has no "currency conversion fee" and absorbs the 1%. I subscribe to ucc.xe.net with daily e-mails of exchange rates. I save all slips and compare them to my statements. Without fail, each and every transaction over the years has been 99.9% or more (depending upon when the transaction takes place versus posted to your account... I would suppose) of the "interbank" rate.

Our ATM/debit card with our local/regional bank is also without any currency conversion fee, or any ATM withdrawal fees, because we took advantage of a 1% automobile loan year before last, even though we could have just paid cash. Transactions are also calculated at the "interbank" rate.

For sure, you positively cannot depend on what any representative tells you on the phone. You MUST read those little leaflets that are included with your statement or are mailed separately ("important information regarding your account") and good luck figuring out what they are trying to tell you!

Some credit cards, such as Citibank, not only have the "currency conversion fee", there is a different interest rate for "foreign" transactions, and a "transaction" fee, along with an impossible to determine "exchange rate" calculation.

All in all, it could "cost" you 5%, or more, total to "pay" for your trip while abroad...if you don't know what you're doing...

Robespierre--I did use the card in October 2006. Sorry about typing 2007.

I do not know what the interbank rate was that day. WaMu does not disclosure the rate of my monthly statement.

Run your transaction through xe.com/ccc and all will be revealed.

Commerce Bank (on the East Coast, NY/PA/NJ/VA) ATM Card has no transaction fees, no conversion fees, and no fees whatsoever. USAA charges the 1% conversion fee that is passed on by Mastercard/VISA, but it gives me 1 and 1/4% cash back at the end of the year for all my transactions.

I have a Capital One card and have never been charged any fees. And a couple of years ago, it was very easy to book a flight using my miles.

As for ATM cards, I have an account with TD Ameritrade (formerly TD Waterhouse), and they don't charge any fee no matter where you use the card and there is no markup to the exchange rate.

Robespierre,

Many thanks for the link for hidden CC charges. For transactions incurred in Feb 2007, I was surprised to find that the lowest to highest fees were as follows:

1) Lowest--Diners Club (less than 1%)
2) American Express
3) Citibank AAdvantage Mastercard
4) Chase ATM (with no ATM fee charged)

Very enlightening! Thanks!

I just checked with my bank - Bank of the West. They charge $1.50 for non-BoW ATM usage + 1%. I guess it could be worse! Thanks for all of the great info everyone.

H

I didn't know until I got home from my trip to London and Paris last year just how much in fees and added on percentages Bank America was charging me for using their card at the ATM's in Europe ! Astonishing. I have Cap One but hadn't thought to use them overseas knowing that Bank Amer had sister banks in London and Paris.
The same goes for Chase/USA cards. Dont use them overseas or at home for that matter either.

mahya, the $5 fee (only if you didn't use Barclay's in UK or BNP in France) plus a 1% fee for using an ATM were "astonishing"?

If you took out $1000 worth in three transactions and didn't bother using partner banks it cost you a total of $25. If you did use partner banks it cost you a total fo $10. Is that what you call "astonishing"?

What's the story on American Express -- what is their conversion fee?? I remember some class action about them charging some fee that had not been previously disclosed to users???

I have a Bank of America card (credit card plus ATM), and can verify that they do charge 3% on the credit cards, and $5 flat fee plus 1% conversion on the ATM.

I use both American Express and Bank of America cards. While Amex does not charge the conversion fee, their currency conversion rates are pretty poor, so in effect you're paying almost the same as if you used Bank of America and got a good rate, but had the extra 3 percent tacked on. And I have used it extensively and they do charge 3%, despite what some other folks have posted, plus $5 to use out of network ATMs.

How about getting money through AAA if you have a AAA card? Maybe that would be fee free.

Another post...

Can anyone recommend any mileage or hotel cards that don't have annual fees? I really want to start racking up miles or points, but don't want to pay an annual fee. The US airways card was a huge waste and didn't deliver on what was "promised" - the offer of a cheaper companion ticket whenever you book dried up a couple of months after I got the card. The 25,000 miles that were promised turned into 2,000 - where are the rest? They bragged of no annual fee when I was on the plane trying to get us to sign up, but then they slapped me with a $50 annual fee.

