#Dynamic Currency Conversion (DCC) charges

[dailyfinancial]

SBI and IDFC First Bank’s New Credit Card Rules: What Changes from April 1?

“The latest changes to SBI and IDFC First Bank credit card rules effective April 1, 2023. Learn about revised interest rates, lower fees, enhanced rewards, and new security features. Stay informed and adapt to these updates for smarter credit card usage. Read now for a complete guide!” In a significant move, SBI and IDFC First Bank have announced changes to their credit card rules, effective…

[rayman510]

Guide to Credit Card Foreign Currency Transactions and Costs

Using credit cards for foreign currency transactions is a convenient way to shop globally. However, understanding how it works can help you avoid unnecessary fees and costs. When you make purchases in foreign currencies, your credit card issuer converts the transaction into your home currency. This process may involve exchange rate markups and foreign transaction fees, making it essential to be aware of credit card foreign currency transactions.

Many credit cards charge a foreign transaction fee, typically ranging from 3% to 5% of the total amount. Additionally, card issuers may apply an exchange rate markup to cover processing costs. To minimize these charges, consider choosing a card with low or no foreign transaction fees and competitive exchange rates.

One key tip is to decline Dynamic Currency Conversion (DCC) when offered by merchants, as it often comes with unfavorable rates and extra fees. Opt for the standard currency conversion provided by your credit card issuer for better transparency and lower costs.

By staying informed about exchange rates, selecting the right card, and planning your purchases wisely, you can manage foreign currency transactions effectively and enjoy the benefits of credit card rewards, security, and convenience.

[hitchzone24]

Travelling Soon? Essential Tips for using your Credit Card Abroad

Ever packed your bags for an overseas trip and wondered ‘How’s my credit card going to behave abroad?’ Yes,credit cards are helpful but sometimes unpredictable in new places. Worried? Don’t be. We have a host of tips for you to make your credit card work wonders on your travelling adventures.We will show you how to turn your credit card into a savvy companion. Let’s break down the points!

Notify Your Bank Before You Travel

One of the most important steps before your journey is informing your credit card issuer about your travel plans. Many banks monitor transactions for suspicious activity, and using your card in a foreign country without prior notice may trigger security measures. This will lead to your card being temporarily blocked. Most banks offer the option to notify them of your travel plans through their app or website, making this process quick and painless.

Know the Foreign Transaction Fees

Before you start swiping, it’s imperative to be aware of any foreign transaction fees associated with your credit card. These fees typically range from 2% to 3% of each purchase made outside your home country. While these charges might seem small, they can add up over time. The good news? Some credit cards (travel-focused ones in particular) waive foreign transaction fees altogether. Consider applying for one of these cards before your trip to avoid unnecessary costs.

Always Pay in Local Currency

It’s almost always better to choose in paying for things in the local currency when travelling. The reason? Paying in your home currency involves Dynamic Currency Conversion (DCC). This often comes with hidden fees and poor exchange rates. By opting for the local currency, you’ll be charged at the card network's exchange rate (which is generally more favourable).

Use a Card with Travel Perks

Travel rewards credit cards are designed to enhance your travel experience by offering perks such as free airport lounge access, travel insurance, and no foreign transaction fees. All of these manage to level up your travel experience. Some cards also allow you to earn points or miles on your purchases which can be redeemed for future flights or hotel stays. If you’re a frequent traveller, using a card with travel perks can make your journey more enjoyable and financially rewarding.

Carry a Backup Card and Some Cash

While credit cards are widely accepted in most parts of the world, it’s always a good idea to carry a backup card and some local currency just in case. Some smaller businesses, particularly in rural areas, may not accept cards or you may find yourself in a situation where your primary card doesn’t work due to network issues. A second credit card from a different issuer can also be useful if your main card is lost or stolen.

Avoid ATM Fees

Using your credit card at ATMs abroad can come with high fees, both from your card issuer and the ATM operator. To avoid these charges, use your credit card for purchases whenever possible and rely on your debit card for cash withdrawals. Some travel-focused credit cards and banks offer reimbursement for ATM fees. So, it’s worth checking if your card includes this benefit before you depart.

