Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.




154 posts

Master Geek


# 141023 27-Feb-2014 12:36
Send private message

Does NZ have any credit card that offers zero fees for processing transactions in foreign currency? Australia has the 28 Degrees Master Card which is not available here, and all the main banks charge 2.5%. Anyone know of a better alternative for someone who makes a lot of purchases overseas?

Create new topic
28105 posts

Uber Geek

Moderator
Trusted
Biddle Corp
Lifetime subscriber

  # 995455 27-Feb-2014 12:42
Send private message

The credit card companies charge for foreign conversion, so any bank offering this has to pay this cost.

The simplest option is to use a credit card with foreign funds on it such as one of the numerous travel cards in the marketplace.

Edit: Just looked and 28degrees is just a travel card. So the answer is yes, there are plenty of such options that work in exactly the same way.





3295 posts

Uber Geek

Trusted

  # 995457 27-Feb-2014 12:46
Send private message

But what exchange rate do they use?

 
 
 
 


28105 posts

Uber Geek

Moderator
Trusted
Biddle Corp
Lifetime subscriber

  # 995459 27-Feb-2014 12:49
Send private message

bazzer: But what exchange rate do they use?


Whatever rate you purchased the money at.





154 posts

Master Geek


  # 995460 27-Feb-2014 12:50
Send private message

28 Degrees is a normal credit card though, you don't preload it with currency and it gives you credit. It's also AUD based (I was living in Melbourne when I had one) and they happen to give you really good forex rates in addition to the no transaction fees. No idea how they made money if you pay it off each month! Wondering if there is a similar card but in NZ/NZD.

3095 posts

Uber Geek

Trusted
Subscriber

  # 995467 27-Feb-2014 12:57
Send private message

sbiddle: The credit card companies charge for foreign conversion, so any bank offering this has to pay this cost.

The simplest option is to use a credit card with foreign funds on it such as one of the numerous travel cards in the marketplace.

Edit: Just looked and 28degrees is just a travel card. So the answer is yes, there are plenty of such options that work in exactly the same way.


And yet, there are no less than like 20 US banks that offer a No Foreign Currency Fee card (including American Express, which can easily do it since they are the issuer, processor and acquirer)

14971 posts

Uber Geek

Trusted
Subscriber

  # 995473 27-Feb-2014 13:12
Send private message

I just use my regular credit card, the charges never seemed too unreasonable. I know people who use foreign currency cards, they probably get a better rate, but you might gain a few percent.

I just looked at the kiwibank cash passport, whatever it's called. You might get a slightly better rate, but there's fees for all kinds of things like balance checks, opening the account, closing the account, etc. For a smaller trip those fees would could cost more than your savings. Then there's the overhead of getting it loading it, etc. I think I'll skip it and use my regular credit card.

Banana?
4803 posts

Uber Geek

Subscriber

  # 995491 27-Feb-2014 13:56
Send private message

Pretty sure there are no fees to use the AirNZ One Smart card overseas.

There are fees to load money onto it though (so it is better to load a big lump rather than lots of small lumps).

Not a credit card though.

 
 
 
 


2078 posts

Uber Geek

Subscriber

  # 995523 27-Feb-2014 14:32
Send private message

trig42: Pretty sure there are no fees to use the AirNZ One Smart card overseas.

There are fees to load money onto it though (so it is better to load a big lump rather than lots of small lumps).

Not a credit card though.


The fees have changed on One Smart since you looked at it.

They dropped the "load" fee and instituted a $1/month fee.

The exchange rate they offer has a few percent markup in it which is where they make their money.

240 posts

Master Geek


  # 1110139 17-Aug-2014 21:40
Send private message

I have the 28 Degrees card in Australia and have been looking for a similar card in NZ as well (there are numerous other no foreign currency fee cards in Australia as well from Bankwest, NAB etc).

The best I have found in NZ so far is the Warehouse Rewards Mastercard, which has a 1% foreign currency fee, but does have a $34 annual fee - that could be a better option than the Cash Passport because you get the Mastercard exchange rate on purchases, not the reload exchange rate set by Cash Passport which will be a few percent lower.

3885 posts

Uber Geek

Subscriber

  # 1110155 17-Aug-2014 22:07

BLazeD: 28 Degrees is a normal credit card though, you don't preload it with currency and it gives you credit. It's also AUD based (I was living in Melbourne when I had one) and they happen to give you really good forex rates in addition to the no transaction fees. No idea how they made money if you pay it off each month! Wondering if there is a similar card but in NZ/NZD.


They make money on the fees they charge retailers on credit card transactions. If we assume that the retailer is paying 2% of the transaction amount, And you spend $1000 per month on the card. The card company has made $20 just on those fees. So in alot of cases the credit card companies will make bigger profits off people who pay off the full amount each month. Than those who owe $1000 but who only pay the interest each month.

And this is also the reason why some retailers charge an extra fee if you are paying by credit card.

13055 posts

Uber Geek

Trusted
Lifetime subscriber

  # 1110338 18-Aug-2014 11:14
Send private message

Sorry - did I misread? Were you looking for something free from a banking institution in New Zealand?! Good one!





22334 posts

Uber Geek

Trusted
Subscriber

  # 1110375 18-Aug-2014 11:51
Send private message

None of the cards available I have looked at allow loading foreign money to them. Only loading nzd and then converting t
At their crap rates.

So I just take cash.




Richard rich.ms

Create new topic



Twitter and LinkedIn »



Follow us to receive Twitter updates when new discussions are posted in our forums:



Follow us to receive Twitter updates when news items and blogs are posted in our frontpage:



Follow us to receive Twitter updates when tech item prices are listed in our price comparison site:





News »

Kiwi workers still falling victim to old cyber tricks
Posted 12-Aug-2019 20:47


Lightning Lab GovTech launches 2019 programme
Posted 12-Aug-2019 20:41


Epson launches portable laser projector
Posted 12-Aug-2019 20:27


Huawei launches new distributed HarmonyOS
Posted 12-Aug-2019 20:20


Lenovo introduces single-socket servers for edge and data-intensive workloads
Posted 9-Aug-2019 21:26


The Document Foundation announces LibreOffice 6.3
Posted 9-Aug-2019 16:57


Symantec sell enterprise security assets for US$ 10.7 billion to Broadcom
Posted 9-Aug-2019 16:43


Artificial tongue can distinguish whisky and identify counterfeits
Posted 8-Aug-2019 20:20


Toyota and Preferred Networks to develop service robots
Posted 8-Aug-2019 20:11


Vodafone introduces new Vodafone TV device
Posted 7-Aug-2019 17:16


Intel announces next-generation Intel Xeon Scalable processors with up to 56 cores
Posted 7-Aug-2019 15:41


Nokia 2.2 released in New Zealand
Posted 5-Aug-2019 19:38


2degrees celebrating ten years
Posted 5-Aug-2019 05:00


Sure Petcare launches SureFeed microchip pet feeder
Posted 2-Aug-2019 17:00


Symantec Threat Intelligence: revival and rise of email extortion scams
Posted 2-Aug-2019 16:55



Geekzone Live »

Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.


Support Geekzone »

Our community of supporters help make Geekzone possible. Click the button below to join them.

Support Geezone on PressPatron



Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.

Alternatively, you can receive a daily email with Geekzone updates.