There is no question that credit card exchange rates are much, much better than the rates available when exchanging notes or travelers checks (with very few exceptions). However, some of you may have seen that First Card is going to start charging a 4% surcharge for foreign currency transactions! This is ridiculous. As I charge many tens of thousands of dollars in foreign currency transactions annually, I am planning to switch to AmEx or Diners. My question was whether they both charge a 1% fee, and, if so, whether I would be better off with a card denominated in Hong Kong dollars or US dollars. It sounds as if the US program is much better, even though I will be paying the 1% surcharge on most transactions.

Cheers,
HKF