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Credit Cards in Rep. of Ireland

On a recent visit to Ireland (by no means my first) I noticed that some credit card transactions I made using my UK VISA card appeared on the voucher I signed with the amounts in both EUR and GBP rather than just EUR. What appears to happen is the rate of exchange of the dual currency vouchers is much less favourable. For example two transactions the same day worked at 1.00 GBP = 1.46 EUR whilst again the same day a cash withdrawal (on a debit card) plus a 3rd credit card transaction receipted only in EUR gave a much better exchange rate of 1.00 GBP = 1.51 EUR. All these transactions appeared on my statement dated with in a day or two. The inter bank exchange rate was around 1.51 at the time of my stay.

Unusually my credit card statement for the dual rate voucher transactions only shows GBP, no EUR amount with the rate of exchange to convert it in to GBP. Transactions only receipted in EUR in the normal way appeared on my statement with the EUR amount, exchange rate to convert it to GBP. The dual priced slips did show an exchange rate albeit the other way round and one did have the words "Transactions can be carried out in Euros", the retailer (& car hire company) made no attempt to point that out. Of course it was too late once I spotted the lower rate of exchange.

It would appear retailers and/or their credit card handler is making a fair mark up there. As I see it, usually credit card transactions exchange rate conversions are calculated by the card issuer not retailer or the retailers card handling device. I could take the matter up with my credit card issuer, however if all they see with exchange rates is what I see on my statement then there is no indication of the cost of goods I purchased in EUR, only the GBP rate. I will therefore have to submit photocopies of the vouchers, though the amount is not huge it is the principle that using credit cards for transactions abroad gives by far the most favourable exchange rates.

Has anyone else had any experience of this either in Ireland or other countries in the Euro zone with UK/US etc. credit cards?

Reply to
Phil Richards
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"Phil Richards" wrote in message news: snipped-for-privacy@News.Individual.NET...

Yes, many times in the ROI. It's called 'dynamic currency conversion' and by Googling you get several companies offering it. Basically, the retailer enters into an agreement with their card processing company. When a foreign card is swiped, the processor 'dynamically' =instantly converts the amount into the card's billing currency and displays both amounts on terminal. At this point the retailer is supposed to ask the customer if they wish to proceed either in euro or sterling (or in any major currency the card is in), but often this doesn't happen. By default the transaction goes through in sterling and that's what will appear on your statement. I've found the exchange rates used for DCC are about 3% worse than interbank and retailer shares the profit with card processor. As I use Nationwide cards exclusively abroad that don't charge any currency commission (typically 2.75%), I would be worse off. I now make the point of always stating clearly before the card is swiped that I want to be billed in euro and refuse to accept transaction processed in sterling. Retailers usually are quite good about it, but sometimes you get a quizzical look and once or twice outright rejection. In such cases I take my customs elsewhere or settle in euro cash. It's worth pointing out that DCC can happen on online or telephone transaction, and you only find out about it when you see your statement or check your account online. So it's worth making your speech when quoting your card number over the phone, though there isn't much you can do about online payment. While DCC is widespread in ROI, it's offered in many European countries, in UK and now in US.

Alec

Reply to
Alec

It's offered in several shopping places in Citi d'Europe in Calais too. I always go for Euro but I usually find the stream of Brits pouring thru'the till before me always want to pay in Sterling, especially the old folk.

Reply to
Dave Parker

Phil

Are you sure the second figure is GBP? I haven't been in the ROI for over a year but visa receipts and price tags used to show prices in both EUR and Irish Pounds, just as in France they still show them in EUR and Fr.

Peter

Reply to
Peter Gray

Definitely GBP. I think you'll find pricing on receipts, price tags etc. is now virtually all EUR with rarely any mention if at all of the old Irish Punt.

Reply to
Phil Richards

Thanks very much indeed for your clarification and explanation. I had an idea this was the case and was dependant on their credit card terminal and handler. Presumably the customer is always able to see evidence from this from what is printed on the voucher before signing?

Which I wasn't in the two cases I mentioned. I'll be more on the ball next time I'm over there and before my card is swiped and keys pressed on the terminal. Fine in English speaking countries but I could see a lot more people being surcharged by retailers in other countries when it comes to language differences.

Exactly. Presumably my card issuer (which happens to be Nationwide too) won't see the EUR amount either, the only evidence is on my copy of the slip. I'll still be taking it up with them though not their fault, they could I suppose "back charge" the difference to the retailer as a dispute.

Another transaction took place a few days later on the phone when in Ireland when I extended my car hire priced entirely in EUR. The extra amount got quoted in EUR on the phone then (like the main part of the car hire charge paid on collection at the airport) I was billed in GBP at a much worse rate of exchange.

Reply to
Phil Richards

"Alec" schrieb im Newsbeitrag news:40807ef5$0$25239$ snipped-for-privacy@news-text.dial.pipex.com...

Will this happen to me too if I buy something at amazon.co.uk with a EUR credit card?

Reply to
Count Zero

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