Oceania Foreign Transaction Charge

[lcand1923]

HappyMarv and Hibiscuss, I first read articles similar to these several years ago in various newspapers and magazines. At that time it was in reference to a Class Action Lawsuit brought against VISA and MasterCard. Part of the settlement, if my old memory is correct, was that Credit Cards would have to start providing detailed billing on all fees.

 

After calling my Visa, Mastercard and American Express Customer Service lines I was informed that any charge made in a Foreign Currency would be assessed a fee of 2% (AMEX) or 3% (Visa and Mastercard). I was also informed that if a charge was made in USD, no fee would be charged. So, my understanding from my various Credit Card suppliers is that, if the charge is input as Foreign Currency I will be assessed a fee.

 

Shoshona2 has stated that, eventhough her transaction was processed in IE she was not charged a fee. That indicates to me that the charge was input as USD.

 

We were supposed to take a cruise on Celebrity last year. There was much discussion on its CC Board about making certain that the passengers tols Celebrity what currency to use when inputting charges so that US passengers would not have to pay the Transaction Fee and Canadian/EU/Australian Passengers would not be charged excessively for Currency Conversions.

 

This leads me to believe that there is a way to make certain that USD are used for US passengers and Canadian/EU/Australian currency can be used for those passengers.

 

Rickey 88, please let me know if my understanding is right or wrong.

 

My thick skull just cannot get around the fact that people using the same cards issued by the same bank for charges at roughly the same time are getting different treatment; i.e. some get charged the Foreign Transaction Fee and others don't.

 

I am hoping that someone at Oceania is reviewing this thread and is attempting to do some follow-up in-house to determine why this inconsistent treatment is being accorded to passengers.

 

I will again become quiet on this topic.

[Rickey 88]

Icandtravel,

I believe your assumptions are quite correct, and if you review the previous post from HappyMarv, he too has gotten some good and helpful info from Oceania.

 

My belief is that "Foreign" currency excuses have nothing to do with the surcharges some people are getting from the Chase group and MBNA. There is absolutely no consistency to what they are doing - but one must assume that it has something to do with how they have set Oceania up as a "Merchant Account". Previous posts from people who have talked to Chase state that that bank considers Oceania to be a "Foreign" account and will simply add 3% to every charge, even though the payments are made to Miami and are in US dollars.

However, the vast majority of cruisers are NOT being assessed a surcharge having used other bank cards. I just made our final payment to Oceania for our Asia cruise using Amex - and no surcharge was applied.

I can appreciate Oceania using an overseas bank, considering that they must make substantial payments to overseas suppliers, ship chandlers and port authorities. So again, I must say, if at all possible, avoid using any bank that surcharges and to have those charges reversed by your travel agent and re-charged to another card.

Maybe one of these days, Chase will wake up!!

 

And a HAPPY NEW YEAR to all........

[sfbear]

All,

 

I spoke with a supervisor at Oceania who said that because of all of the foreighn business (food, supplies, fuel etc.) O uses an "international bank" which is headquartered in Ireland. He knew of the 3% we're talking about but didn't know what to do about it. He said he thought that ALL their credit card business was handled through this international bank.

 

We have heard a couple of times now that O will provide a ship board credit if a foreign transaction fee is added to your deposit/final payment. I guess that is OK, but certainly not convenient for those who may not read these boards and be aware of O's answer to this ongoing dilemma. Just a step further . . . will there be a fee added to our onboard account charges? If so, how will we be reimbursed once we're off the ship?

 

Oh well, we're going anyway. Happy New Year to all !!

[HappyMarv]

Good Afternoon,

 

Icandtravel says: " My thick skull just cannot get around the fact that people using the same cards issued by the same bank for charges at roughly the same time are getting different treatment; i.e. some get charged the Foreign Transaction Fee and others don't. "

 

If I had to lay money on it, I'd bet that the reason for inconsistency is PEOPLE. I'll betcha the bank's computers don't have all the info they need so when the "it's foreign" flag pops up, the person who has to make the decision to charge or not charge is probably the lowest paid person in the buisness and no doubt the least well trained. Having worked for a nation wide buisness, I've seen plenty of this first hand... Anyhow, I do plan to reasearch this further. I'm using my AmExpress because I get a 2% rebate on all travel expenses and 3% rebate on all dining out ! ! ! :D

 

Thanks for the replies..

HappyMarv

[hobbycruiser]

Hi Dick, I am going on the Insignia 3/30 from Barbados. Is there a separate men's sauna and steam? Do they get hot or is it mediocre?

