MONEY GUIDE

Foreign Transaction Fees Explained

A foreign transaction fee can be charged when a card transaction involves a foreign currency or, depending on the issuer's terms, is processed outside the card's home market. The exact rules and percentage are provider-specific.

What to compare

Before travel, check your card agreement for foreign-currency conversion charges, cash-advance rules and ATM fees. The ATM operator may impose a separate charge that is not controlled by your card issuer.

Before you transact

When a merchant offers to convert the purchase into your home currency, inspect the offered conversion rate and markup before choosing. Convenience does not necessarily mean lower cost.