FlyerTalk Forums - View Single Post - How AMEX SPG Lost Me. Forever. [2.7% foreign currency fee]
Old Nov 8, 2013 | 7:28 pm
  #14  
Happy
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Originally Posted by sdix
How are exchange rates on cards that do not charge a fee?

If I spend 100 pounds in the UK with a no fee card vs 100 with a fee card what's the bottom-line? Do I save money on the non fee card or is the exchange rate played with a little? Technically it should be the same USD amount but I don't think it is.
The bottom line is you paid the forex fee 2.7% to 3% on you fee card and you pay nothing on your 0 fee card - the exchange rate is as close as to the avg inter-bank rate for the date of transaction posted.

Do keep in mind the rate used is the Posted date, NOT the date the transaction occurred. There are of course fluctuation between the day of transaction and the day of posting. However unless it is a very volatile currency, the difference would be real small and sometimes in your favor.

When we stay at SPG or Hilton properties overseas, we use our 0% forex fee Chase cards or Citi cards, not the SPG or HHonor cards from AMEX (I know HHonor has a fee-based card has 0% fee). The extra hotel points earn, does not offset the extra real out of pocket money paid.
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