Usually that "no annual fee" will only apply to the first year and after that they'll hit you with one. I used to brag that my Citibank AAdvantage card did NOT have an annual fee. I've had it for 19 years now. I use it a lot and back a number of years ago when they assessed me an annual fee, I called up and complained. They removed it and didn't charge me one for years. But two years ago they started charging me (I think it's $50 a year). I called to complain again, but they wouldn't budge this time. On the other hand, when I screwed up and sent the wrong payment at the wrong time and got a fine and interest of about $75 I called up and because I'm "such a good customer" they removed the whole charge -- so I guess I shouldn't complain about the annual fee, when that other one was even my mistake but they ate it.

CAPH52, when was your WAMU account opened? The reason I ask is that when we originally opened our account, the overseas charge was $3.00, as you said. When they began the new "policy" of no fee, 1 percent charge only on overseas ATM withdrawals, I had to go to a bank teller and request that the type of account I had be changed to the new type with the 1 percent conversion fee.

I haven't been able to test this yet, but I am interested in how successful people have been in using WaMu ATM Cards overseas. I understand that in Italy they have been problematic?

I noticed on the Capitol one web site there are several types of credit cards. Which is the one that I should apply for? I currently use Bank of America.

Thanks,

Monica

SusanP,

You mentioned that with your TD Ameritrade card there were no fees. I know that TD Ameritrade themselves do not charge fees, but what about the banks whose ATM machines you were using? I was told by TD Ameritrade that I would still incur fees that way when using their ATM.

I will be in Shanghai and applied for a savings account with HSBC to use their ATM card, which I originally read was fee-free if using HSBC ATM machines. But now I have read some contradictory information on this subject, and have no idea what to think!

Monica, USAA only charges the 1% M/C conversion fee, but you get up to 1 and 1/4% cash back at the end of the year.

AlexO9, if you're talking about Europe -- NO banks there will charge you anything for withdrawing from their ATMs. The only charges you get will be imposed by your bank (or the 1% added by Visa Services for handing the transaction). Most banks will pass on that 1% -- a very few eat it.

Just got an AMEX Platinum card by signing up with Ameriprise Financial planners and having a certain balance being managed. Any comments on fees for using this card in Europe? Have a Delta Skymiles card too.

Clyde

NeoPatrick,

Thanks for the info regarding Europe. I will be staying in Shanghai, China though. Wonder if, like in Europe, the banks there will not charge me for using their ATMs?

Thanks Mike!

Monica

I just used my Capital One credit card in Holland...no user fee at all! Also used my ING ATM card at an ING ATM...no fee! Used my Bank of America card once...1% fee.

It's kind of a coincidence that this thread just happened to come back up today. Early on, I posted about the fact that we were pretty happy with the WAMU account my daughter had opened just before leaving for Ireland. Well, earlier today, I was not so happy!

Just as I was getting ready to leave for work, we got an automated call asking that our daughter call WAMU's fraud prevention dept. I immediately called and explained that I'm also on the account, she's overseas, there are notes on the account, yada, yada, yada. Well, this woman refused to hear any of it! Just kept giving me the same spiel over and over again about how my daughter had to call. Never asked for my name, wouldn't consider pulling up the account. She gave me what was supposed to be a number my daughter could call collect.

Fortunately, my daughter saw my e-mail right away (she's sometimes away from her computer for days at a time). She wasn't able to figure out how to call collect so she used her phone card to call them. In the middle of the call, her minutes ran out! So she wasn't sure they would reactivate her card. But she was on long enough to find out that the transaction that had set this off was exactly the same transaction (same amount, same place) she's made many, many times since she's been there. There was absolutely nothing suspicious about it.

My daughter wanted me to call them to make sure her card was working. And, believe me, I wanted to call! I'd been aggravated before. Now I was furious! Earlier I'd thought she might have used the card to purchase airline tickets and that was what had set off the fraud thing. But the same transaction she'd made many times before....?!

