Foreign exchange rate charge on credit card

[vijaypathak077]

dear frnds, i yesterday brought one gadget on Ali express mode of payment was credit card in dollars ,But i was unaware of fx charges applicable on it, When got the sms from citi.. their they had mentioned foreign currency exchange rate applicable,
So my question is that can we as them to waive it off?

 

[Nishant]

You can't.

 

[Sushubh]

I have to admit I did not understand your query. When you buy something in non-rupee currency, the credit card company converts it to INR through their own conversion rate I believe.

 

[vijaypathak077]

yes but there are charging 3.5% of transaction value as service charge to convert it into INR...

 

[Sushubh]

well they are indeed offering you a service aren't they?

 

[Nishant]

This used to happen when buying apps from Google Play when the amount shown was in US$.

 

[fusion123]

yes but there are charging 3.5% of transaction value as service charge to convert it into INR...

All banks charge this markup on foreign exchange transactions on their credit cards. I've been using Citibank card for over 10 yrs now and they have always charged this 3.5% fee on any forex txns whether its online purchases through Ali Express or Point of Sale txns abroad. This is how the make money. It is non reversible unfortunately.