3% Visa fee?

[kelkel2]

Have you guys noticed if you have ever paid the 3% visa fee while in ports of call or in the cities you are in on a cruise? My husband is an accountant and I know he would have caught it if we were being charged that and I know on the last 2 cruises we have used our Visa in downtown Cozumel and other places and we have never noticed this fee. My bank assured me that we would be charged this. Anyone ever noticed this? The bank insists it's nothing new and I know that but can't figure out why we haven't paid it in the past?

[girli565]

I haven't noticed it, but I believe that only happens when you're charged in something other than US currency. I believe most port stores use dollars so maybe that's why.

[gadan1]

You might not see it but it is there if the bank converts from a foreign currency to US dollars. The fee is often just wrapped into the conversion rate you pay and not broken out separately.

[maldenmusic]

Never noticed it either.

[agabbymama]

Absolutely, noticed it on our recent cruise from Vancouver to Los Angeles. I made a couple of purchases in Vancouver and Victoria Canada, and the conversion + the 3% was indeed on my credit card bill.

[CrusinCyndi]

Absolutely, noticed it on our recent cruise from Vancouver to Los Angeles. I made a couple of purchases in Vancouver and Victoria Canada, and the conversion + the 3% was indeed on my credit card bill.

 

I noticed it also when we got back from our cruise to Bermuda last year....I was like WTH? It did not make or break us but I was quite surprised.

[truchattycathy]

It may be your credit card company. I don't pay it, and I use my Visa in almost all ports I visit. A few excursion vendors will pass on the 3% they have to pay when I use my card, but they tell me up front. That has nothing to do with conversion. I used my card three times the last time I was in Cozumel, and paid no extra fees.

[MamaParrotHead]

I don't think it's VISA, I think it's the issuing financial institution. http://www.cardhub.com/credit-cards/foreign-transaction-fee/

[finsupcruiser]

Have you guys noticed if you have ever paid the 3% visa fee while in ports of call or in the cities you are in on a cruise? My husband is an accountant and I know he would have caught it if we were being charged that and I know on the last 2 cruises we have used our Visa in downtown Cozumel and other places and we have never noticed this fee. My bank assured me that we would be charged this. Anyone ever noticed this? The bank insists it's nothing new and I know that but can't figure out why we haven't paid it in the past?

 

It is not new. I did not realize it either until we were hit with charge on Mastercard.

We now use Platinum AMX no Foreign Exchange Tax fee. Of course not everyone accepts AMX.

[Baxter]

It is rolled into the conversion -- as a Canadian who often shops in the US, it isn't clearly marked anywhere but they are very clear that there is a 2.5% charge on both Amex and Mastercard. "Foreign currency conversion fee"

[truchattycathy]

I don't think it's VISA, I think it's the issuing financial institution. http://www.cardhub.com/credit-cards/foreign-transaction-fee/

 

That's exactly what I meant, just didn't say it as well as you. :)

[finsupcruiser]

It is rolled into the conversion -- as a Canadian who often shops in the US, it isn't clearly marked anywhere but they are very clear that there is a 2.5% charge on both Amex and Mastercard. "Foreign currency conversion fee"

 

Not on Platinum AMX--have used it recently in Cozumel and no fee:)

[ItsAllAboutTheSass]

Have you guys noticed if you have ever paid the 3% visa fee while in ports of call or in the cities you are in on a cruise? My husband is an accountant and I know he would have caught it if we were being charged that and I know on the last 2 cruises we have used our Visa in downtown Cozumel and other places and we have never noticed this fee. My bank assured me that we would be charged this. Anyone ever noticed this? The bank insists it's nothing new and I know that but can't figure out why we haven't paid it in the past?

 

 

Nope. I work for a bank and we are not charged those, among other fees. :D

[maryred]

Many CC companies and banks (debit cards) roll the fee into the conversion rate of each individual purchase, so you do not see it as a seperate itemized part of the bill. On a trip to the Bahamas in 2010 TD bank (for their Amex card) rolled the fees in, that made a 200 Bohemian dollar purchase a 206.30 USD charge on our account even though the Bohemian dollar is on a 1:1 conversion rate. Not as, other posters mentioned, a big deal but can mess you up a little bit if it's coming out of a debit account that you don't get statements for.

[CourtneyLovesCruising]

I saw the charges come in as "International Purchase Transaction Fee" and although it wasn't much, I doubt I will ever make another purchase with plastic at a foreign port again.

[rajones007]

The currency conversion fee has been standard for decades. The fee is normally about 2.5%, depending on the credit card issuer, and it's wrapped in the currency conversion itself. The conversion is done the day the transaction is processed by the issuer, NOT the day the purchase was made.

