For some reason I get to USATODAY and then see "The requested document can not be found."

Use the link below and you should be able to read the article:

http://www.usatoday.com/travel/news/...ard-fees_x.htm

In my experience, local credit unions offer the best rate on foreign exchange transaction than traditional banks. Because they consider you as a member, their interesting rates on their demand deposit accounts are typically higher, their loan rates typically lower, and their credit card transaction fees typically lower than what most traditional banks offer to their clients.

Thank you. I am happy to see that Amex does not apply the 1% charge on charges made overseas in U.S. currency and will make certain that all such purchases are made with my American Express.

Dovster:

Most charges made overseas will be in foreign currency, not in US-$, even when the "advertised" price is in US-$.... and American Express will charge you 2%.

Whenever I buy an airplane ticket it is in dollars and the charge shows up that way. I also have the option, in Israel, of having my hotel bills in dollars. The Duty Free shop at TLV always charges in dollars (although you can ask them to convert to shekels).

In all these cases I have never had a conversion charge from either Amex or Visa. Visa, however, apparently is going to change that soon.

I would get the International Dollar Card from American Express. Since most of your charges come up as dollars, this American Express card settles in dollars. I believe you woudl avoid the fee. Most of my transactions overseas, the fee is incorporated into the line item amount on my bill. Last summer, I visited China, Germany, Italy, France, Switzerland, and a few other places. All my charges had the fee I believe, but it was incorporated into the line item charge on my statement and on the internet.

I have Amex Blue, issued by American Express in the U.S. and using my American address. It is cost-free (assuming I pay it off monthly, as I do) and I use it only:

1. In the US.
2. When I get billed in dollars in other countries.
3. When I am out of the Euro zone.

For most of my purchases in Israel, I use a Visa issued by my Israeli bank and for most of my purchases in the Euro zone, I use a MasterCard issued by Deutsche Bank.

Do you get miles on any of the cards?

THANKS!!!!

Received the offical amendment to my MBNA Quantum MC agreement stating the terms of the 3% foreign currency transaction fee to start on May 25, 2005, as was previously stated before.

So long MBNA, I'll be using my Capital One card for foreign currency transactions now.

My fiancee received the amended terms to her MBNA Worldpoints Visa card last week, and it included nothing about foreign currency transaction fees (only default rate and grace period changes). Hmm....

So from the USA Today it looks like the Capital One, HSBC, and Providian cards are the best. They charge 1% on top of the Visa/MC 1% so a total of 2%.
I dont think anyone can beat a 2% total charge for charges billed in foreign currency.

You did not read the chart correctly.

Capital One only passes through the 1% from VISA or MC (and apparently 0% on MC through October). It does not add anything for itself. The "+2" in the table simply refers to the footnote.

But the whole foreign currency conversion charge scheme is in a state of flux. It appears that all banks are re-evaluating ther charges, hence the new fees from Citibank and MBNA. So I would not be certain that CapOne will continue to be "the best" (though I have no info to the contrary).

As of today (April 29) - If you are traveleling before October, a CapOne Mastercard is probably your best bet, or alternatively, a mastercard from one of the other banks listed above, e.g. State Farm, some credit unions, etc.

From USA Today: As for charge card purchases abroad, check with the issuer for charges - and given a shifting fee landscape, expect confusion. At first, calls to Diners Club yielded different answers on fees. "This is a question that credit card companies find virtually impossible to answer," Consumer Action's Ken McEldowney says.

OK

So bottom line when using Capital One, HSBC, or Providian there is a 1% charge when the charge is made in a foreign currency (the Visa/Mc charge) and when billed in USD, its 1% from Visa and 0% (till 10/1) with MC?