Take Advantage of Travel Insurance

Many credit cards come with built-in travel insurance. It can be a lifesaver in the event of trip cancellations, lost luggage, or medical emergencies abroad. Review your card’s insurance policy before your trip to understand what’s covered and what isn’t.

Monitor Your Spending and Statements

While abroad, it’s central to keep track of your credit card spending and regularly monitor your account for any suspicious activity. Most banks provide mobile apps that allow you to check your balance, review recent transactions, and even freeze your card if necessary. Staying on top of your spending helps you manage your budget.

Know Your Credit Limit

Overspending abroad can easily push you close to your credit limit. Keep an eye on your available credit to avoid maxing out your card, which could lead to declined transactions or penalties. If you anticipate high spending, consider requesting a temporary credit limit increase from your card issuer before your trip.

Protect Yourself from Fraud

Be cautious when using your card, especially at unfamiliar ATMs or in crowded places. Stick to well-known, reputable establishments and avoid giving your card to anyone to take out of your sight. If you suspect any fraudulent activity, contact your card issuer immediately. Most credit cards offer zero-liability protection, meaning you won’t be held responsible for unauthorized charges. Remember though – swift action is essential.

Keep a Copy of Your Card Details

In case your card is lost or stolen, it’s helpful to have a copy of your credit card details. This also includes the customer service number for reporting lost cards. Keep this information in a safe place, separate from your physical card. Having this on hand can make it much easier to resolve any issues quickly.

Use Contactless Payments

Many countries have fully adopted contactless payments. It offers a faster, more secure way to pay. If your credit card supports contactless technology, take advantage of it when traveling. Not only does it reduce the risk of fraud by minimizing the physical handling of your card, but it also speeds up transactions in places like public transport or busy retail stores.

While travelling, remember that your credit card is ready for adventures – as much as you but it needs prep work too. Remember and apply these tips on your travels and your adventurous ways will not suffer any kind of negative consequences.

[infinitysimmer]

Traveling Abroad: Essential Tips for Using Your Physical Visa Card Internationally

Traveling abroad can be an exciting adventure, offering the opportunity to explore new cultures, cuisines, and landscapes. However, navigating the financial aspects of your trip, particularly the use of your physical Visa card, can sometimes be a daunting task. Ensuring that your finances are in order and that you can use your Visa card seamlessly is crucial for a hassle-free journey. Here are some essential tips to help you use your physical Visa card efficiently while traveling internationally.

Inform Your Bank of Your Travel Plans

One of the first steps you should take before departing is to inform your bank or credit card issuer of your travel plans. Many financial institutions have fraud detection systems that might flag international transactions as suspicious if they are unexpected. By notifying your bank in advance, you can avoid the inconvenience of having your card declined while you’re overseas.

Understand Your Card’s Fees and Charges

Different Visa cards have varying fees for international transactions. It’s important to understand these fees to avoid any unpleasant surprises. Common fees include foreign transaction fees, which are typically a percentage of each purchase, and ATM withdrawal fees. Some cards offer benefits like no foreign transaction fees, which can be a significant saving. Reviewing these details before your trip can help you choose the best card to use while abroad.

Know the Exchange Rate

Having a basic understanding of the current exchange rate between your home currency and the local currency of your destination can help you make informed spending decisions. Some Visa cards offer competitive exchange rates, but it’s still wise to check the rates periodically during your trip. This knowledge can also help you identify if a merchant is offering a poor exchange rate.

Keep Your Card Secure

Security is paramount when traveling with your physical Visa card. Use your card only at reputable establishments and ATMs to reduce the risk of fraud. Additionally, consider using a travel money belt or a secure wallet with RFID protection to guard against electronic pickpocketing. In case your card is lost or stolen, having the contact information of your bank handy can expedite the process of canceling the card and requesting a replacement.

Use Contactless Payments

Many countries are ahead in adopting contactless payment technology. If your physical Visa card has contactless capabilities, take advantage of this feature for faster and more secure transactions. Not only does it speed up the payment process, but it also minimizes contact, which is especially beneficial for maintaining hygiene.

Carry a Backup Card

While your physical Visa card might be your primary payment method, it’s always prudent to carry a backup card from a different issuer. This can provide a safety net in case your primary card is declined, lost, or compromised. Ensure your backup card also has international usage enabled and inform the issuing bank of your travel plans.

