Foreign credit cards purchases at MEP rate

[NomadTrader]

I thought Fidelity charge a 1% foreign transaction fee. Have this changed recently? In fact, I remember reading that they may even charge that 1% foreign transaction fee even when there's no currency conversion involved as long as the transaction was completed outside of the US.

Schwab is the one I'm aware of that doesn't charge a foreign transaction fee and also refund ATM fees worldwide.

Yes. They changed it about 3 months ago.

No fees, now.

 

[darksider415]

My bank refunds up to $10/month of international ATM fees, so my trip to Galicia ended up with an effective 898 after the 1% fee. Definitely better than WU for small amounts, especially when considering time to get to WU, compared to a 70m walk to the nearest Galicia branch.

 

[Ronnie Hotdogs]

I got charged the official rate last time I used an ATM

 

[TonyTigre]

Yes. They changed it about 3 months ago.

No fees, now.

I only see a reference to their credit card (Fidelity Rewards Visa Signature card) no longer charging the foreign transaction fee on 'credit card purchases'. Using a credit card in an ATM is of course not recommended due to the cash advance fees.

The Fidelity Debit Cards might refund the ATM fee, but sounds like withdrawing money from a foreign ATM would still result in the 1% foreign transaction fee.

So again, Schwab is the only card that doesn't charge the foreign transaction fee AND refund the ATM fee globally.

Also, CapitalOne does not refund ATM fees even though they don't charge a foreign transaction fee.

 

[NomadTrader]

Fidelity Debit 0% foreign transaction fee for ATMs.

Maybe for using Debit Card to pay for items in a grocery store...I don't know. But my ATM transaction is confirmed with 0%.

...and I have done several ATM withdraws

 

[Xeneize]

I have been using a european MasterCard credit card in Argentina throughout this year. Always worked fine with the refunds that shows up on the account in a few days after the purchase. But earlier in November I noticed that I was no longer charged the offical exchange rate. I was charged the final exchange (calculated after refund) as soon as the purchase went through, which was great.

I read on Mastercards website that they stopped doing refunds in Argentina from November 9th and that they now calculate and charge the final rate directly.

"Transactions authorized from November 9, 2023, the benefit will be applied directly at the time of purchase. The refund system which was in effect from December 2, 2022, will no longer be used."‎

Now to the problem. Since the first week of November (before November 9th) I haven't received any refunds connected to my purchases in argentinian pesos in Argentina. It just stopped before the 9th. Around the 9th I realised I was charged the final rate directly.

But then a few days later - all my recent purchases charged in pesos during November - changed the exchange rate again - from the final rate back to the official rate. And no refunds either during the past three weeks. So I was charged the new and final exchange rate but then a few days later those purchases settled at the official rate.

Another strange thing is that a european American Express still gives me refunds in November. So this system obviously still works.

Anyone else out here who have had these problems with the wrong exchange rate or missing refunds earlier in November?

I contacted the bank but they had no idea of what was going on. Hopefully they will find a solution on these charges that just turned from the final exhange rate to settle in the offical rate a few days later... but I just wanted to let you all know.

 

[FrankPintor]

On Friday, my Mastercard CC, non-US, non-EU, cleared a transaction with Aerolíneas online at the MEP rate immediately, no wait for reimbursements or anything.

 

[Lavish Otter]

On Friday, my Mastercard CC, non-US, non-EU, cleared a transaction with Aerolíneas online at the MEP rate immediately, no wait for reimbursements or anything.

I was about to post the same: a flight on Emirates posted (pending) at the MEP rate immediately. I used a US issued Capital One MC card, but paid from within Argentina.

 

[carride]

I read on Mastercards website that they stopped doing refunds in Argentina from November 9th and that they now calculate and charge the final rate directly.

Since the date you mentioned, with Mastercard I have a transaction on Nov-12 and Nov-25. Both times they immediately posted to my account at approximately the MEP rate. Nice to be similar to Visa without needing to wait for the refund as had been since 2022.

 

[Maikito]

Sir Chandler has recently made 2 blog posts about this. MasterCard in Europe seems to have the issue, and they responded that they're working on it.