I managed to stay firm but very polite throughout the entire conversation. I asked to speak to a supervisor but was told I'd have to have her call me back. Well, I needed to be sure the hold had been removed from the card. So I explained the whole thing to the person who'd answered the call. At one point I told her that I understood that these things are entirely random and computerized. But that, if a human being had looked at the account, they'd have seen that this was not a suspicious transaction (and, of course, would have seen all the notes on the account about her being overseas, the dates, etc.). I explained that I was so aggravated because the woman this morning had refused to even consider looking at the account. And I told her that I understand that fraud is a huge problem and that I appreciate their vigilance but that common sense would have gone a long way in this particular case.

This second woman was very apologetic, said she understood my concerns with my daughter being so far away and depending on this card for cash, etc. She said the card is active and there should be no more problems. Her attitude definitely helped to alleviate some of the irritation.

I've decided the problem was not so much WAMU as a lazy employee. And, of course, you find those everywhere. But it's very aggravating that she could so easily spout the company policy and use it to avoid making any effort to help.

I don't think CapitalOne is the best card.

I used CapitalOne No Hassle Rewards Master Card to puchase airline tickets from RyanAir.com on April 5. The euro amounts is 81.48 euros but my statement showed $114.23. A conversion rate of 1 USD = 0.71329 EUR. At that date, the interbank exchange rate was 0.7492 EUR/USD (http://www.oanda.com/convert/fxhistory). 0.71329 / 0.7492 = 95.5%. I.e., CapitalOne estentially changed me 4.5% fees.

This is the same for another purchase on April 7.

I should have said I also used the card to book hotel at Novotel. The conversion rate is >98% of the official rate. I really want to find out why this is the case. I called CapitalOne and they comfirmed in all cases, i was charged euros and they were converted by MC.

hmm. I used my new Cap One M/C this April. My statement shows the rate used in the conversion on many of the records, and it is very close to www.x-rate.com for that day.(ex. 0.741002117 vs. 0.74162)

Pulled some receipts and checked the calculation myself for a few days and still comes out as disclosed.

I wonder if Ryanair pulled the DCC on you.

we crossed... I used my card in Amsterdam, Brussels and Paris.

Hi Travelnut,

Does CapitalOne always put conversion rates on foreign charges?

My RyanAir changes do not list conversion rate but the Novotel does.

I tend to agree with you that RyanAir charged me additional 3%. But CapitalOne said the charges were in Euro not USD (i.e, should no DCC). RyanAir already charges 2.5 euros each ticket for credit card transaction and it will be very greedy for them to tack another 3%.

I just did a rough check of my Cap One charges...close enough to the conversion rate not to sweat about it...maybe exact.

Thanks for confirming C1 is a good card. I will file a dispute on my RyanAir charges and to see what they have to say. (Not really care about the $15 loss but want to find out what happened.)

hx88,

If you look carefully on the Ryanair site, you will discover that the airline bills you in the currency of your country of residence, which means that you are stuck with their Dynamic Conversion rates. It has nothing to do with the card.

Michael, do you have a link? The final receipt I had was in Euros and C1 also said it's Euro (but i double they know too much about it).

I swear I will never take Ryanair again, secondary airport, confusing website and bad services.

Maybe Ryanair's policy has changed. All I know is that when I finalized the ticket purchase last year, I was subject to Dynamic Conversion and paid more, even though the cost was given in British pounds. I knew that because my credit card did not charge me the normal 1% conversion fee. The ticket was still cheap.

I should have said that the lack of conversion fee confirmed what I knew when I finalized the purchase.

Monica...get the Capital One No Hassle Rewards Card.

I've used it all over Europe and never had a problem. It's everything they claim it is.

I haven't used my rewards yet but I have friends who have had several free (or discounted) flights and had no trouble at all with them.

I closed by BofA accounts and canceled my Chase card when BofA took them over.

In my experience, BofA is worst bank I've ever dealt with...both internationally and domestically.

Any comments or opinions on using an American Express platinum card? Should we apply for a capital one card? It sounds like folks like that one.