Monitor Your Statements

Regularly checking your bank statements and card transactions online can help you quickly spot any unauthorized charges. Most banks offer mobile apps that allow you to monitor your account in real time, making it easier to keep track of your spending and detect any irregularities promptly.

Be Aware of Dynamic Currency Conversion

Some merchants might offer to charge your purchase in your home currency rather than the local currency through a process known as dynamic currency conversion (DCC). While this might seem convenient, it often comes with poor exchange rates and additional fees. It’s generally better to decline DCC and choose to pay in the local currency for a better rate.

Emergency Assistance Services

Most Visa cards come with emergency assistance services that can be invaluable while traveling. This includes emergency card replacement, cash advances, and access to medical and legal referrals. Familiarize yourself with these services before your trip, and carry the necessary contact information.

In conclusion, using your physical Visa card internationally can be straightforward and convenient if you prepare adequately. By informing your bank, understanding the associated fees, keeping your card secure, and being aware of local payment practices, you can enjoy your travels without worrying about your finances. Bon voyage!

[ahmeddawn]

Is It Best to Pay in Local Coin or US Dollars When You Travel?

Why You Should Always Pay in Local Currency (And Not USD) When Traveling

Here’s a simple mistake most travelers make when paying abroad and so did I: Whenever asked if I wanted to pay in local currency or US dollars, I chose US$, thinking I was making a smart decision. I was so wrong.

Whenever you are using your credit card outside your home country, never choose to pay US$ and always insist on paying in local currency. The reason merchants are eager to charge US$ is because they will charge you what's called a Dynamic Currency Conversion (DCC) fee.

A DCC fee is in addition to any other foreign transaction fees that your credit card may charge you, which is usually 2.5 to 3% (See the Pro Tip below). The DCC fee can be 1% of the total transaction, but that’s not all. Merchants will always use a bizarre currency exchange rate at the point of sale to their advantage.

Your credit card networks can always negotiate better exchange rates to your advantage, so if you are letting merchants do the exchange, you are losing big time. It has been proven that you can be paying 7 to 12% more in total if you let merchants do the conversions.

So whenever you are traveling, always pay in local currency and if you are not told, ask the merchants how they are putting the transaction through.

Pro Tip: Always use a No Foreign Currency Transaction Fee credit card. Many of the so-called best travel credit card promoters are trying to sign you up to get charged a foreign currency fee (usually 1-3%). So always make sure the credit cards you are traveling with have zero foreign currency fees.

[financemaster1]

7 Tips to Manage Currency Risks While Traveling Abroad

When traveling abroad, managing currency risks is an essential aspect of ensuring a smooth and hassle-free experience. Fluctuating exchange rates, high transaction fees, and unfamiliar payment systems can all impact your travel budget. To help you navigate these challenges, Muthoot FinCorp ONE Forex offers a range of convenient and secure solutions, including buying, selling, and reloading Forex cards, sending money abroad, and multi-currency cash options.

Let’s explore the effective strategies for managing currency risks while traveling and how Muthoot FinCorp ONE Forex can enhance your travel experience.

Understand Exchange Rates and Market Trends: Before embarking on your trip, it is crucial to familiarise yourself with the currency exchange rates and monitor market trends. Exchange rates can fluctuate significantly, affecting the value of your money. Stay updated with online currency converters or financial news platforms to make informed decisions about when to exchange your currency.

Plan Your Budget and Expenses: Create a travel budget that includes all your anticipated expenses such as accommodation, transportation, meals, and leisure activities. Consider the local cost of living, and the duration of your trip. Having a well-planned budget will help you estimate how much foreign currency you'll need and avoid unnecessary overspending.

Utilize Multi-Currency Cards: One of the most convenient and secure ways to manage currency risks is by using multi-currency cards. Muthoot FinCorp ONE Forex provides multi-currency cards that allow you to load multiple currencies onto a single card. These cards offer competitive exchange rates, enabling you to save on conversion fees. Moreover, they are widely accepted worldwide, giving you the flexibility to make payments or withdraw cash from ATMs without any hassle.

