Originally Posted by
giblet
What is the value in getting a local credit card? With Schwab you get the real exchange rate +2% cashback.
In my experience non-US credit cards have significantly higher rates and less rewards. So I'm not sure why you'd want to get local CCs if you are US-based.
What kind of rewards does Schwab give other than the 2%? I get loads of reward points with my Wells card. And with European credit cards I get rewards too. Some give merchandise, some miles, and the AF Amex even gives you EQM's! You can earn Skyteam Plat Elite without even flying (silly though that may be). Also, a Euro Visa/MC has a chip which allows you to use it in machines unlike US based credit cards.
As for rates, you don't have that problem in Europe because the money is sucked out of your checking account immediately (Visa/MC) or monthly (Amex).
An HSBC Premier Account in say, Singapore, may also be tax-free and have other local benefits such as lounge access, and club memberships in town.
As for Schwab, I tried to look up some details on their site, but they have withdrawn everything do to with the credit card it seems? Then I saw this blog that suggests the 2% is going away.
http://bucks.blogs.nytimes.com/2009/...bate-may-fall/
And I also saw a recent financial report that said there are about 38,000 Schwab Visa accounts. That's really not that many. Can you still get a Schwab Visa in 2010?