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[edit] Introduction
The following is a summary of considerations and fees incurred when using debit and credit cards in foreign countries . The page is a summary of a thread on Flyertalk.com [1]
Debit cards are cards that ARE linked directly to a bank account and immediately deduct the amount of the purchase or withdrawal from the account.
Credit cards are cards that are NOT linked to a bank account, but that instead charge against a credit line.
[edit] Considerations when traveling with debit & credit cards
- It is a good idea to carry multiple debit and credit cards from multiple banks and issuers just in case there is a problem with one. Some cards also may work at certain local banks' ATMs, but not at others. One should never rely on a single method of obtaining cash overseas. Also, it is a good idea to carry around only the card you will usually be using and keep others in a safe location. This way if your main card gets lost or stolen you will not be left without a card, or have to go through the hassle of replacing a card in a foreign country.
- Banks in some countries will stop your card if they notice unusual activity such as sudden transactions in a foreign country. It is best to notify the bank beforehand and get a note added to your account so it does not get passed through their fraud section.
- Be sure you know the PIN for each of your debit and credit cards, in case of an emergency. PIN code lengths vary from country to country, but up to six digits are usually accepted anywhere on the Plus/Cirrus networks. If you have a six-digit PIN and six digits don't seem to work, try entering just the first four numbers of your PIN, or find another ATM. If the ATM requires 6 digits and you have only 4 digits in your PIN, enter 00 as the last two digits. If your PIN is based "word based" know its numeric equivalent. Many ATMs outside the USA have no letters to correspond with the numbers. (example: "CASH" = 2274)
- Some developing countries either have no ATMs, very limited ATMs, or are not connected to the international networks. This includes Myanmar in South-East Asia, as well as parts of Africa. In Japan, most bank ATMs don't work with international cards (the cards are even an incompatible size), and you need to look for a post office, 7/11 or Citibank ATM. In certain countries, not every ATM accepts foreign credit or debit cards.
- Confirm that your ATM card has a Visa, MasterCard, Cirrus, or Plus logo on it. Most other ATM networks (NYCE, Star, MAC, Shazam, etc.) are regional, not global, and will not work outside the US. Prior to travel, verify that your financial institution participates in all the networks listed on the back of the card as sometimes relationships are terminated without notice.
- Accessing a savings account or second account linked to a card may not be possible overseas. If your account is a savings or investment account, check first if it can be accessed outside your home country. Generally speaking, U.S. savings accounts cannot be accessed by ATMs in Europe, so you must have a checking account.
- For longer trips or stays in any country, it's worth considering opening a local bank account and obtaining a local ATM card. Procedures vary widely though, you will usually need at least a local mailing address and many countries will also insist on a valid residence permit. Compare the fees involved in opening the account and transferring money to just using your home ATM card.
- It is much more expensive to withdraw cash from an ATM using a credit card than a debit card. If you withdraw from an ATM using a credit card (i.e., a card NOT linked to a bank account), you will typically be hit with a cash advance fee of at least 3% on top of foreign exchange fees. In addition, most card issuers will start charging interest on your cash advance the day you pull money from an ATM (i.e., they won't give you a grace period) unless you have a credit balance on your account.
- Notwithstanding the fees, it is usually better to use a credit card, since if your card is stolen you can easily dispute the charges on a credit card, while a stolen debit card may lead to an overdrawn bank account requiring many additional hassles.
- When making point-of-sale purchases, most US-issued Visa/MC debit cards can only be used in "credit" mode (i.e., swipe-and-sign, as opposed to PIN-based "debit" mode). In addition, if you are faced with a situation where a PIN is required (such as certain unmanned train ticket kiosks in Europe), it is certainly better to use a debit card than a credit card, as PIN-based transactions with a credit card usually incur hefty cash advance fees (in addition to any foreign exchange fees).
- The exchange rate applied may be the rate on the date the expense was posted to the account, not the date the charge was made. Therefore if you are dealing with a fluctuating currency it is impossible to know exactly what exchange rate will be applied for an expense until a few days after you make the expense.
- An increasing number of countries, mostly in Europe and including the UK, France, the Netherlands, Belgium and the Nordic countries have moved to a chip and PIN system, where credit cards all have a chip built in and you have to punch in your PIN code instead of signing a receipt. Any store that displays Visa, Mastercard, Amex etc logos is required to accept "traditional" sign-and-swipe cards, so be persistent if they initially refuse, although you may need to escalate to the manager. (With most terminals, swiping your card and simply waiting 20 seconds without entering the PIN will cause them to print out the signing slip.) However, with self-service like gas pumps and ticket vending machines, you may be out of luck.
[edit] Foreign Transaction Fees
Transaction fees can be charged by the merchant, the ATM-owner, the bank that issued the card, and through an unfavorable exchange rate. In general, Visa/MC cards seem to get slightly better exchange rates than AmEx, although the difference is not material.