Carry a Mix of Cash and Cards: While multi-currency cards are convenient, it is always wise to carry a small amount of local currency in cash. Having cash on hand is useful for emergencies, situations where cards may not be accepted, or for small transactions like taxi fares, street food, or tips. Muthoot FinCorp ONE Forex provides options for obtaining local currency at competitive exchange rates, ensuring you have access to cash when needed.

Avoid Dynamic Currency Conversion: When using your card abroad, you may encounter the option of dynamic currency conversion. DCC allows you to pay in your home currency, but the exchange rate offered is typically unfavourable. Always opt to pay in the local currency instead to benefit from competitive exchange rates provided by Muthoot FinCorp ONE Forex and avoid additional fees.

Stay Aware of Transaction Fees: Some banks and card issuers charge foreign transaction fees for purchases made abroad. These fees can add up quickly and impact your travel budget. Muthoot FinCorp ONE Forex offers competitive exchange rates and 100% secure transactions, ensuring you save on unnecessary fees and enjoy a seamless experience while managing your expenses.

Take Advantage of Muthoot FinCorp ONE Forex Services: Muthoot FinCorp ONE Forex offers a hassle-free process for buying, selling, and reloading Forex cards. You can conveniently send money abroad, which provide 24-hour transfers guaranteed. With a secure and reliable platform, you can trust Muthoot FinCorp ONE Forex for all your foreign exchange needs.

Muthoot FinCorp ONE, as an SBU of Muthoot FinCorp Limited, is a one-stop solution for your finances. With a legacy spanning over 135 years and the trust of more than 1 crore customers, you can be confident that when you are with Muthoot FinCorp ONE, you are with the best in the business.

Managing currency risks while traveling abroad is crucial for a stress-free and cost-effective journey. By understanding exchange rates, planning your budget, utilizing multi-currency cards, and leveraging the services provided by Muthoot FinCorp ONE Forex, you can optimise your travel experience. Enjoy competitive exchange rates, 100% secure transactions, and hassle-free international money transfers, ensuring you have access to cash, multi-currency cards, or money transfers anytime, anywhere.

Remember to always stay informed, make wise financial decisions, and enjoy your travels with peace of mind. Muthoot FinCorp ONE Forex is your reliable partner for managing currency risks while exploring the world.

Visit the Muthoot FinCorp ONE website today to get your Forex. Alternatively, you can also follow us on Facebook, Instagram, Twitter or LinkedIn to stay tuned to our latest offerings.

[jasspreepkaur303]

TRAVELLING ABROAD AND WANT TO USE A CREDIT CARD

Traveling abroad opens up exciting opportunities to explore new cultures and experiences, but managing your finances while away from home is crucial. Using a credit card during your international adventures can simplify the process and provide several advantages.

Safety and Security: Credit cards offer a secure way to carry money while traveling. They come with built-in fraud protection and are easily replaceable if lost or stolen. Many credit card companies also offer 24/7 customer support to help in case of emergencies.

Convenience: Credit cards are widely accepted worldwide, making them a convenient payment method for hotels, restaurants, shops, and even public transportation. They eliminate the need to carry large amounts of cash, reducing the risk of theft.

Exchange Rates: When using a credit card for international transactions, you typically receive competitive exchange rates. However, it's essential to be aware of foreign transaction fees that some cards may charge. Choose a card with minimal or no foreign transaction fees to save money.

Notify Your Bank: Before your trip, inform your credit card company about your travel plans. This can prevent them from flagging your overseas transactions as suspicious, which could lead to a temporary card block. Providing your travel dates and destinations helps ensure a seamless experience.

EMV Chip: Look for credit cards with EMV chips, which provide enhanced security and are widely accepted abroad. These chips make it harder for fraudsters to clone your card.

Dynamic Currency Conversion (DCC): When making purchases, be cautious of DCC offers from local vendors. Opt to be charged in the local currency to avoid unfavorable exchange rates and fees.

Backup Payment Method: While credit cards are widely accepted, it's essential to have an alternative payment method like a debit card or some cash, as there may be places that don't accept credit cards.

Monitor Transactions: Keep a close eye on your credit card statements and set up transaction alerts to quickly detect any unauthorized or fraudulent charges. Notify your card issuer immediately if you notice any irregularities.

Rewards and Benefits: Some travel rewards credit cards offer points, miles, or cashback on international purchases. Research and choose a card that aligns with your travel goals to maximize your benefits.