What to do for my son (age 11) who is traveling for 3 weeks to Austria, Italy, Hungary, Czech Republic, Slovakia with a large group (42 boys- choir tour group). The choir is advising the kids to bring some of each currency for respective countries and U.S. dollars to exchange there. About 7 chaperones going along, no parents. Any creative ideas?

Just to make this topic really more confusing, there is something called "dynamic currency exchange".
From a Visa Website-

Some merchants now offer to convert your bill into your home currency. This is called dynamic currency conversion and means the merchant—and not Visa—is converting the currency. As a consumer you may value knowing the exact price in your home currency at the point of sale but you should also know you may be charged extra for this service by the merchant. Visa requires that you are provided a meaningful choice at the point of sale and you have the right to buy your purchase in the local currency so that you do not incur any additional fees the merchant may assess. Visa also requires merchants offering this service to inform you of the exchange rate including any applicable commission being charged. If you choose DCC for a transaction, you receive the merchant rate, not Visa's rate.

Watch out for merchants that "provide" this helpful "service"

Thanks, Robert. But there have actually been many, many threads on that subject here on Fodor's. Very common problem in Ireland.

hx88: Greedy is Ryanair's middle name!! I have never ever, in many many years of travel seen an airline that finds more ways to tack on surcharges!! I stay away from them!!! They once tried to charge me $187 for my luggage -- the ticket originally cost me $37! After a lot of creativity, I still ended up paying $50 for my bag! The creativity consisted of pulling every book out and tucking them into the waistband of my pants; stuffing all of my pockets, including my coat pockets, stuffing several items down the front of my shirt, hanging some things from my overstuffed pockets, THEN draping all of my pants and many other articles of clothing around my neck!!! Totally ridiculous! After I finished at the check in desk, I stuffed it all in my carry on (which was, fortunately, expandable)! If there is a way to make you pay more, you can bet Ryanair has found it.
-Ronda

In one of my posts above, I complained bad conversion rate of using C1 card. As suggested by people here, DCC was charged by Ryanair.com without my consent. I filed complaints and today I received a letter stating those fees were reversed.

Another example C1 card is the one to use abroad. Thanks all for your help.

Ronda, I agree Ryanair is a sell. There are other alternatives, vueling.com, easyjet.com.

I received the following notice with my SunTrust statement today:

Effective August 1, 2007, on checking, money market, and savings accounts:

Non-SunTrust ATMs located outside the U.S. — per Withdrawal, Balance Inquiry, or Transfer: $5

To RhondaTravels:

I can just picture what you looked like! (I only laugh because that's what I look like for my whole flight - I only take a carry-on (no matter how long the trip), so sometimes I end up wearing half my clothes on the plane. I'm laughing with you, not at you).

Husband using Capital One in Europe as we speak. No foreign transaction fees as advertised. It's so nice to not have to pay that dumb 3% charge that BofA and everyone else we had seemed to have.

By the way, even though they said it would, my Bank of America ATM card would not work at Barclays in the UK(where there were not supposed to be a $5 ATM charge). Roar!

Bankrate updated the 2005 article on the best cards to use overseas in April 2007. Here's the link:

http://www.bankrate.com/brm/news/cc/20050624b1.asp

LadyBluffton,

Did your BofA card have a 6 digit PIN by any chance?

I opened up a BofA account for this very reason, to avoid the $5 charge at Barclays. However, this is before I realized I qualified for a USAA checking account

CharlieHorse, what's USAA checking account ATM card's policy? I have an account, but just never use it because Commerce Bank checking ATM charges no conversion fees/ATM fees/no fees at all. You get the straight interbank rate by taking your money out of your checking account. It's a wonderful thing.

Budman--USAA's policy is 1%. That is what we are using when we leave for France this week, so I just checked recently.

I know, that's their credit card. And if you have their 1 and 1/4% cash back credit card, you make out.

But, they also have a bank/checking account/ATM card. That's different from the regular credit card. Just wondering about those fees.

I heard from one poster who said she used her USAA credit card as an ATM card. If you have a pin, it works, but she was charged what she considered an outlandish fee, plus you have to start paying interest the day of the withdrawal.