[edit] Dynamic Currency Conversion
When you are paying by Visa or Mastercard, some merchants will offer to convert your transaction into your home currency ("'Dynamic Currency Conversion'"). If this offered, you should decline it, as an exorbitant exchange rate of 7% may be charged [2]. Always check your receipt, and if you see anything involving your home currency in a country that doesn't use that currency, ask the merchant to re-do the transaction in the local currency. If the merchant insists that the conversion is automatic, it is worth arguing or reporting the incident to your credit card company. Visa "requires the merchant to disclose the fee and must provide the consumer with a choice" of getting the bill in the customer's home currency or the local currency. [3]
[edit] Schedule of Foreign Fees By Bank for Debit and Credit Cards Issued in the U.S.
The information below is intended for people based in the US who have US$ accounts and are traveling to other countries. Including information for every country and currency would make this page too unwieldy, so we have deleted references to cards issued in countries or currencies other than the US and the US$. The information below may contain errors. Flyertalk.com, Flyerguide.com and the authors of this page make no warranty as to the accuracy of this information. Please check with your card issuer before using your card overseas, and if you find the information is in error please email us or edit the page yourself (it is a wiki, after all). The fees below do not include cash advance fees.
| Debit Cards | Credit Cards | ||||
| Card Issuer | Network | ATM Fee | Point of Sale Fee | Point of Sale Fee | Notes |
| Addison Avenue Federal Credit Union | Visa | 0% | 0% | 0% | Must be an employee of certain companies [4]. Confirmed via CSR |
| Affinity Federal Credit Union | MC | 1% | 1% | 1% | Must be an employee of certain companies [5] |
| Ally Bank | Visa / Cirrus | 1% | 1% | N/A | Reimburses ATM-owner fees up to $6 per a month [6] |
| American Bank Online | Visa / Plus | 1% | 1% | 1% [7] | Reimburses ATM-owner fees up to $6 per month [8] for e-checking account holders); n.b.: blocks ATM access to funds if traveling in many countries (e.g. China, Hong Kong) |
| American Express | AmEx | N/A | N/A | 2.7% for personal cards; 2.5% for corporate cards | |
| Bank Direct | Visa | 0% for ATM-only card (not Visa); 1% for Visa | 1% | Reimburses up to 4 ATM-owner fees per month [9] | |
| Bank of America | Visa / Plus | 1% at partner banks; 1% + $5 per transaction at other banks | 3% | 3% for most cards; 2% for AAA Visa; 4% for OSU Alumni MC | No flat fees for ATM withdrawal at the following banks in the following countries only: Barclays (UK), BNP Paribas (France), China Construction Bank (China), Deutsche Bank (Germany), Santander Serfin (Mexico), Scotiabank (Canada and Peru), Westpac (Australia and NZ), but a 1% transaction fee still applies. [10] All fees may be waived for Premier Banking and Private Clients with a call to customer service. |
| Bank of Internet | Visa / Plus | 0% | 0% | Reimburses ATM-owner fees within limits (maximum $8/month) | |
| Bank of the West | MC | 2% | 2% | 2% [11] | |
| Bangor Savings Bank | Visa / Plus | 0% | 0% | Reimburses ATM-owner fees without limits worldwide within three business days. [12] Requires at least part-time residence in Maine | |
| Barclays | MC | 3% for most cards; 1% for Harvard Alumni Association World MC; 2% for Ameriprise World Elite MC | |||
| BB&T | Visa | 3% plus $5 per transaction | 3% | 3% | |
| BMW Bank | Visa | N/A | N/A | 2% [13] | Cards opened prior to March, 2007 may be grandfathered at 0% fee. Call to inquire regarding your account. |
| Busey Bank | MC | 0% | 0% | 3% [14] | |
| Capital One | Visa / Plus | 0% + $1.50 per transaction | 0% | 0% | $500/day limit. Within 0.3% of the daily average interbank rate on all transactions. Fees appear to vary depending on the account-holder's state of residence and/or how the account was opened. Branch-based customers in NY report a $1.50 fee, for example, while accounts opened through CapOne Direct Banking in regions without CapOne branches do not have a $1.50 fee. Be sure to check the terms for your particular account before traveling. Suggested you call before each trip to authorize charges, although their security software may still block international card usage depending on past usage and country card is used in. |
| Chase / Washington Mutual | Visa / MC | 3% + $3 per transaction | 3% | 3% [15] | |