Using a credit card while traveling abroad can enhance your overall experience by providing security, convenience, and potential rewards. However, it's essential to plan ahead, consider fees, and monitor your transactions to make the most of this financial tool during your international adventures.

[tanishasodhi]

The Ultimate Guide To Avoid Forex Charges While Traveling

When planning your trip abroad, it's important to factor in foreign exchange charges, as they can have a significant impact on your travel budget. By following these tips, you can avoid unnecessary fees and make the most of your money while traveling.

Research and Plan Ahead: Before you embark on your journey, take the time to research the local currency and exchange rates. This will give you an idea of how much money you'll need and help you avoid unfavorable rates at airports or tourist areas. Utilize reliable sources or apps to track currency fluctuations, allowing you to make informed decisions about when to exchange your money.

Choose the Right Payment Methods: When it comes to making payments abroad, not all methods are created equal. Opt for payment options that minimize forex charges. Look for credit cards that don't charge foreign transaction fees, but make sure to check with your bank beforehand. Additionally, consider using prepaid travel cards, as they often offer competitive exchange rates and can be a convenient and secure alternative to carrying large amounts of cash.

Avoid Dynamic Currency Conversion (DCC): Dynamic Currency Conversion is a service offered by some merchants or ATMs that allows you to pay or withdraw cash in your home currency rather than the local currency. While it may seem convenient, it often comes with high fees and unfavorable exchange rates. Always choose to pay in the local currency to avoid unnecessary charges.

Be Mindful of ATM Fees: When withdrawing cash from ATMs abroad, be aware that your bank may charge fees for international withdrawals. To avoid these charges, consider withdrawing larger amounts less frequently or find banks that offer fee-free withdrawals through partner networks. Another option is to use online currency exchange platforms that offer competitive rates and deliver the money directly to your destination.

Plan for Emergencies: While it's important to minimize forex charges, it's equally crucial to have a backup plan in case of emergencies. Keep a small amount of local currency on hand for immediate needs, and notify your bank or credit card provider about your travel plans to prevent any unexpected issues with your cards.

By following these tips, you can navigate foreign exchange charges and make the most of your travel budget. Remember to plan ahead, choose the right payment methods, avoid DCC, be mindful of ATM fees, and have a contingency plan for emergencies. Happy travels!

[airbnbfestivals]

Airbnb Dynamic Currency Conversión fees — still a thing?

I found a few articles from a few years ago talking about the dynamic conversion fees that Airbnb charges (~3%) when you don’t book in the local currency. The fix was supposed to be to always change the currency to local currency. Using local currency seems to pull up the same cost as using USD for me in the states. Did Airbnb get rid of DCC charges or just make them harder to see?

Original post here =+-+= Get $20 off your first AirBnB stay.

[srinimf]

5 Top Differences between Multi-Currency Vs DCC

5 Top Differences between Multi-Currency Vs DCC

I want to share with you the key differences between DCC and Multi-Currency.

Dynamic Currency Conversion

A cardholder can do a purchase in foreign currency. For example, an Indian cardholder can do a transaction in USD while he is on a foreign trip

This is service offered by a Merchant to the cardholder

The Markup fee charged by a merchant is higher than those charged by the payment processor.

[financialthreesixfive-blog]

Should I Utilize Credit Cards Overseas to Earn Miles?|Singsaver

Viewpoints expressed show the view of the writer (this is his story ). As the year draws to a close and people start to head abroad for holidays, one question on numerous tourists'minds is"should I use my credit card overseas?"The uneasiness is understandable. Utilizing your card overseas may expose you to scams, sustain significant costs or make you spend more than you 'd originally prepared.

And yet, banks provide generous miles bonus offers for utilizing your cards overseas. As the table listed below programs, you can earn anywhere in between 1.6 and 2.5 X the miles you 'd usually make on regional costs if you use your card overseas.

Does it make sense to use your cards on a vacation? Nevertheless, we need to understand what takes place when you use your card overseas.

What costs do you sustain on overseas deals?

When you swipe your card overseas, a number of things happen.

This means there are 3 "costs" in play here:

( 1) tends to be reasonably insignificant, specifically if you're handling a stable currency like the USD or AUD, so it's really (2) and (3) you wish to pay attention to.

