Most American Express cards charge 2% to 3% on purchases made outside the United States, but some premium cards and business cards waive the fee entirely

Whether your Amex card charges a foreign transaction fee depends on which specific card you hold. American Express publishes the fee for each card in its terms and conditions, usually listed as a percentage of the transaction amount. The fee applies when you use the card to buy something in a foreign currency or when a U.S. merchant processes the transaction through a foreign payment network.

Foreign transaction fees are separate from currency conversion markups. When you spend money abroad, Amex converts the foreign currency to U.S. dollars using its own exchange rate, which typically includes a markup above the mid-market rate. The foreign transaction fee is charged on top of that conversion cost.

Key Takeaways

  • Standard Amex consumer cards like the Blue Cash and Green Card charge 2% to 3% on foreign transactions, while premium cards like the Platinum Card charge 0%.
  • The foreign transaction fee applies to any purchase made in a foreign currency or processed through a non-U.S. payment network, whether you're traveling or shopping online.
  • You can find the exact foreign transaction fee for your card in the Amex terms and conditions document or by calling the customer service number on the back of your card.
  • Some Amex business cards also waive foreign transaction fees, though the specific cards that do vary from consumer offerings.

Which Amex cards charge foreign transaction fees

American Express organizes its cards into tiers, and the foreign transaction fee typically decreases as the annual fee increases. The Blue Cash Everyday and Blue Cash Preferred cards charge 2% on foreign transactions. The Green Card charges 3%. The Gold Card and Platinum Card both charge 0% on foreign transactions.

Business cards follow a similar pattern. The Business Blue Card charges 2%, while the Business Platinum Card charges 0%. Amex also offers co-branded cards in partnership with airlines and hotels; the foreign transaction fee on these cards varies by partner and card, so you will need to check the specific terms for the card you hold.

Amex occasionally updates its card offerings and terms, so the fee structure for a card you already hold may differ from what a new applicant would see. If you are unsure about your current card's fee, the most reliable source is the terms and conditions document Amex mailed with your card or the version available through your online account.

How foreign transaction fees are calculated

The foreign transaction fee is calculated as a percentage of the transaction amount in U.S. dollars, after Amex converts the foreign currency. If you spend 100 euros and Amex converts that to $110, a 2% foreign transaction fee would be $2.20, added to your statement.

The fee applies whether you initiate the transaction in a foreign country or from home. Buying something from a European retail's website while sitting in the United States can trigger the fee if the transaction is processed in a foreign currency or through a foreign payment network. Conversely, some U.S.-based merchants with international operations may process your transaction through a U.S. network even if you are physically abroad, which would not trigger the fee.

Cards that waive foreign transaction fees

The American Express Platinum Card is Amex's primary consumer card with no foreign transaction fee. It carries a $695 annual fee and is marketed toward frequent travelers and high-spending customers. The card also includes benefits like airline fee credits, hotel elite status, and lounge access that may offset the annual cost for certain users.

The American Express Gold Card also charges 0% on foreign transactions and has a $250 annual fee. It is positioned as a mid-tier card and includes benefits like dining credits and airline fee credits.

For business users, the Business Platinum Card waives foreign transaction fees and carries a $595 annual fee. The Business Gold Card charges 0% on foreign transactions and has a $295 annual fee.

What happens when you use your Amex card abroad

When you use an Amex card outside the United States, the transaction goes through Amex's payment network, which converts the foreign currency to U.S. dollars. Amex applies its own exchange rate, which includes a markup above the mid-market rate. This markup is separate from the foreign transaction fee and applies to all Amex cards, regardless of whether they charge a foreign transaction fee.

Some merchants abroad may offer to convert your transaction to U.S. dollars at the point of sale, a practice called dynamic currency conversion. Amex recommends declining this option and allowing Amex to perform the conversion instead, as the merchant's offered rate is typically less favorable than Amex's rate.

If you use an ATM abroad to withdraw cash, Amex may charge a cash advance fee in addition to any foreign transaction fee. Cash advances typically carry a higher fee than purchases and may also accrue interest when ready, so using your card for purchases rather than cash withdrawals is usually less expensive.

How to find your card's foreign transaction fee

The most direct way to confirm your card's foreign transaction fee is to log into your Amex account online and view the card's terms and conditions. Amex provides a link to the full terms document, which lists the foreign transaction fee in the section covering fees and charges.

You can also call the customer service number on the back of your Amex card and ask a representative for the foreign transaction fee on your specific card. Have your card number ready, as the representative will need it to pull up your account.

If you are considering opening a new Amex card, the foreign transaction fee is listed in the terms and conditions on the card's product page on Amex's website, usually under a section labeled "Fees" or "Pricing Information."

Frequently Asked Questions

Does American Express charge foreign transaction fees on all purchases abroad?

No. The fee applies only to transactions made in a foreign currency or processed through a foreign payment network. Some U.S. merchants operating abroad may process your transaction through a U.S. network, which would not trigger the fee. The fee also does not explore to cash advances or balance transfers.

Is the foreign transaction fee the same as the currency conversion markup?

No. They are two separate charges. The currency conversion markup is Amex's spread above the mid-market exchange rate and applies to all Amex cards. The foreign transaction fee is an additional percentage charge that applies only to cards that have one. Both charges appear on your statement.

Can I avoid the foreign transaction fee by using a different payment method?

Yes. Using a debit card, a credit card from another issuer, or cash can avoid Amex's foreign transaction fee if those alternatives do not charge one. However, you would lose any rewards or protections your Amex card offers. Compare the fee cost against the value of rewards you would earn on the purchase.

Do Amex business cards have different foreign transaction fees than consumer cards?

Amex business cards follow a similar fee structure to consumer cards, with premium business cards like the Business Platinum waiving the fee and standard business cards charging 2% to 3%. The specific fee depends on which business card you hold.

What should I do if I see a foreign transaction fee I don't recognize on my statement?

Contact Amex customer service using the number on the back of your card. Provide the transaction details, including the merchant name, date, and amount. A representative can explain why the fee was charged and whether it was applied correctly based on your card's terms.