| Chevy Chase Bank | Visa / Plus | 3% + $2 per transaction | 3% | 3% | |
| Citibank | MC / Cirrus | 3% + $1.50 per transaction for all accounts except for Citigold, Private Bank, International Personal Banking and Global Executive Banking customers which pay 0%; | 3% for all accounts except Citigold, Private Bank, International Personal Banking and Global Executive Banking customers which pay 0%; | 3% [16] | $1.50 waived at Citi ATMs and may not apply to accounts opened in certain states; $1000/day limit. 3% fee is confirmed to also apply to charges in USD made outside the USA. |
| Citizens Bank | MC / Cirrus | 3% | 3% | May be an additional $2.00 fee for non-circle checking accounts. | |
| Department Stores National Bank | Visa | N/A | N/A | 1% | |
| Digital Federal Credit Union | Visa | 2% | 2% | ||
| Diners Club | Diners Club | N/A | N/A | 3% for all cards issued in US / Canada (start with '5'); 0% for all cards issued outside US / Canada (start with '36') | |
| Discover | Discover | N/A | N/A | 2% | Changed from 0% to 2% on May 1, 2009. Accepted only in North/Central America, Caribbean and China |
| E*Trade | Visa / Plus | 1% | 1% | 1% | According to secure communication, ETrade "reserves the right to charge 1% but currently does not." Reconfirmed July 2009 there was no fee for overseas usage; on some transactions the rate was even superior to the average daily interbank rate. |
| Everbank | Visa / Plus | 1%; 0.8% for USD transactions | 1% | Reimburses ATM-owner fees up to $6 per month. | |
| Fidelity Investments | Visa / Plus | 0% if linked to mySmart Cash account; 1% otherwise | 0% if linked to mySmart Cash account; 1% otherwise | Reimburses ATM-owner fees; some users report not seeing any foreign transaction/currency conversion fees when using it overseas even though Fidelity's terms state a 1% fee might be charged by Visa, although it is not always actually charged. | |
| Fifth Third Bank | MC / Visa | 3% | 3% | 3% [17] | |
| First Citizens Bank | Visa / Cirrus | 1% only (no ATM fee?) | 1% | According to their Disclosure of Products and Fees foreign ATM transactions are 1%. Bank staff insist there is no additional ATM fee. In practice, however, this has not yet been confirmed. | |
| First Internet Bank of Indiana | Visa / Plus | 3% | 3% | Reimburses ATM-owner fees within limits (up to $6/month). This reimbursement includes the 3% fee. $750 daily withdrawal limit | |
| FNBO Direct | MC | 3% [18] | 3% [19] | ||
| HSBC | Cirrus / Maestro | 3% at HSBC ATMs; 3% + $1 per transaction at non-HSBC ATMs [20] | 3% [21] | 3% for most cards; 0% for US Premier World Cards ($100,000 deposit account balance) [22] | Some fees waived for Premier accounts. For HSBC direct accounts, up to three third party ATM-owner fees per month reimbursed. Note that some private-label credit cards actually issued by HSBC may have better terms, such as Union Plus [23] |
| ING Direct | Cirrus / Maestro | 3% | 3% | A separate line labeled "Foreign Transaction Charge" equal to 2% of the withdrawal will appear in account activity (on top of the standard MC 1%). | |
| JCB USA | JCB / Cirrus / Star | N/A | N/A | 1.1% | Not widely accepted outside Japan. For US, holder must be resident of CA, CT, IL, NV, NY, NJ, OR, WA, or HI. 1.1% rate confirmed with JCB representative. |
| Lexus Financial | Visa | N/A | N/A | 3% | |
| Meriwest Credit Union | Plus | 1% | 1% | 3% [24] | Must live in Greater Bay Area of Northern California or in Tucson, Arizona [25] |
| Michigan State University Federal Credit Union | Visa | 3% [26] | |||
| NASA Federal Credit Union | Visa | 1% [27] | Must be an employee of NASA or a member of certain organizations [28] | ||
| Nordstrom Bank | Visa | N/A | N/A | 1% | |
| Pacific National Bank | Visa / Cirrus | 1% | 1% | Reimburses ATM-owner fees; $500/day limit | |
| Patelco Credit Union | Visa / MC | 1% | 1% | 1% | Must live, work, or go to school in certain areas of California or work for certain employers [29] |
| PayPal | MC/Cirrus | 1% + $1 per transaction | 1% | 2.5% [30] | $1/transaction waived on PayPal Business Debit. Note the 2.5% fee on PayPal's fees page is related to transferring money between PayPal accounts of different denominations, not ATM withdrawals in foreign currencies. |
| Pentagon Federal Credit Union | Visa | 1% | 1% | 1% [31] | Effective November 30, 2009, Pentagon Federal is increasing the foreign transaction fee to 2%. |
