Last Saturday, I placed an order on an overseas website. When I checked my statement on Monday, I did a double take: the item was the same, and the price hadn’t changed, but the bill was a little higher than when I’d used my card midweek.
It wasn’t a price increase by the merchant—the extra cost had quietly been added during currency conversion. I later learned that some cards and currency exchange services charge an extra conversion markup on weekends. Since the foreign exchange market is closed on weekends, the exchange rate is based on Friday’s closing rate, with another markup layered on top. That means the same purchase in a foreign currency costs more on the weekend than on a business day. You might not notice it on a small purchase, but it really shows up on bigger expenses like flights and hotels.
I’ve gotten into the habit of moving large foreign-currency purchases to a business day whenever possible. If I can’t avoid paying on a weekend, I check the card’s currency conversion terms first—look for a line like “foreign currency transaction fee” or “currency conversion fee” on the statement, then compare the rate with what the same transaction would cost on a business day. If I have a few cards on hand, I compare them before paying to see which one has the lowest weekend markup. I take a screenshot after paying, then check the amount again when it posts on Monday. If the difference doesn’t add up, I ask the card issuer for a breakdown of the currency conversion.
As an aside, I use PayAll to compare the settlement options and currency conversion costs for the cards I have, then take a look before choosing which card to use.
(Disclosure: The author of this article is affiliated with PayAll, which is mentioned in the article. This content is based solely on personal experience and does not constitute investment or financial advice.)
Have you ever been charged extra when using a card for foreign currency purchases on the weekend? Do you usually check your statement first, or just accept the charge?
#跨境支付 #汇率 #CreditCard
It wasn’t a price increase by the merchant—the extra cost had quietly been added during currency conversion. I later learned that some cards and currency exchange services charge an extra conversion markup on weekends. Since the foreign exchange market is closed on weekends, the exchange rate is based on Friday’s closing rate, with another markup layered on top. That means the same purchase in a foreign currency costs more on the weekend than on a business day. You might not notice it on a small purchase, but it really shows up on bigger expenses like flights and hotels.
I’ve gotten into the habit of moving large foreign-currency purchases to a business day whenever possible. If I can’t avoid paying on a weekend, I check the card’s currency conversion terms first—look for a line like “foreign currency transaction fee” or “currency conversion fee” on the statement, then compare the rate with what the same transaction would cost on a business day. If I have a few cards on hand, I compare them before paying to see which one has the lowest weekend markup. I take a screenshot after paying, then check the amount again when it posts on Monday. If the difference doesn’t add up, I ask the card issuer for a breakdown of the currency conversion.
As an aside, I use PayAll to compare the settlement options and currency conversion costs for the cards I have, then take a look before choosing which card to use.
(Disclosure: The author of this article is affiliated with PayAll, which is mentioned in the article. This content is based solely on personal experience and does not constitute investment or financial advice.)
Have you ever been charged extra when using a card for foreign currency purchases on the weekend? Do you usually check your statement first, or just accept the charge?
#跨境支付 #汇率 #CreditCard