Credit Card Exchange Rate Mark-up – Be Informed 

While you may have a credit card that doesn’t charge foreign transaction fees beware of charges the credit card reader machine companies charge if you pick US as the currency. Sometimes the credit card reader machine will give you a choice to pay in US dollars or the local currency at time of purchase. If you pick US currency they will add a 3.5% mark-up to the purchase. There is nothing on the credit card machine that alerts you of this before you chose the currency.

If you chose US currency the bottom of the receipt will read “I have been offered a choice of currencies and have chosen to accept DCC and pay in US Dollar. Exchange Rate provided by U.S. Bancorp. Exchange Rate Mark-up 3.5%.”

Most people don’t notice this but it does add up over a two-week vacation. We didn’t notice it until the end of our trip when a waiter in Dublin alerted us as he brought us our check. He said he tries to warn folks of this “scam”.

My credit card company, had never heard of this practice and to this point doesn’t feel there is anything they can do about it.