Budman--That is their ATM card as well. I knew our MC with USAA was 1%, so called to specifically ask about the checking ATM card.

My USAA ATM is free as the out of network fees are refunded monthly and my USAA CCs (V and MC) charge the 1% currency conversion, but that is rebated at year end (1.25% as I use only one of the two CC).
Oh, we live in MX and travel lots.
Buen viaje.
M

<My USAA ATM is free as the out of network fees are refunded monthly

How about the currency conversion fee for the ATM card? Same as the CC?

Ok...I was not clear. Yes, USAA does not charge ATM fees, but yes, they do charge the 1% currency conversion fee that Budman mentioned.

HSBC is far from a great ATM or credit card to use. In my short experience with them, they even charge you to sneeze! As a result, I refuse to do business with them where I can.

As for regional banks, Budman has recommended Commerce Bank for those in the NY area, and once I find the time, I will be sitting down with them to see what they offer.

Polly, I know this was posted a long time ago, but is your ING account one of those internet savings accounts? I wanted to get an ING ATM card, but they told me I wouldn't be able to use it abroad.

Bank Of America - they definitely charge 3% fee on Credit card. I got charged a few months ago for deposits I had to make in Europe. They also have overpriced fees for using the ATM card. I have since cancelled with them.

E*Trade Visa- A card some of you might not have thought about is E*Trade. I have a Platinum Visa with them- 1% foreign transaction fee (although when I spoke to a customer rep recently they said there was not a foreign fee, so I need to check that out again.) They also have an excellent CDW/theft policy for rental cars, they even cover Italy as a secondary insurer.

E*trade also has ATM and you can get your fees refunded in the US and I believe from overseas ATM's, but I have not checked that out yet.

And no I don't work for E-Trade, I was just pleasantly surprised that they had such a good card rate and fees compared to others and thought I would pass it on

mcnyc, my ING account is indeed an online savings account, specifically, an Electric Orange account.

Also, my BofA CC is a platinum card. The one foreign transaction I made on it (made by mistake, long story*) was charged a 1% fee.

My Capital One CC imposed no foreign transaction fee at all on any of my charges, as my ING ATM card did not at the ING machine, but I said that already.

*Well, not so long and maybe other people need to know this. In November, I made a hotel reservation through an online booking company. Cancelled the reservation 2 days later because I found something else. Printed out the cancelation notice. Wouldn't you know it? When I returned from my vacation 5 months later, I was charged for the room that I had cancelled. No response from hotel when I emailed and snail mailed them; booking agent has record of notifying them. Anyway, BofA refunded everything including the 1% transaction fee.

I have had nothing but great experiences with my HSBC debit card in Europe. I even had a situation in Paris last year where my travelling companion needed to change a very large Euro note to smaller bills, couldn't do it anywhere, but I was able to walk into an HSBC branch, explain the situation, show my debit card, and complete the transaction.

I am about to depart for Beijing for one month and anticipate using my HSBC card there, too. I researched the situation, and it turns out that they just incorporated locally in April 07. I am not fully clear what that means for my ability to use my card, and of course as others have noted, their tagline "the world's local bank" is a joke, at least concerning global knowledge in their NYC branches!

Alex09, Shanghai was one of the originating cities for HSBC (Hong Kong and Shanghai Banking Company). According to the website, those branches along with ones in Beijing have become part of the local incorporation. Not sure any of this info helps either of us, since I still don't know how well the ATMs will work! Here's the English-language website if you haven't seen it already:
http://www.hsbc.com.cn/1/2/home.

mcnyc, I don't incur any charges with HSBC. Maybe it's the type of account you have? I switched to them years ago after being nickel-and-dimed to death by Chase, charged for so much as even thinking about my account! From what I've seen, Commerce has a lot of fees, too (look carefully at the fine print on things like that "save the change" campaign they have).

I had some problems with HSBC on my last trip to Paris last week. I use their Online Savings Account and figured their ATMs are all over Paris, I would have no problem. It seems that if you do not alert HSBC that you are traveling abroad they do not allow foreign ATM use, including their own ATMs. Never had this issue come up with an ATM card.

