Glossary entry

Foreign transaction fee

A foreign transaction fee is a charge some card issuers add to purchases or withdrawals made in another currency or processed abroad, often as a percentage of the amount. Not all cards charge it, and the figure differs by issuer and product, so check your own cardholder agreement or ask your issuer before you travel. It is separate from any margin in the exchange rate and from an ATM operator fee. Knowing which of your cards charges the least helps you choose which one to use at a shop in Japan. See also: ATM operator fee, cash advance, and the guide ATMs and Fees in Japan.