Transaction fee question [Forex CC fees for ex NZ bookings]

[Natalie Z]

I'm quite sure that I know the answer to this already, but I am booking a flight for my sister and she wanted me to come on here and ask for her reassurance.

My sister is currently in AKL and needs to book the AKL to ADL flight home tomorrow flying VA. I am booking it for her and I am currently here in Australia. When I go to book, the fare displays in New Zealand currency. My bank is Commonwealth Bank Australia.

Double checking that if I book an overseas flight departing New Zealand on VA website, within Australia, paying with my Australian bank account, that I will not be charged an overseas transaction?

(If she books it from NZ then I believe a fee will occur, which is why I am booking this for her as I believe there will be no fee with the method discussed above)

 

[madrooster]

You'll get hit with a fee from CBA as the charge is in NZD and probably from VA's NZ merchant, unless it's a CBA platinum/diamond amex card.

You cannot escape the foreign transaction fee unless you have a card like the CBA platinum/diamond amex, Citibank Plus debit card, 28 Degrees mastercard, coles rewards mastercard (the $89 ish one) or Bankwest platinum/world.

 

[Natalie Z]

You'll get hit with a fee from CBA as the charge is in NZD and probably from VA's NZ merchant, unless it's a CBA platinum/diamond amex card.

You cannot escape the foreign transaction fee unless you have a card like the CBA platinum/diamond amex, Citibank Plus debit card, 28 Degrees mastercard, coles rewards mastercard (the $89 ish one) or Bankwest platinum/world.

Wait, so even if I'm booking within Australia I'll be charged?

When I booked my flight from Denpasar to Cairns, I booked it here in Australia and I wasn't charged anything, despite the currency being in IDR. Months later when I booked the same flight, but I booked it in Indonesia, I was slugged a heavy fee.

 

[madrooster]

Wait, so even if I'm booking within Australia I'll be charged?

When I booked my flight from Denpasar to Cairns, I booked it here in Australia and I wasn't charged anything, despite the currency being in IDR. Months later when I booked the same flight, but I booked it in Indonesia, I was slugged a heavy fee.

It comes down to which merchant is used to settle the charge and what card you're using...

 

[Natalie Z]

It comes down to which merchant is used to settle the charge and what card you're using...

Thanks. I just called my bank and now I understand. Am I able to delete this thread?

 

[serfty]

. Am I able to delete this thread?

No need, the information can be useful to others ...

 

[Natalie Z]

No need, the information can be useful to others ...

Good point

 

[ftm]

If you booked the same flight from an AU based TA, or OTA and use VA as the merchant, then you'd pay in AUD and there would be no forex fee as it is considered an AU point of sale. The fare is in NZD, but is converted to AUD in the GDS at essentially the cash rate, so it would work out ahead.