Fred

[Obie]

Thanks for the info. We're first time Oceania cruisers. Just signed up, so today's the day to make all payments. Good to know all the info that's available. Were doing the Transatlantic and the following Med trip on the Regatta, Mar 22. Love these boards. I've gotten a wealth of info from them. It's our 26th cruise and still more to learn.

 

Thanks

[drwong]

This month's Conde Nast Traveller had a three-page feature about these outrageous bank surcharges.

[Rickey 88]

I agree, Richard - an excellent article beginning on page 60 under the title "The Wendy Perrin Report". Please read it as you will note a listing of all banks who do charge a outlandish "surcharge" on US dollar transactions made by what they (and they alone) consider to be a "Foreign Merchant".

 

Most notably, MSC and Oceania, were specifically mentioned as those cruise lines who process US dollar payments that are being surcharged 3%. As has been posted in this thread before, the offending banks seem to be:

 

MBNA

Providian

PRMorgan/Chase group.

 

Avoiding the use of their cards should save you this exorbitant charge....

[Trece]

I guess that's supposed to be JPMorgan/Chase Bank and I'll say again that I have a Chase United visa card and have never been charged the fee.

 

I think your statement that the charge applies to "what they (and they alone) consider to be a foreign merchant" is a little inaccurate. I seriously doubt a bank can unilaterally decide that my restaurant down the street or my car repair guy is a foreign merchant with no justification. That's like saying if you call Dell tech support and the call is answered in India that if you charge something to Dell it's going to generate this charge! The merchant is still doing something PROACTIVELY to put itself in the category of being a foreign merchant. In O's case, using the Ireland bank!

 

The article is great, but there still is a SOURCE for all this and it's the MERCHANT. It goes back to the same question that you repeatedly don't answer - why is every other cruise line (except, apparently, MSC, which considering it's a European line should not be a surprise) not generating this charge?? Answer - Because they're not using a foreign bank!

 

Yes, I think your advice, and the article's advice, is practical. Don't use the offending cards, plain and simple, though identifying the offending cards I don't think is as easy as you make it sound (given my Chase Visa experience). But on the other hand, absolving the merchant, Oceania, of responsibility in providing the bank a REASON to generate this charge (using a foreign bank) is really not fair.

 

Also, there's the old customer service thing. If Oceania truly cared about its customers, it would not knowingly put them in this position of having to shuffle credit cards (if they have credit cards to shuffle). I doubt you can tell me one other time where you called a US office (like Oceania's FL office) and bought something (like a cruise) and had a surcharge appear. Take any big company. Dell? Lands' End? JCPenney? Outback Restaurant? Home Depot? It just doesn't happen.

 

There's plenty of blame to go around here. The banks' policies are outrageous, but no more outrageous than Oceania's decision to knowingly use a bank that hurts its customers.

[pacmom]

Having been "hurt" by this rediculous charge, I wholehearted agree with the last poster. Maybe a complain to the Better Business Bureau in Miami might do something. Also of note, if you wish any legal business, it must originate in Dade County, FL.-----so they cannot be a foreign company. I think this will never go away, but we need to keep it a current thread for the sake of new posters. Pat

[lcand1923]

Like Trece, I haven't been assessed a Foreign Transaction Fee eventhough I have used a Bank One/Chase Priority Club VISA. Like HappyMarv, I think the problem in PEOPLE. HappyMarv, thinks a person at the BANK is the one who decides that a charge should be assessed the Foreign Transaction Fee. I think it may be a person at Oceania who inputs the charge and "flags" it in some fashion.

 

I've been lucky so far, but didn't want to take a chance that my luck would hold. I've just obtained a Capital One Visa since that card does not currently assess a Foreign Transaction Fee.

[LHT28]

If it is Oceania that is designating the fee do you not think that with over 600+ passengers more would be affected?? :confused:

 

I would think that at least 75% of each cruise is Americans.

 

I realize that not all on on CC but surely you would hear about it on your cruise.

[NancyChgo]

THANK ALL OF YOU for keeping this thread going. I'm looking at booking a (great deal!) with Oceania and it's important that I'm aware that this could happen... and I should be on the lookout... and I can/should fight it!

 

Thanx CC members!

Nancy

[NancyChgo]

This month's Conde Nast Traveller had a three-page feature about these outrageous bank surcharges.

 

Thanks! It must be the "Hidden Credit Card Fees" article? I'm off to read it now.

[confused4now]

Since our final payment will soon be due for Nautica's June 8th voyage Rome to Istanbul, I contacted American Express yesterday. I was told that AX DOES NOT charge a foeign transaction fee if the purchase is denominated in US $, regardless of the country in which the bank processing the transaction is located.