How much does each bank charge?

The table listed below shows the costs you'll pay for using each of the following bank's cards overseas. For the sake of simpleness, I have combined the bank and card-issuer fees, and ignored the currency conversion spread.

Naturally, it's a bit meaningless to take a look at the charges in isolation. You require to see how many miles you get when you sustain those costs. In the table below I have actually looked at several popular miles cards, their overseas make rates, charges and the cost you're paying for miles.

Perhaps you're wondering if it's worth paying that price for miles. The response truly depends upon just how much you value a mile. In general , purchasing miles at less than 2 cents is a decent cost, although each individual's individual evaluation will vary depending on his/her circumstances.

To put it another method, it costs 176,000 miles to fly big salami from Singapore to San Francisco in Organisation Class. Presuming you acquired your miles at a cost of 0.5 cents per mile, you 'd be paying the equivalent of S$ 880 (0.5 x 176,000), which is pretty excellent. That's simply hypothetical, though, as you 'd require to invest S$ 35,200 overseas on the BOC Elite Miles World Mastercard alone for that to be true.

In truth, the majority of individuals's miles will be obtained from a variety of sources: yearly fees, abroad spending, along with "absolutely no cost" methods like paying for local purchases (absolutely no cost in the sense that you don't pay any specific cost to earn miles). You 'd require to take all that into account when computing your weighted typical expense of mile acquisition.

I'm usually happy to utilize my miles making cards overseas, because I think the value I get out of the miles well exceeds the costs I pay. As you can see from the table above, not all cards are equivalent, so make certain to select the best ones!

Other points to keep in mind about overseas card usage

As a security function, the majority of charge card will have their overseas use feature disabled by default. You may require to call your bank to get it triggered prior to traveling.

You may have been asked whether you want to "pay in Singapore Dollars" when traveling. Constantly state no.

Also, you may have been asked whether you wish to "pay in Singapore Dollars" when traveling. Always say no. This choice is referred to as Dynamic Currency Conversion (DCC ), and you'll wind up paying greater costs than if you used your bank's conversion rates. Here's an example from a trip I made to India:

The screenshot shows what UOB charged me (S$ 1,459.35), and the receipt above programs what I would have been charged if I chose for DCC (S$ 1,530.33). That need to suffice to make many people shudder. To rub salt in the wound, you will not make any abroad costs perks if you select DCC-- you'll make miles as if you used your card in Singapore.

Merchants earn a cut of the DCC fees, and some dishonest ones choose clients in for DCC without their permission. Don't presume you'll constantly be asked, and make sure to check what you're signing! Read what you can do to secure yourself versus DCC here. The best method to prevent DCC is to use an American Express card, as AMEX cards do not support DCC.

Utilizing your credit card overseas is not without cost, however the miles you make might more than assist offset it. As long as you work out standard good sense, like not letting your card out of your sight and not maxing out your credit limitation on something you can't pay for, there's no reason that you shouldn't pack along your plastic when you fly.

What to read next?

By Aaron Wong Aaron began The Milelion to assist individuals travel better for less and impress "chiobu". He was 50% effective. This is his story. SingSaver.com.sg Co-founder, Rohith Murthy

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[lindawfowler101010]

What is the MasterCard Exchange Rate

If you're overseas, in the United States or making a purchase online, your debit or credit card comes in handy as it will handle all the calculations for you. As one of the two major credit card providers, Mastercard is accepted in most places around the world, meaning you just have to use it as you normally would, and it will convert the currency automatically. But, what many people may not know is Mastercard has its own exchange rate, just like Visa, the bank and other providers of currency exchange in Canada.

Knowing what the Mastercard exchange rate is can help you determine exactly how much you're spending, and whether or not it's worth it. If your Mastercard is tied to your Canadian bank account, and you use it in the United States, you aren't getting the base exchange rate, or even the one your bank provides. The Mastercard exchange rate is all it's own, and even if it's a percent or two different, it can have a huge impact. Knowing these rates and other fees that come with using your Mastercard internationally is vital, as you can use the information to make sure you're getting a fair exchange rate and letting you know exactly how much you're spending.

