While the subject of international credit card transaction fees is a little off topic, we thought this info may be useful to people travelling abroad over the holidays.
Essentially, almost every credit card company charges a foreign currency transaction fee of 2% to 3% for every purchase made abroad. However, Capital One is the sole major credit card company that does charges no international transaction fees. American Express only charges a 2% foreign transaction fee, but outside of your hotel and major locations, there’s always a chance your card won’t be accepted.
Many people are unaware of international transaction fees, as credit card companies bury this information in the fine print. However, some people who are aware of these fees often opt to use their debit cards instead of a credit card. This can lead to some unpleasant consequences.
One of the main benefits of using your credit card for international travel is fraud liability. If your card is lost or stolen, you can get a new one sent to you and the money spent fraudulently will generally not effect your available credit. However, if your debit card is stolen and misused, the money spent will be deducted from your available balance, and you may end up waiting weeks for the money to be available in your account. Obviously, this can be a huge problem, especially if you need the cash in your bank account.
Because of the issues that can arise when using your debit card for international transactions, the best option is to use a credit card with no international transaction fees. However, if you don’t have time to get a new credit card that doesn’t charge fees, it is worthwhile to pay foreign transaction fees so you can have piece of mind.



May 9th, 2009 at 2:28 am
Ladies and Gentlemen,
as a German living in Thailand, referring month – undetectable – to the Kasikorn Bank, Thailand my money from Germany.
You want to apply for a credit card.
Request for Info.
For your efforts many thanks in advance
With kind regards
Dirk Rohlf
May 9th, 2009 at 9:33 am
I have no idea what this commenter is saying. But his grammar is hilarious, so I figured it was good for a laugh.