Onboard Expense Acount: Currency conversion "which one?"

[Baybear]

On a Celebrity Onboard Expense Account form there are two choices:

 

1) I choose to let Celebrity Cruises use their Currency Conversion program which is based on the wholesale exchange rates collected from Bloomberg (Mayor Bloomberg of NYC???... OK that's a joke...) plus a 3% international currency conversion fee.

 

2) I choose to have my credit card issuer convert my onboard charges to the currency of my card in lieu of participating in the Celebrity Cruises currency conversion program.

 

Do any of you know (assuming you're from the USA and have a US credit card) if there is an advantage or disadvantage to either one of these choices?

 

This choice may or may not have any meaning for US passengers. But maybe it does...???

 

TIA

[trabeler]

This only applies if your credit card default currency is not in US dollars (which is the ship currency no matter where in the world you're sailing).

 

But if you need to select an option, pick #2.

[Phxazzcruisers]

It does not pertain at all to US residents that have a US currency charge card. US dollars is the currency that all cruise expenses are billed in no matter where the ship sails

[cruisestitch]

doesn't apply to US credit card holders

[Baybear]

doesn't apply to US credit card holders

 

Good. That's what I thought. Now I know what to check.

 

Thanks All!!

[UniPac]

#2 would be also the better choice for non-US residents, rights?

[steandho]

#2 would be also the better choice for non-US residents, rights?

Yes. I am a resident of Canada. If my bank does the conversion the rate is better. If Celebrity (or their bank) does the conversion the rate is

never in my favour.

[Happy Cruiser 6143]

Same theory applies to credit card transactions in a country not your own. Always have the transaction charged in the local currency and let your credit card company do the currency conversion. You will come out ahead.

[QueScaisJe]

Same theory applies to credit card transactions in a country not your own. Always have the transaction charged in the local currency and let your credit card company do the currency conversion. You will come out ahead.

 

Especially true for credit cards that don't charge FX conversion fees, e.g. Capital One in the US, and Chase in Canada.

[FRMPEI]

I am also from Canada and I always choose the option (#2) of putting it directly on my Canadian $ credit card . I have always found this to be the best way and rate when using my CC outside of Canada EH!

 

Regards,

Kevin Reid

[K-Roo-Zers]

We are from Australia and agree with above posters, option 2 is the only way to go!!

 

Nicki

[Vineyardfan]

Same theory applies to credit card transactions in a country not your own. Always have the transaction charged in the local currency and let your credit card company do the currency conversion. You will come out ahead.

 

True. Last couple of years it's become quite common to be asked if you want to pay in local currency or your own currency when travelling. The exchange rate is always much, much worse if you chose to pay in your own currency.

 

This has become a major source of revenue for the credit card transaction companies, and also for the shops, hotels etc connected to these systems as they split the currency conversion profits between them when you pay in your own currency.

[ghstudio]

Many think that if you have your purchase in a foreign country converted to $'s, then there will be no foreign transaction fee by your credit card company. That's wrong! The credit card company charges the foreign transaction fee based on where you made the charge, not the currency.

 

The rule of thumb is to always charge in the currency in which you are quoted a price....that is, if you are negotiating for a rug in india in $'s, then charge in $'s.....if you are negotiating in rupees, then charge in rupees. If you are in a restaurant, charge in the local currency....and so on.