Exchanging Regularly? Save with Knightsbridge Foreign Exchange

Banks and other providers of currency exchange in Canada add large markups to their exchange rates, with the banks adding about 3% to theirs. But, there are other options out there for.

Knightsbridge Foreign Exchange provides the best currency exchange rates, matched with the best exchange service. We operate entirely online, making it fast, easy and convenient for you. We work with the all the leading banks in Canada, meaning we can send your money wherever you need.

If you need cash for a vacation, or a big international purchase, we've got you covered. And, if you need to send money to someone overseas, we can do that too. There are no crazy fees for transferring with Knightsbridge FX, and you still get the best currency exchange rates in Canada as you would for a regular exchange.

Next time you need to exchange or transfer money, check out all we have to offer at Knightsbridge FX and see why we're perfect for you!

Continue reading to learn more about the Mastercard exchange rate and how to find it!

Mastercard Exchange Rate Calculator

With five key pieces of information, you can find out exactly what the Mastercard exchange rate is for a transaction you want to make today, or any one you've previously made with the Mastercard exchange rate calculator.

Mastercard Exchange Rate Calculator key information includes:

Currency of the transaction

Amount of the transaction

Currency of your Mastercard

Date of the Transaction

Bank transaction fee (if applicable)

With this information, the Mastercard exchange rate calculator can you what the exchange was/is that day and how much it would cost overall. You should always keep in mind that the rate you get for today is for the current time you're checking it and could change by the hour or the day. Also, it won't include any unexpected bank fees, so if you make your transaction and it isn't what you got from the Mastercard exchange rate calculator, be sure to check if there were any bank fees you didn't know about. You can check your particular bank account's terms and conditions to see if there are any fees associated with the transaction you'd like to make, and how you could possible avoid them.

Once you've gotten the Mastercard exchange rate, you can compare it to the interbank rate, also know as the mid-market rate, to see what markup they've added. The mid-market rate is the true base exchange rate for any currency, and is what financial institutions like Mastercard, banks and us at Knightsbridge Foreign Exchange use to determine what our rates will be.

Mid-Market Rate

If you don't know what the mid-market rate is, as just noted it's the real, true, baseline exchange rate for every currency. It's the one you'll see on Google and in the news, and what major global banks use to sell with each other.

When it comes to exchange customers, banks and other financial institutions add a markup to the mid-market rate as a way to make money. Depending on the particular company, they may need to add a higher markup to compensate for high expenses, such as airport brokers, or may just want to charge more. At Knightsbridge Foreign Exchange, we add a minimal markup to our rates to provide our customers with the best currency exchange rates in Canada.

Markups allow providers of currency exchange in Canada to make money, and for some they use it to deceive their customers into thinking they're getting a better deal than they are. Without knowing about the mid-market rate, you don't know any better on what a fair exchange rate is or not. Thankfully, finding the mid-market rate is as easy as a quick Google search, and you can use it to see the value in using Knightsbridge Foreign Exchange for all your currency exchange in Canada needs!

When is the Mastercard Exchange Rate Used?

While most times the Mastercard exchange rate will be used for the currency exchange on your card, there are times when the Mastercard exchange rate won't be used. This is called dynamic currency conversation. It occurs when you pay in your own currency, and it is converted by the merchant or ATM operator, rather than by Mastercard. Sometimes when you're abroad you'll be asked if you want to pay in your own currency. The benefit is you get to see how much you pay in your currency instantly, but there can be added fees you don't know about that actually make it more expensive. If you ever come across a situation like this, just know that the Mastercard rate won't be applicable, leaving you subject to an unknown exchange rate.

There are variety of possible fees that can come with using your Mastercard abroad or online for international payments. Make sure you've gone through you bank account's full agreement to confirm exactly what charges may be applicable, so you know exactly what fees you may be liable for. If you run into DCC, remember you won't be getting the Mastercard exchange rate.

To play it safe, you can always come to Knightsbridge Foreign Exchange for big international purchases or currency exchange in Canada. We'll provide you with the best currency exchange rates in Canada, and make you currency exchange process as easy as possible.

The post What is the MasterCard Exchange Rate appeared first on Knightsbridge FX.

