Bumblefucked by foreign currency transaction fees

I think it is pretty well known that if you go overseas and are using a credit card that you are going to get hit with some foreign currency conversion transaction fees. What you might not know is that you can get hit with those shopping from home on your computer!

Last month I thought we had been bumblefucked by Wachovia in an attempt by their broke asses to get some extra cash from us. But apparently Wachovia is not the super evil bank I thought they were. They’re just plain evil. (but aren’t all banks?)

Seems Visa & Mastercard decided back in April to change the game when it came to foreign currency transactions. The change was that you can be hit with a foreign transaction fee even if you’re not in a foreign country! Evil, I know!

The new rules are that if you make a purchase that involves a foreign bank then you get charged the fee - even if your purchase is in US dollars!

Last month we made a purchase on Aerlingus.com and were hit with an “INTL SERVICE FEE” by Wachovia to the tune of $15.60. A quick Google search showed that other people that had gotten this had called Wachovia and been told that Visa did it, not them.

Fact: Wachovia tells half-truths.

Visa/MC does not charge merchants and consumers the fees.  Visa and Mastercard charge the bank/ credit card company the fees. Then the evil bank passes on the charge to the consumer. So yes, the charge does originate from Visa but it is charged to the bank (Wachovia in this case).

Seems that are some banks that are not evil when it comes to this and do not pass on the charge. Oddly enough, evil superpower Bank of America is supposedly one of them. And of course Capital One.

On a side note, American Express and Discover Card are not evil in this regard as they levy no foreign currency conversion fees on anyone…or so they say.

image credit: Andrea_F