On the positive note, I used my Commerce Bank account and it worked beautifully. No fees whatsoever to use it in the ATM. Just paid the straight conversion rate of the day. If you're in DC, PA, or FL where Commerce is, definitely check them out.

My impression was that European ATMs would not access savings accounts, just checking accounts, AST13. Perhaps that was your problem.

Glad you had a second card, and didn't get stuck with no access to funds at all. I carry a BofA card, as a backup, but would only use it in a dire emergency, as they are bandits on foreign exchange, IMO.

nukesafe, that's my understanding as well. I've never had to notify HSBC of my travel plans to Europe, and my checking ATM card always works in their ATM machines. (I did just notify them of my upcoming trip to China - but that's another situation entirely!)

Capital one cards---read all the small print on the application as you may see some charges that most of these blogs never mention.Read the fine prnt.

bookmarking

An update: Just got a mailing yesterday that HSBC is raising it foreign ATM/debit conversioncharge from 1% to 3%. They still don't add on a fee for non-affiliated ATMs.

Yeah, I'd been reading about that on the Asia boards. I guess one of the issues mentioned on that thread was that HSBC hadn't been very upfront about telling customers of the change - so I'm glad you got notification! I haven't yet... So much for "the world's local bank"!

bookmarking

Since MOST credit cards already add 3% for foreign transactions, I've been waiting to see how soon most banks would follow suit for their ATM withdrawals. It looks like it's started to happen.

But I was surprised by Wachovia being in the original post for one of the "good cards". When I checked with them (convenient for me and a nice bank), I found that they already were charging 3% for their foreign ATM withdrawals. Or was that another case of the bank officer being wrong?

Hi Patrick--
As I was the OP I wanted to check back in. It's definitely a time for an update to that article. As you know, banks change these policies, it feels like, all the time. I think you're right too to wonder if the official you speak to is even telling you the right thing.

I helped with some of the fact checking on this article and actually did go into the Wachovia near our office (after being unsatisfied with the uncertain response I received over the phone) and was told they do not.

This was of course several months ago; which is why updates here in the Forums are really helpful. I pretty much plan to call my credit card/bank before every trip abroad to be sure.

Well, actually I'm going back nearly two years ago which is when I was told at Wachovia that they charge 3% for foreign ATM withdrawals. I doubt that they've decreased it, so probably it WAS another case of the bank official not knowing. I'm amazed how many times here people have said they've checked with BofA to be told that they DO charge 3% for ATM withdrawals, when in fact they don't -- only 1% (plus generally a fee). Clearly some officials seem to get their credit card facts mixed up with their ATM facts.

I went to the Wachovia website and looked up the Check Card FAQ - it says:

Can I use my Check Card in foreign countries?
You can use your Check Card to make purchases at millions of locations all over the world. You can also withdraw money at more than 1 million ATMs in 162 countries. Money will be dispensed in local currency. An International Service Assessment (ISA) fee of 2% will be applied to each international transaction. To learn more about currency conversion or to use Visa's exchange rate calculator, please visit Visa's currency exchange Web site†.
http://www.wachovia.com/personal/page/0,,657_2167^2151,00.html

On a Credit Card, the ATM withdrawal (cash advance) fee is 3%; maybe that's what the banker was thinking. HOWEVER, on the foreign currency conversion, the Rates and Fees doc. says:

Currency Exchange fee: 1% of the U.S. dollar amount of the transaction.
http://www.wachovia.com/personal/online_services/disclosure/display/0,,13,00.html

Ooops. No, Travelnut, if I'm reading what you said right, they DO charge 2% of the amount for "International Service Assessment" on ATM withdrawals. Apparently that is what THEY charge. If you go to that VISA link you gave, you'll find that VISA adds a 1% currency exchange fee. I'm good enough at math to figure out that the two added up equals 3%. NO????

Now that I think about it, that is what the bank official told me -- that they charge 2%, but that VISA which handles all their foreign transactions also adds 1%. Looks to me like those statements you just gave do confirm that.