Travellers have had some bad news related to credit cards. There are now transaction fees with fraud monitoring systems that are far more aggressive now, especially when the credit cards are used outside the country. In fact, a lot of credit card customers now have to travel with at least two cards in their wallet in case one of them gets blocked by fraud detection systems. There is an increased chance that the transactions are tracked for expenses in foreign countries. One would wonder how much the intensity of tracking will increase by. The general understanding is that the chances of fraudulent transactions are 10 times more in case of international transactions compared to normal ones. There is a checklist for credit card customers to follow now to ensure that they stay on top.
One of the things to keep an eye on, is the foreign transaction fee. The foreign transaction fees is typically about 3% of the credit and debit purchases which represents a 1% drop from the fees a few years ago. The transaction fees can eventually accumulate and add up if you are making a lot of purchases. The credit card industry experts are expecting the foreign transaction fees to go up further with many card issuers looking to increase their revenue.
One of the options that card customers have, is the Capital One credit card which is the only major credit card issuer that has done away with the interchange fees altogether. Another good option is provided by the credit unions which charge only the 1% that is claimed by MasterCard and Visa.
A lot of other card issuers have also eliminated the fees for card holders. J P Morgan has chosen to waive the fees charged on British Airways and Hyatt cards which have a 75 dollar annual fee and the Priority Club Card charging 49 dollars as annual fee every year after the 1st year. Another card issuer which will start waiving the fees from March is the American Express. This is for the their Platinum Card that charges an annual fee of 450 dollars, and the Centurion card that charges a fee of 2500 dollars. Credit card holders should also be careful about fraud and the fraud monitoring system. For example it is a good idea to update the card issuers about your travel plans. It is a good idea to have the international phone numbers of the bank handy.