Credit card surcharge for international transactions
 

Got my Amazon.com (BankOne)statement yesterday was intrigued (that's the nice word) that an "exchange rate adjustment" had been added to 2 foreign transactions: purchase of a London TravelCard for the tube and purchase of 2 CDs from a french company in Canada. I called the company and was informed that they apply a surcharge of 3% to all transactions involving foreign currency. Doing some fast math on how much we plan to charge in the UK next month I quickly realized this could easily add $200 of cost, quite possibly more.
I've just had this card a few months. I've never seen this on the other card I use (Wachovia). I'm curious how common this scam...I mean, practice...is becoming.

This is rumor only but I have heard that this is very common. I was told by a friend that the United Mileage plus credit card hits you with 4% !!! Check before you charge...

Well, to answer my own question, http://europeforvisitors.com/europe/...surcharges.htm
I also called Wachovia (my other card) and was informed that, beginning in January of this year, they itemize separately a 2% surcharge which previously was simply incorporated into the exchange rate. That's on top of a 1% fee that's still included in the exchange rate itself.

Most banks charge a conversion fee. MNBA apparently does not. It is a rip-off because they get the bill in their local currency. Visa and MasterCharge add a 1% hidden charge for the conversion. That's what the California lawsuit was all about.

If you do a search, you'll find discussions on this topic going back a long way. Anyway, yes, Visa and Mastercard charge a 1% fee. In addition, the issuing bank for your card can, if it wants to, charge an additional fee. Most banks do charge an additional 1%-3%. Some, like MBNA, do not.

Some banks are now charging similar fees for the use of their ATM and/or debit cards. Check with your bank to find out what, if anything, they charge.

almost all banks charge a fee( from 1 to 4%), some show it and some do not....mastercard and visa also charge a fee in addition (usually 1%)...there is a movement to do away with this....we shall see

the way i get around it is to use an atm card and withdraw what i need...my credit union does not charge a conversion fee...you must make sure that the bank you withdraw from does not also charge a fee...many us banks charge for "foreign" (not their bank) atm withdrawals....

be aware that some banks charge a very still conversion charge if you take travelers ches as well....its not uncommon to pay $25 to change $300. in the uk at a bank....

we had 10 days in ireland this march and did not pay one cent in conversion fees using the atm/debit card....check your bank and credit union...

Appreciate the comments. With a view towards saving in excess of $200 next month, I just applied for a CapitolOne Platinum Visa card after confirming with their Customer Support unit that they assess no surcharges or transaction fees on transactions in foreign currency. (800) 955-7070 or http://www.capitalone.com/indexn.php

JamesL...just so youunderstand Capital One does not charge an additional fee but they absolutely pass along the 1% Visa/MC fee...all banks do.

It seems that because of the law suit, banks are beginning to itemize more openly these fees on the statements.