Foreign Transaction Fee??

[Tzbwilsonfam]

We are sailing out of Galveston Nov 2016. Are foreign transaction fees charged on credit cards for cruises?? We are going to Bahamas. Just trying to plan in advance to avoid fees. Would it be best to get a credit card that doesn't charge foreign transaction fees? Generally how much is the transaction fee? We've never traveled out of the country before.

 

[MUN]

I'm assuming you're a US citizen. If that is the case, the answer is no.

 

[Tzbwilsonfam]

I'm assuming you're a US citizen. If that is the case, the answer is no.

Yes, I am.

 

[sweetpee_1993]

If you're a U.S. citizen sailing on DCL out of Galveston you shouldn't get any foreign transaction fees from DCL. If you use your credit card to make purchases while in the Bahamas you will for those transactions.

 

[holula]

If you're a U.S. citizen sailing on DCL out of Galveston you shouldn't get any foreign transaction fees from DCL. If you use your credit card to make purchases while in the Bahamas you will for those transactions.

This, unless your credit cards has no foreign transaction fees.

 

[sweetpee_1993]

This, unless your credit cards has no foreign transaction fees.

Exactly. Mine has no fee.

 

[lanejudy]

First -- check with your credit card company. Some cards have foreign transaction fees, some don't.
Charges onboard the ship will NOT results in foreign transaction fees to US residents.
Charges IN PORT -- private excursions, dining, shopping, etc. -- may result in a fee if your card charges them.

Enjoy your cruise!

 

[bumbershoot]

We have a credit union cc and a B of A card that have fees and the fees are counted in pennies. Maybe that's unusual (and we don't tend to make big purchases overseas) but our experience makes me wonder what people are so worried about with fees.

 

[holula]

Usually fees are around 3% or so. It's not a huge amount.

 

[MillauFr]

We have a credit union cc and a B of A card that have fees and the fees are counted in pennies. Maybe that's unusual (and we don't tend to make big purchases overseas) but our experience makes me wonder what people are so worried about with fees.

Agreed. I don't understand why people are so worried about the foreign transaction fees. I never buy much of anything in any of the ports. We go to Victoria and Vancouver but the fees don't add up to very much at all.

 

[CesD]

1-3% depending on the card. If your itenerary includes Mexico, be sure to tell your card company beforehand. We told our credit card company that we were traveling but once we got to Cozumel our card was declined. Our card company said they automatically decline transactions in Mexico unless they are notified.

 

[SuzanneSLO]

It may only be a few percentage points, but why pay it if you don't have to? Many people who travel already have credit cards which don't charge a foreign transaction fee. Why not choose one of those and then you are set if you want to buy a unique souvenir or a tour not offered by the cruise ship? -- Suzanne

 

[Pens Fan]

It may only be a few percentage points, but why pay it if you don't have to? Many people who travel already have credit cards which don't charge a foreign transaction fee. Why not choose one of those and then you are set if you want to buy a unique souvenir or a tour not offered by the cruise ship? -- Suzanne

Exactly! On our last cruise we spent three nights in Copenhagen pre-cruise, one in London post-cruise, made a few purchases, and took 5 fairly expensive private tours at the various ports. Had we not had a card that didn't charge foreign transaction fees, that would have added up to a few hundred dollars or so (our normal go-to card charges 3%). While that doesn't apply to everyone's travels I don't see the need to ridicule someone for trying to save a little money.

By the way - we use Capital One for our foreign travel. No transaction fees at all

 

[SuperDry]

I'm assuming you're a US citizen. If that is the case, the answer is no.

Charges onboard the ship will NOT results in foreign transaction fees to US residents.

These are curious responses. I'm not aware of any situation where one's citizenship or place of residence affects foreign transaction fees. Rather, it's entirely based on the fees associated with the account in question. All DCL on-board charges are denominated in US dollars, and charged as if the merchant were located in Florida, regardless of what the itinerary is (including those exclusively in Europe). So, if you have a US-based credit or debit card, you won't have any foreign transaction fees for any on-board charges, since they are made in USD and from Florida. This is true regardless of your citizenship, and regardless of where you live.

If you have a credit card that's issued in another country and whose base currency is other than USD, then you might have to pay a foreign transaction fee. You'll pay whatever you'd pay for any other purchase made in the US in USD.

 

[SuperDry]

We are going to Bahamas. Just trying to plan in advance to avoid fees.

There's one thing in particular you should be aware of about The Bahamas. The Bahamian Dollar has a set exchange rate of 1.00 to 1.00 against the USD. That is, not only does the exchange rate not fluctuate vs the USD, it's always worth exactly the same as the USD. It certainly makes shopping easy for people from the US. But, you'll still pay a foreign transaction fee if your credit card charges one, since it is still a different currency.

 

[PrincessShmoo]

There's one thing in particular you should be aware of about The Bahamas. The Bahamian Dollar has a set exchange rate of 1.00 to 1.00 against the USD. That is, not only does the exchange rate not fluctuate vs the USD, it's always worth exactly the same as the USD. It certainly makes shopping easy for people from the US. But, you'll still pay a foreign transaction fee if your credit card charges one, since it is still a different currency.

There's also the Bahamian 7.5% VAT now.

 

[lanejudy]

So, if you have a US-based credit or debit card, you won't have any foreign transaction fees for any on-board charges, since they are made in USD and from Florida. This is true regardless of your citizenship, and regardless of where you live.

True. Thank you for clarifying. I posted on the assumption that U.S. residents would have a U.S.-based card and likewise non-U.S. residents would not. But that may not be a safe assumption.

Enjoy your cruise!

 

[SuperDry]

There's also the Bahamian 7.5% VAT now.

That's true, but that has nothing to do with exchange rates or methods of payments. It's just like if you travel to another state in the US and pay for a hotel or food - the tax rate may be different than what you pay at home.

True. Thank you for clarifying. I posted on the assumption that U.S. residents would have a U.S.-based card and likewise non-U.S. residents would not. But that may not be a safe assumption.

There are lots of exceptions. For example, it's not uncommon for a Canadian that frequently travels to the US or otherwise has a lot of US transactions to have a USD-denominated credit card, even though they have Canadian citizenship and live in Canada. You can get such a card from some Canadian banks. This way, they avoid currency conversion on purchases (although they then must pay their credit card bill in USD, this can often be done at minimal cost). Also, American Express offers an "International Dollar Card" charge card. It's available only to people that DON'T live in the US, is issued out of the UK to people all around the world, and is settled in USD. It's used by people that have lots of transactions in USD, and/or can pay in USD, thus avoiding conversion fees.