 

And it's never the posted currency exchange rate you see in the newspaper or see on TV. Just because they said on the news that the CDN and US dollar are at parity, you will still probably pay $1.02CDN for every $1.00US dollar. It's just another money grab by the banks, in addition to the 2.5% Visa/MC tack on.

 

The only American issuer who does not charge the additional 2.5% fee is Capital One (and apparently some Amex cards.)

 

For Canadians, Desjardins Visa only charges 1.8%. Every other issuer in the country charges 2.5%. (And Capital One Canada charges 2.5%.)

[pausted]

I believe the fee varies by the card issuing bank. I always advise my bank when I will be traveling out of the US so that if I use the card during my trip I won't have a problem with them declining the transaction because they might think that the transaction is fraudulent. They always advise me up front that they charge a 1% fee for foreign transactions.

[cdamion]

I use Mastercard and they most certainly charge the 'foreign conversion fee'. On my bills it is listed as a separate charge.

[dasmonkey]

Not on Platinum AMX--have used it recently in Cozumel and no fee:)

 

$450 anual fee or my FREE Capitol One card which also charges no conversion fee. Hummmm, tough call. ;)

[nonna5]

Never been charged it on a Mexico/Carribean cruise.

[T. Advisor King]

For those who are saying they've "never been charged" a high conversion rate, is this because you went home and checked the exchange rate on your statement with the same-day transaction rates published in financial markets for that day, or is it because you got home and saw an exchange rate and assumed it was right? Would you even know if an exchange rate was high by 2.5%? I would think most probably would not (it would mean that, at any time, you know the conversion rate down to the 3rd and 4th decimal point).

 

On the other hand, if you were to buy something worth $100 on your credit card and return it for a full refund 5 minutes later, you'd get home and find out that that transaction cost you $5 of $6 because the rate they charge on the buy is different than the rate they charge on the sell. The amount they would refund you in the local currency would be the same, but the amount they would charge you in US$ would be more than it should be based on the financial spot rate and the amount they'd refund you in US$ would be less than that amount.

[katiel53]

I don't know which bank you use, but I know Bank of America cards charge a 3% fee if used outside the USA. I have not been charged in St Thomas as an example as that is part of the USA, but last year I used one in St Maarten and was charged.

 

I have other cards that don't charge a fee, so BofA will never see me use their card outside the USA again.

[agabbymama]

Very interesting reading if you google the Visa/Mastercard exchange rates

 

This is only 1 that found especially interesting

 

http://www.creditcards.com/credit-card-news/Foreign-Travel.php

 

Visa and Mastercard to charge fees, however some institutions lower it or waive it altogether.

 

I have traveled all ways, with traveler's checks (1987), Australian traveler's checks (1995) to Country's cash (1996 Holland, Belgium & Luxembourg), to EURO (2008). Let me tell you, it doesn't matter how you do it, you are going to pay fees or conversion rates. If you can't afford the fees, then you can't afford foreign travel! JMHO.

[dasmonkey]

Very interesting reading if you google the Visa/Mastercard exchange rates

 

This is only 1 that found especially interesting

 

http://www.creditcards.com/credit-card-news/Foreign-Travel.php

 

Visa and Mastercard to charge fees, however some institutions lower it or waive it altogether.

 

I have traveled all ways, with traveler's checks (1987), Australian traveler's checks (1995) to Country's cash (1996 Holland, Belgium & Luxembourg), to EURO (2008). Let me tell you, it doesn't matter how you do it, you are going to pay fees or conversion rates. If you can't afford the fees, then you can't afford foreign travel! JMHO.

 

5. Or try Capital One. The issuer absorbs the 1 percent fee that Visa charges. And, according to a Capital One representative, it does not add their own fee, so you should pay zilch in foreign fees. "This is because Capital One offers a low line of credit," says Robert Manning, author of "Credit Card Nation." "It may not be enough for an extended, or an expensive, trip."

 

 

As far as the comment from "Robert Manning" about Capitol One doing this because of a "low line of credit". Not sure what he calls low, but I have a no anual fee card from Capitol One that I only use for international travel and it has a 12k line.

 

I have never needed more than that on a trip.

 

[kelkel2]

I do know that this visa fee is nothing new, however I do know for a fact that in the past using our Chase Freedom card we have never been charged this 3%. We don't use debit card, too much fraud risk. I would rather just use my credit card and close it if number gets stolen. However, my husband is an accountant and NOTHING gets by him. He notices every single penny so I am confident that it wasn't hidden in the charge.

 

The lady at the bank I talked to thought it may be possible that the tourist frequented places just run their charges through the US instead of mexico or whatever country you are in, therefore you would never ben charged the 3%.