| Philadelphia Federal Credit Union | Visa | 1% [32] | 1% [33] | Must live in PA or work for certain employers. [34] | |
| PNC Bank | Plus | 2.5% + $2 per transaction for Free Business Checking; 0% for other business accounts; 2.5% + $3.50 per transaction for personal accounts | 2.5% | 3% | PNC fee waived and ATM-owner fees reimbursed (up to a monthly limit) if avg. monthly balance is at least $2,500 in certain account types. |
| Power Financial | Visa | 0% | 3% | ||
| Presidential Online Bank | Visa / Cirrus | 0% | 0% | $550 daily withdrawal limit. | |
| Principal Bank / InfiBank | Visa | 3% | |||
| Schwab | Visa / Plus | 0% for bank accounts; 1% for SchwabOne brokerage accounts | 0% for bank accounts; 1% for SchwabOne brokerage accounts | 0% for Schwab Bank Invest First Visa; 3% for Schwab Bank Visa | Reimburses unlimited ATM-owner fees, but often fails to automatically reimburse overseas ATM-owner fees that are not broken out from the withdrawal amount (you will need to call customer service to get these fees reimbursed--save your receipts and hang up and call back if you get a customer service rep who is unfamiliar with the issue). Daily withdrawal limit = $500 for basic card, $2000 for Platinum Check Card (which most customers seem to automatically get with the checking account). Savings account has transaction limits on non-ATM transactions. Visa check card associated with SchwabOne brokerage account is issued by PNC Bank. Literature indicates 1% fee for withdrawals and purchases, but actual usage remains unconfirmed. |
| Simmons First National Bank | Visa / Plus | 1% | 1% | 3% | |
| Stanford Federal Credit Union | Visa | 0% | 0% | 0% | Must be a member of the Stanford Community [35] |
| State Farm Bank | Visa / Plus | 0% + $10 handling charge | 0% | 1% | Reimburses ATM-owner fees within limits (Up to $10 per statement cycle but no limit if there is a direct deposit or ACH credit within 45 days prior to the foreign ATM transaction). Performs hard pull from all three credit agencies during checking account application process. $1,000 daily withdrawal limit. |
| Suntrust | Visa | 0% + $5 | 3% | 3% for most cards; 1% for Singature Visa | |
| Target National Bank | Visa | N/A | N/A | 3% [36] | |
| TD Bank | Visa / Plus | 0% | 0% | 3% [37] | Reimburses unlimited ATM-owner fees if you maintain a minimum balance of $2500. Old Commerce credit card accounts may have 0% fee, but are being converted to new TD accounts with the 3% fee. |
| The Golden 1 Credit Union | Visa / Cirrus | 1% + $1.25 per transaction | 1% | 1% [38] | Must live in certain counties in CA. Foreign transaction fee of 0.8% for USD purchases overseas. |
| Tomato Bank | Visa | 1% | 1% | ||
| TruWest Credit Union | MC | 1% | 1% | 1% | Must live in certain counties in AZ or TX [39]. Foreign transaction fee of 0.8% for USD purchases overseas. |
| UFB Direct | Cirrus | 1% | 1% | Reimburses ATM-owner fees within limits | |
| Umbrella Bank | Visa / Cirrus | 1% | 1% | Reimburses ATM-owner fees within limits | |
| Union Bank of California | MC | 0% + $5 per transaction | 0% | ||
| Umpqua Bank | Visa | 0% | 0% | WA, OR, CA only | |
| University of Michigan Credit Union | Visa | 1% | 1% | ||
| U.S. Bank | Visa / Plus | 3% + $2 per transaction | 3% | 3% [40] | |
| USAA | MC / Maestro / Cirrus | 1% | 1% | 1% [41] | Reimburses ATM-owner fees within limits. |
| Valley National Bank | Visa / MC | 3% + $3 per transaction | 3% | ||
| Verity Credit Union | Visa | 1% | 1% | 1% | Must live in Washington State [42] |
| Wells Fargo / Wachovia | Visa | 0% for PMA Checking; 3% + $5 per transaction for all other accounts | 3% | 3% | Some non-PMA accounts may be exempt from the 3% ATM fee (but still subject to the $5/transaction fee). |
| World's Foremost Bank | Visa | 1% [43] | |||
[edit] Currency Exchange
This is a list of the approximate fees encountered when trying to exchange Euros for dollars in Sept. 2009.
| Location | Fee | Notes |
| Dublin Airport (DUB) | 4% | |
| Bank of America | 5.5% | no account necessary |
| Los Angeles Int'l Airport (LAX) | 11% | |
| Denver Airport (DEN) | 11% | |
| Wells Fargo | 7% | additional $5 charge without account |
Note: Please feel free to edit this page if you have confirmed, accurate information to put in it. If you are unsure about the accuracy of your information, please do NOT edit this page, but rather contact user 'themicah' using the private message feature at Flyertalk.com. If you make edits, please explain the changes you made in the "summary" field on the edit page.
