I-flybynight

I have been in contact with Amex for the last 8 weeks on their currency conversions. I stated that they had overcharged me.

At first they gave me a credit while under investigation. Then I got a letter back stating that they couldn't find a 0.01 cent mistake. I have no idea what they investigated.

I phoned the special Platinum phone number (not the one on the card) and said that I wanted a new claim in because the first claim was not put in right and that I had not in fact claimed for 0.01 cents but fhad claims for over billing on foreign exchange rates.

Yesterday I got a letter saying it was up to me to find the errors and then they would look at them.

This was contrary to my conversation with Amex, when she told me they would go back 7 years and check the exchange rates charged to me.

I phoned into the special number and had a talk with Micheal. I gave him two random charges from last months statement. (Australian dollar conversions) both instances where charged wrong. I then told him that since they had an access data base they could check it much faster than me.

He replied that I had to prove the discrepancy and give all details. I pointed out that in just two recent examples (last night) I was charged the wrong amount, so technically I had proved my point of them charging me incorrectly.

This argument was of no validity. He wanted me to list every charge and then they would investigate.

I think at this point, it is not only a contentious issue with Amex's arrogance, but also fraud on their part.

Is there a class action Attorney on this board that would like to take this further?

This thread has been going on for awhile, and maybe its about time we banded together and went public with this outright deception and fraud.

Regards,
Robert

ironmanjt

Let me know if this goes forward. AmEx has "been happy" to credit me the difference on 52 charges in the past 6 months. I've given up on using them out of the US, except when FHR and such are at stake.

HKG_Flyer1

I'm amazed Amex continues to do this... well, maybe not so amazed. Look at their overall profits-- I'm guessing that this F/X scam has become one of their biggest profit centers. Really.

I, too, have had each and every overcharge credited back in the exact amount I requested.... the fact that they continue to roll over so quickly when called on their B.S. suggests that they are all too aware of what they are doing.

If someone in my company was caught doing something similar they would be fired and possibly turned over to the D.A. for prosecution. I don't understand how they got internal legal department sign off on this policy.

Boofer

I've used both my corporate Amex and my personal Skymiles Amex abroad. UK, New Zealand, Brazil, Hong Kong, Macau, and two different places in China. The only thing that's caused any discrepancy has been the transaction dates. Amex seems to calculate the exchange rate when the transaction gets to its system. In many places, particularly those in Brazil and Asia, they use either a different electronic system or the old-fashioned paper system. Sometimes, the transaction date on the Amex statement is actually 5 to 7 days later than it really happened. This has led to both higher and lower exchange rates, depending on how the market moved.

One thing that has always given me the correct exchange rate, however, is cash from ATM machines. That is dispensed using an instantaneous exchange rate, as best I can tell. You pay a little extra in fees, but nowhere near the 8-10% you've seen. Maybe one solution, if Spitzer doesn't come to your aid, is to get cash abroad and pay for as many things as you can in cash. At least test the theory - process a card purchase, like a hotel stay, and then immediately go get a little cash. See what the difference is in the rates when the statement posts.

Ex Amex Card

I've had two transactions go through on the same day and one was overcharged by 3% while the other was overcharged by just 1%. This was a stable currency and there is no way that the currency shifted by 2% in month - let alone a day or a week.

The amounts were about �100 and �300.

HKG_Flyer1

When I first started looking in to this problem, I, too, gave these guys the benefit of a doubt. However, the rates they were using couldn't be explained away no matter what conversion date they were using. When I've tried to press Amex for an explanation as to what the h3ll they're doing... they've never been able to give me a rationale.... they just credit the overcharge back to my account.

ddavis

Editing to note that I received a rate of interbank+2.14% this month in Australia on my new TrueEarnings Amex. Received +1% on MBNA Worldpoints MC.

rives21

well, it's happened to me again.

i made a purchase for 3,150 South African Rand on 3 December 2004 and it appeared on my statement for $564.48. When I checked www.OANDA.com, and did the math, including the 2% fee, it turns out that Amex attempted to steal $26 from me on this one charge. When I called them to complain about the theft, they offered to credit my account for the amount, plus the finance charge.

I realize that this activity is old news, but more interesting is that I told the CS rep that this practice is rampant at Amex and I referred him to this thread. He said that he was familar with FT and that he would take a look at the thread.

So, I'm hopeful that this issue will be addressed soon.

wobbly wings

First time I notice this thread.

For UK people, note that unless I am mistaken, AMEX UK for any foreign transaction first it into $ and then into � charging its 2.25% twice, ie about 5%. I noticed this in their T&C some time ago and stopped using it for foreign transactions, except in the US.

Ex Amex Card

No, they only charge you 2.75% once. There is no fee for the USD to GBP part of the transaction (unless the transaction was in USD). I checked a Euro transaction I did a couple of weeks ago and the exchange rate was pretty much spot on for the 2.75% fee.

Nationwide Building Society in the UK have a Visa Credit Card with no charge for foreign transactions. It's worth getting if you do a lot of foreign charges.

NYCFFlyer

I am apalled by the number of "errors" reported here. Systematic errors that consistently work in the favor of AMEX is not "error" in my book - it's called disceptive business practices. I am going to review my international charges soon to see if I have been overcharged as well. I never pay attention to that details, just assuming that it's done via computer a hundred million times a day - so how could they screw up?!!

For those who have been overcharged and Amex refuses to make you whole, my advice is to "Spitzer" them. Contact the New York State Attorney General office, show them your evidence and all AMEX letters, and tell them to read this thread. There is nobody that these slick finance guys are more scared of than the NY AG Elliot Spitzer. He has made many Wall Street firms paid dearly for bad business practices, and his office has shown a great interest in rooting out consumer fraud cases perpetuated by big financial companies.

byoni

Just checking my statements from travel in US and Canada and there seems to be about a 2.5 - 3% load when converted to UK GBP, which is what I was expecting.

Tranasactions on the same days using my Mastercard and Visa always came in at a worse overall rate, so ill stick with the Amex card for now, but its worth keeping an eye on - thanks!

wobbly wings

Thanks.

See below AMEX's T&C.

http://www10.americanexpress.com/sif...1,12707,00.asp

FOREIGN CHARGES

If you make a Charge in a currency other than in Pound Sterling, that Charge will be converted into Pound Sterling. The conversion will take place on the date the Charge is processed by American Express, which may not be the same date on which you made your Charge as it depends on when the Charge was submitted to American Express. If the Charge is not in U.S. dollars, the conversion will be made through U.S. dollars, by converting the Charge amount into U.S. dollars and then by converting the U.S. dollar amount into Pound Sterling. If the Charge is in U.S. dollars, it will be converted directly into Pound Sterling.

Unless a specific rate is required by applicable law, you understand and agree that the American Express treasury system will use conversion rates based on interbank rates that it selects from customary industry sources on the business day prior to the processing date, increased by a single conversion commission of 2.73%. If Charges are converted by third parties prior to being submitted to us, any conversions made by those third parties will be at rates selected by them.

Ex Amex Card

It is worth noting that this 2.73% commission is fairly new. Up until about 2 years ago there was no commission charged on foreign transactions.

Doppy

Seems like the Brits pay a higher fee. My statement points out that a 2% fee is added to my foriegn currency transactions.