What is this bank charge?

CuppaCocoa

Just got my credit card bill from Bank of Ireland. I notice that for purchases made outside the country including internet ones - there is a 'cross border handling fee of 1.75%'. What is this? Is it new or have I never noticed it before? Maybe there are new regulations whereby these charges have to be displayed. I don't know. Anyone any ideas?

Del2005

I think it could be commision for currency change. Is it on all purchases or just non Euro?

CuppaCocoa

Just sterling and dollar ones. Is this new?

Downtime

EU Regulation 2560/2001 legislates for cross border handling fee for electronic payments and cross border credit transfers up to a value of EUR50,000 within the Eurozone. Charges imposed for ATM, credit and debit card transactions and credit transfers must be the same as those imposed domestically. This regulation does not cover financial transactions outside the Eurozone.

Basically for any creidt card transaction outside the Euro zone you apy 1.75% - like an cheaper exchange rate commission.

In October 2005 the Financial Regulator published a Credit Card Cost Survey which, among other charges, lists the costs of using a credit card in a non-Eurozone country. You can view this survey and ten top tips on using your credit card abroad by logging onto www.ifsra.ie

CuppaCocoa

Thanks for that. I've never noticed the charge on my statement before as I always check my statements on-line. It doesn't appear there at all.

antoinolachtnai

This was always there, it's just that now it is shown explicitly on the bill.

Sangre

Most cards incorporate a fee into their currency rates anyway.