Amex increasing Currency Conversion Fee to 3.5% from May 4 2026

[kerfuffle]

Got this e-mail from Amex earlier:

We'd like to provide you with an update on the Currency Conversion Fee on your American Express Card Account.
From 4 May 2026, the Currency Conversion Fee will change from 3% to 3.5%. Currency Conversion Fees are charged when you make a transaction in a currency other than Australian Dollars.
This change is effective across all our American Express Card products and you'll receive this notification for each of your Cards.

My main Amex gives 1.5 points for transactions not made in Australian dollars. Wonder if other financial institutions will also follow suit.

 

[Coops1]

Have never ever used my Amex overseas!

There isn't one iota of benefit in paying 3%, now 3.5% in conversion fees on any card.

 

[LionKing]

Have never ever used my Amex overseas!

There isn't one iota of benefit in paying 3%, now 3.5% in conversion fees on any card.

Likewise. I have an overseas Visa Card from HSBC which does much better in terms of overseas spending.

 

[Coops1]

Also NAB, Commbank, ANZ are already at 3.5% amongst others I would assume

To provide some clarity in maths and commonsense, the maximum value a frequent flyer point is worth for an international business class flight is 3.25 cents! Unless your valuing against a stupidly high fare you would never ever pay for anyways! Anybody is welcome to argue the "point"

 

[kerfuffle]

Also NAB, Commbank, ANZ are already at 3.5% amongst others I would assume

Just checked my main bank Westpac and still 3%, but wouldn't be surprised if it too gets increased

 

[Beer_budget]

Haven't had the email yet, but half a percent won't change the decision tree much. On past trips I found the exchange rate on the Amex was better by enough to offset about half the fee anyway (vs the ING Orange One, which I no longer hold), but YMMV.

 

[SCM]

Expect to see more of this, as the RBA is moving forward to reduce gateway fees and remove blended fees at the payment terminal, they will scramble to try and make a quick buck.

 

[ChrisFlyer]

I'd already been avoiding using my Amex cards overseas given the 3% fee, aside from specific opportunities like the dining credit, so this just anchors that behaviour further and tells me to keep my Amex card in my wallet. Why would I pay more to earn points that are now worth less after the recent devaluations? However, for those not tuned into the value of points, the charge is an easy 'lazy tax' for Amex.

Still gutted that CBA nuked its range of transfer partners, though. Earning 3 CBA per $1 overseas with no foreign fee was quite a goldmine when converted to the likes of Flying Blue and QR...

 

[daft009]

i saw the currency conversion fee email and thought... "aah finally AMEX have come to their senses and reducing the 3% fee" boy was I wrong lol

 

[Jacques Vert]

Also NAB, Commbank, ANZ are already at 3.5% amongst others I would assume

The NAB Rewards Signature is still fee-free for international transactions...but for how long?

 

[Coops1]

The NAB Rewards Signature is still fee-free for international transactions...but for how long?

While all banks and cards have idiosyncrasies and variations, at the base level/use your paying a $35 fee per month with NAB for the privilege of using the card and not paying a currency conversion fee.

Commbank has a similar product, and likely others, but how far do we need to go to prove that your miles ahead using an ING, Revolut, 28 Degrees, Bankwest etc to pay no fees at no cost

 

[Jacques Vert]

While all banks and cards have idiosyncrasies and variations, at the base level/use your paying a $35 fee per month with NAB for the privilege of using the card and not paying a currency conversion fee.

Commbank has a similar product, and likely others, but how far do we need to go to prove that your miles ahead using an ING, Revolut, 28 Degrees, Bankwest etc to pay no fees at no cost

Agreed; but then again most of us have credit cards and most of them have an annual fee: mine is grandfathered at $26.67 per month (or $320 per year) which is reasonably competitive. And the fee is waived in any month you spend $5,000. It worked for me when I spent 7 months in Europe in 2024 (no monthly fee, no international fees and I earned lots of points).

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