Need help from my fellow fodorites. Citi Master card credit just informed me that they charge 3% on each purchase (and that's just them - there'll probably be another charge in Italy). It will probably be the same on my visa card. So, I'm thinking we'll try to stick with using our amex card and euros. Is this realistic?

Amex is not as widely accepted.

With flight and hotel(?) paid for, CC could be used only for major purchases.

By euros, I hope you mean using an ATM to withdraw?

You are right, citibank does charge a 3% foreign transaction fee on both their Mastercard and Visa. as do most other cc companies.

Why not apply for a Capital One Visa Card - no foreign transaction fee!

We found AMEX was accepted at a lot of places, but not everywhere (like Visa or Mastercard).

Regardless of which cc you have, use your ATM card to get cash (Euros) when you need some.

A lot of cards charge a foreign currency transaction fee. You should NOT, however, routinely have an "additional charge" in Italy. I would not bother with an AMEX as they are not nearly as well-accepted as are Visa and Mastercard.

You could get a CapOne card which does not charge the fees and whatever you do do NOT allow the charges to be put through in your home currency as you will undoubtedly get a poorer exchange rate.

My recommendation is to use cash most of the time. Find a debit card that charges min or no foreign currency conversion fees. Credit unions, some online banks are good sources. Most lodging will give a cash discount ranging from 5 to 10%. Cash in restaurants will eliminate any risk of a waiting making a copy of your credit card. Street vendors and small merchants will only take cash. And you avoid an possible extra charges.

Rarely see that AM EX is accepted except at higher end restaurants and 4 and 5 star hotels. Not the places I normally go. And most of the AE travel offices in major cities are long gone. I would not depend on a AE card.

Amex is not as readily accepted, as noted, but the Amex Platinum has no foreign transactions fees and covers your rental car should anything happen.

If you don't have the Amex Platinum, and want to save on the transaction fees, then try Capitol One or check with Barclay's Bank regarding the Harvard MC (no foreign transaction, yearly fees and low interest rate if you carry a balance). You also earn points with the Harvard card, which you can use for gifts, travel or cash back. Probably the best deal around if you qualify.

Hope you have time to get Capital One Card. We are extremely pleased with them.

AE is good for several things--their service abroad should something happen is good, and they are the only US card that can work if you want to rent a Vehib bike in France. Otherwise...

Agree with above that in Italy, there is often discount for cash. We had had a bit of a problem in one trip in Italy, although never as bad as we did throughout Ireland, with Dynamic Currency Conversion with credit cards, and we started going "cash only".

DCC is where hotels and restaurants buy into this software that gives them a sort of payback on their 'swipe' fee by seemingly offering their customers a shot at paying in their native currency. Only problem is that most of the time, the credit card is still charging you the same 3 percent and you are getting a small extra charge for the "service."

Therefore, either use credit cards with no foreign transaction fee (Cap One and Chase Sapphire) and use your ATM.

PS--There are banks that will refund your ATM charges too. One of our Cap One BANKING (not credit) accounts and our Schwab accounts will refund us ANY ATM charge ANYWHERE up to $45 a month.

Perhaps some have overlooked the fact that some of us actually PREFER to use a credit card because of the miles or other benefits it brings. Cash is fine but it isn't necessarily the only option. The other thing a CC does that cash doesn't is provision of a certain degree of protection depending on what is being purchased.

I don't know what country you live in. But in the US you don't need to use a credit card that charges 3%. My credit union credit cards only charge 1% over the interbank rate. Similarly you don't need to use an ATM card that charges both a foreign withdrawal fee AND a conversion fee. Again my credit union cards only charge the 1% for foreign withdrawals.

Buying euros in the US you may pay both a fee and a conversion rate. This adds up to a hefty amount. Almost certainly you can get a better rate using ATMs in Europe.

I remember the first time I went cold turkey to Europe without buying any euros first. I was nervous about it. But every large airport has a bank of ATMs near the departure area. Now I just bring euros left over from the last trip.

The Amex Platinum and 'Black' cards don't charge a foreign transaction fee. I believe the rate on other Amex cards is 2.7%. Depending which card you have, you may not save much over your Mastercard or Visa.

As for Amex not being readily accepted... I think this is pretty overstated. I find Amex is accepted pretty broadly - even if it is accepted at, say, only 75% of the places MC or Visa are, that is still a lot of places. And I find it is broadly accepted at the big ticket places. Prior to grabbing the Hyatt card a couple of months ago, we only carried an Amex for a credit card.

Both a capone credit card AND a capone online bank account (for ATM usage) will not charge forex fees.

And whoever said don't take the charge in dollars is right: ALWAYS have the cost charged in the local currency.

I haven't bought Euros in the US in ages - you get reamed on the rate from your bank.

a wealth of advice... Although I have the amex platinum, I am going to try and get the CapOne visa card (I hope I have time).

and thank you very much!

FWIW, I find the Hyatt Visa much more compelling than the Cap One for avoiding foreign transaction fees.

We're Aussies so obviously we have some different banks over here. We've been travelling for 7 weeks and have found the Amex is still used a fair bit as noted but not as often as Mastercard, also that the transaction fees we get on both these cards are higher than we expected and similar to each other, the platinum Amex also covers our travel insurance and extended warranty when we pay for the travel and individual items with the card.
Our Atm cards have not worked out any better than the credit cards, we have a transaction fee and foreign currency exchange fee. So far our best move was arriving with cash in Aussie dollars which we changed later at a good rate with a low fee and cash in Euros (which of course, we didn't stash in one lump sum for safety reasons)All the best!

AmEx is accepted at most moderate to upscale hotels, restauants and shops- along with most sights. it is not a widely accepted as Via or MC - esp if places inthe lower budget range.

Citi says they will charge 3% - how much will AmE charge you" The only one I have heard that does not charge is Cap 1. And bank ATMS in europe don;t charge fees - although commercial ATMs will.

We have the Amex platinum and apparently they charge no fees. I just applied for a Cap1 online. Hopefully I'll get it in time for our trip.

I work for the airlines and never use my American Express card overseas as most places it is never accepted-whether Europe,South America or Africa.In all of my years flying overseas everyweek, I use only cash from an ATM machine.

My son who has a Capital One card has lived and worked in India and in Europe and has nothing but problems with it. Capital One never lets him buy train/airplane tickets,etc. and everytime we call customer service they say they have a security screening for purchasing those things.Despite saying that they will allow transactions to go through they STILL won't let him charge anything.Our family's go to card for traveling to secure hotels,etc. is Citibank!

Wow Dutyfree; cannot believe CapOne is so unresponsive.
The ONLY card I take to Europe is CapOne. I call beforehand
& make sure they know what countries I will be in & & have never been denied my charges. Amex is useless as far as acceptance goes IMO.

capitalone.com Visa best taken widely for me double miles on everything rack up 10000 miles per yearthat way

NO FOREIGN FEES.

Amex(some of my cards) are no fee like Centurion and spg.com

Some charge 3% so check obyours.

It will work in most upscale placesbut smaller budget places

not so much...

So fee free Visa everywhere for me to rack up points.

Just booked 5 stars 5 nights in Venice Budapest 100000

points FREE for me... what a deal!