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Apologies if this posted earlier. Traveling to Italy at end of month. Have Amex (2% fee) and CitiBank (3% fee). Want to have the lowest fee card for using with foreign currency... anyone have a preferred card?
Many thanks.
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Also, does anyone know if the same fees apply to debit cards (when used for credit purchases)?
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OK - one additional question... anyone have a sense as to Amex's exchange rate on a given day vs. CitiBank? It is possible that Amex at 3% fee is cheaper than Citi at 2% - depending upon exchange rate.
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Take a look this thread http://www.flyertalk.com/forum/showthread.php?t=401958
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I think the fee Visa and MasterCard charge are also apply to debit cards. but you need to call your bank to find out what is their charge.
Also, does anyone know if the same fees apply to debit cards (when used for credit purchases)?
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I think the fee Visa and MasterCard charge are also apply to debit cards. but you need to call your bank to find out what is their charge.
Is this a guess or do you have actual experience with debit cards used with foreign currency transactions? If so, details would be helpful. If not.........
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MC and VISA assess the CARD ISSUER a 1% FOREX fee period, debit or credit.
Your CREDIT CARD ISSUER will pass this along AND usually assess the cardholder and additional 2% (CITIBANK, MBNA, CHASE, etc etc) for a total of 3%. Capital One and most credit unions currently dont add anything for themselves, for a total of 1%.
But if you use a CitiBank debit card, you just pay the 1% fee. Dont know about others.
MC supposedly (though it is unclear) has stopped assessing ANY FOREX fee until October 1st, so a MC branded Capital One or Credit Union CC might be the best choice until then. Or a MC branded debit card.
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Take a look this thread http://www.flyertalk.com/forum/showthread.php?t=401958
Thanks. Not that I am going to abdicate responsibility for reading myself - but just noticied it is 16 pages. Any chance you have been reading and can cut to a conclusion? My trip is in 2 weeks - so no chance to get another card. What I have are CitiBank Visa. Amex. And ATT MC. Going on my honeymoon. Wondering which of 3 is best to use for forex.
If you know the conclusion, tomcat, many thanks in advance. If not, I'll read the pages this weekend. Thanks.
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Thanks. Not that I am going to abdicate responsibility for reading myself - but just noticied it is 16 pages. Any chance you have been reading and can cut to a conclusion? My trip is in 2 weeks - so no chance to get another card. What I have are CitiBank Visa. Amex. And ATT MC. Going on my honeymoon. Wondering which of 3 is best to use for forex.
If you know the conclusion, tomcat, many thanks in advance. If not, I'll read the pages this weekend. Thanks.
I just read the 16 pages. My head is spinning a bit, but this seems to be the latest:
MBNA used to be "good" but now they are "bad"
Capital One is the way to go, but this may change as of October.
If possible, get a CapitalOne card before you leave. 2 weeks should be enough time.
To specifically address your question:
Visa and MC - will probably charge about 3% "screw you" fee.
Amex - will claim to charge only a 2% "screw you" fee but will use a worse exchange rate than Visa or MC, so the overall "screwing" will be about the same as CitiBank Visa.
If prices are quoted and charged in dollars, do not use the Visa. First, check to see that the merchant isn't screwing you. If the merchant is not screwing you, then use the MC or the Amex.
I hope this helps - and I hope that I am pretty much accurate.
This whole situation is very interesting from a game theory perspective. I wouldn't be surprised to see this in Harvard Business Review some day.
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^ I just read the 16 pages. My head is spinning a bit, but ....
To specifically address your question:
Visa and MC - will probably charge about 3% "screw you" fee.
Amex - will claim to charge only a 2% "screw you" fee but will use a worse exchange rate than Visa or MC, so the overall "screwing" will be about the same as CitiBank Visa.
If prices are quoted and charged in dollars, do not use the Visa. First, check to see that the merchant isn't screwing you. If the merchant is not screwing you, then use the MC or the Amex.
I hope this helps - and I hope that I am pretty much accurate.
This whole situation is very interesting from a game theory perspective. I wouldn't be surprised to see this in Harvard Business Review some day.
Nice job, ep_jr! I sort of read those 16 pages myself. Your "brief" is right on target! I just had an international transaction (in Taipei) posted to my MP visa about a week ago. After doing the math (currency exchange + 3% rate), I found out it was not too bad a deal. I think the US dollar is not going strong helps.
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don't forget that most Credit Union-issued credit cards only have a 1% fee, and only on charges in the foreign currency. ^
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Thanks. Not that I am going to abdicate responsibility for reading myself - but just noticied it is 16 pages. Any chance you have been reading and can cut to a conclusion? My trip is in 2 weeks - so no chance to get another card. What I have are CitiBank Visa. Amex. And ATT MC. Going on my honeymoon. Wondering which of 3 is best to use for forex.
If you know the conclusion, tomcat, many thanks in advance. If not, I'll read the pages this weekend. Thanks.
DHAA --
Better think twice if you plan on renting a car with your AMEX while in Italy. They specifically exclude their insurance coverage for car rentals originating in Italy!
AEMX foreign exchange is approx. a 2.5% screw you charge.
By the way, I don't agree with those who say that you are better off foregoing your credit card and just doing large cash withdrawals.
First, you won't earn FF or Frequent stay points on the latter transactions, and, more importantly, if you are robbed of that cash, you are S.O.L.
Stick with the card, use hotel points to pay for your hotel stays, and grin and bear it!
Ciao!
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Better think twice if you plan on renting a car with your AMEX while in Italy. They specifically exclude their insurance coverage for car rentals originating in Italy!
Can you on Visa/MC? When I was last in Italy, I was told by Hertz that credit card insurance is not allowed, and I believe it said in the rental agreement something to the effect of credit card car insurance is not allowed in Italy. My Citi MC agreement says, "You may be unable to use this service in Australia, Ireland, Israel, Italy, Jamaica, or New Zealand." Which of course doesn't really say anything.
But my general impression is that LDW/CDW coverage with credit cards is nonexistent in Italy. You can do a bit of web searching and see that seems to generally be the case. You should check with your credit card company and your rental agency before you leave and get it sorted out. And get it in writing if possible.