[wexcel]

You can now pay for Facebook ads using your Naira debit card

You can now pay for Facebook ads using your Naira debit card

In 2016, Facebook began to display advert rates in Naira currency. It was a welcome development, which many expected would different from several online payment palaver, but it turned out to be disappointing like many others.

Implementing Dynamic Currency Conversion(DCC), the Facebook ad rates shown in Naira made no difference because advertisers would still end up being charged at parallel…

[touristguidebuzz]

Tip: Avoid Dynamic Currency Conversion at International ATMs

When you’re traveling overseas and make a purchase with a US credit card, the credit card terminal at many merchants will give you the option to pay in either the local currency or US dollars. Sounds like a great way to avoid those pesky credit card foreign transaction fees, right?

Except in this case, the cure is worse than the disease. If you choose this option — known as Dynamic Currency Conversion, or DCC — the markup on the conversion will be a great deal higher than the standard 3% credit card fee you might pay for foreign transactions. In fact, in our experience, it can be as high as 8%! And to add insult to injury, you might still get charged the foreign transaction fee because some credit cards specify those fees are based on the merchant’s country or where the transaction takes place, not the currency involved.

So when making credit card purchases overseas, you’ll always want to make sure you’re being charged in the local currency, and simply bring a credit card with no foreign transaction fees whenever you travel.

However, that’s not the end of the story, as this insidious DCC disease has spread to overseas ATMs as well…

It’s the same slight-of-hand at work — when you land in a foreign country and go to withdraw money from the ATM at the airport or train station with your debit card, the machine asks if you’d prefer to have your bank account debited in your own currency. Trust us, you don’t. The deal is even worse in this case because there are plenty of banks that don’t have a significant foreign transaction fee on ATM cash withdrawals in the first place.

So the next time you’re traveling internationally, make sure you pay close attention after swiping your credit card or clicking through the ATM screen. Don’t become a victim of DCC!

Featured image courtesy of Image Source via Getty Images.

[travelonlinetips-blog]

New Post has been published on https://travelonlinetips.com/pound-hits-parity-with-the-dollar-for-tourists-exchanging-currency-at-uk-airports/

Pound hits parity with the dollar for tourists exchanging currency at UK airports

The pound edged near to parity with the dollar at some UK airports this week, meaning tourists buying currency would only get just over $1 for every £1.

Travellers flying from Heathrow airport were being given exchange rates as low as £1-$1.05, with some outlets also offering just €0.92 to the pound, reports the BBC.

Sterling has taken a beating over the last few years as uncertainty around Brexit has seen it fall from highs of £1 to €1.440 in July 2015 to lows of €1.079 in August 2017.

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This week it plunged to £1-€1.101 and £1-$1.248 on 10 December after Prime Minister Theresa May pulled a vote on her proposed Brexit deal, but has since rallied slightly after she saw off a no-confidence vote from her party.

However, airports always offer a significantly worse rate than the markets, and today travellers are still being offered exchange rates as low as £1 to $1.223 and £1 to €1.078, both at Luton airport’s ICE outlet. 

The pound has plummeted against the dollar this year (xe.com)

Tourists looking to get the most foreign currency for their pounds should steer clear of airport forex outposts unless ordering and paying in advance – never buy on the day.

Using a comparison site can be useful as it allows you to search for the best rates being offered in your area, and prioritise results by the best deal or proximity.

Once travellers have found the most convenient place to pick up currency from at the best price, it’s best to order online in advance and go and collect it (rather than paying extra for delivery).

Read more

Alternatively, using a specialist credit card that doesn’t charge for being used abroad can help money go further.

The Independent’s travel correspondent, Simon Calder, recommends a Barclaycard Platinum Visa card, which has no non-sterling transaction fees on foreign spend and no charges or interest on ATM withdrawals so long as you pay it off in full every month. 

Other cards which can be used abroad for no charge include Halifax Clarity and Post Office Platinum. 

“Whenever you’re paying with plastic, beware of Dynamic Currency Conversion (DCC): the practice of inviting you to pay in sterling abroad,” says Simon. “If you agree, you’ll be charged about 5 per cent over the correct rate.

“There have been reports of some merchants abroad automatically selecting DCC, which should become evident when you are handed the terminal to tap in your PIN. If it happens to you, tick them off and demand to pay in the local currency.”

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