Using Overseas Credit Cards In Thailand

[Mason45]

Is it possible to use a non Thai VISA credit card in major shopping outlets such as BIG C, Tesco and Carrefour etc in Thailand, I've just moved into a new house and need some credit for a TV, stereo, fridge and washing machine etc while I'm waiting for a large term deposit to mature in my country. Thanks.

[JimGant]

Sure. But it's a good idea to notify your issuing bank that you plan to use your card in Thailand. Otherwise, they may freeze it.

Also, be aware that, as with ATM/Debit cards, many issuing banks charge fees for using your card abroad. These fees are in addition to the foreign transaction fee charged by the network (Visa or MC are the biggies). In the US, both Chase and Bank of America charge at least 3% for using your card abroad (maybe more now -- haven't checked lately). Most of the other big banks do too.

One other thing to watch for: Don't let the merchant charge you in your home currency. (Search on "DCC" if you're curious.) This will cost you a lot more than if the transaction were in baht -- especially if you're making some large appliance purchases. Tell them ahead of time you want "baht."

I've never had this problem in Carrefour. But I have in Home Pro. Had to call the supervisor to cancel the charge -- cashier played dumb. Now when I hand them my credit card, I just say "baht." They nod -- and reach under the counter to reset the appropriate button.

Edited October 3, 2009 by JimGant

[taffylee]

It is a good idea to have your passport with you when you do make these purchases, it may help satisfy a nervous cashier.

Credit Card fraud is rampant in Thailand and chip and pin systems are extremely rare, with this in mind retailers treat everyone with suspicion

I have often been refused the facility of using my UK card and directed to the nearest cash point in order to complete the purchase.

[clinique]

Have never had a problem using my overseas cards in Thailand.(10 years+)

Either advise your card issuer that you plan to use your card in Thailand OR make sure thye have a contact number for you or yes they may reject the transaction/freeze your card till they can confirm it is you using it.

Some places will charge you 3-5% on top of total price, for processing with credit card.

HAve your passport with you just in case (you should always carry it anyway).

Usually big stores OK but better safe than sorry; DONT let the card out of your sight, if possible (usually is) WATCH the card being swiped.

Recieve both a credit card processing slip, and a cash register receipt - check both before signing.

otherwise enjoy shopping...

[Hawaiian]

Never had a problem using my Capital One Visa card. No foreign currency exchange fee and very fair exchange rate. They do require a travel advisory notification with country(ies) and dates of travel. Only use my card in larger department stores and for the rent at the serviced apartment. And normally for transactions amounting to 3000 baht or more.

I have also bought travel packages where the agency tacked on 3% or so with my consent.

[longball53098]

If using the card directly with vendors is an issue for you then a trip to the bank and get a cash advance using the CC you have.

[phetaroi]

It is a good idea to have your passport with you when you do make these purchases, it may help satisfy a nervous cashier.

Credit Card fraud is rampant in Thailand and chip and pin systems are extremely rare, with this in mind retailers treat everyone with suspicion

I have often been refused the facility of using my UK card and directed to the nearest cash point in order to complete the purchase.

Yes, this happened to me just last night with 4 American credit cards. I was buying a rather expensive computer at one of the better shops in Pantip (a truly authorized representative of HP, recommended by HP). Supposedly, all 4 of my American credit cards didn't work...maybe true for one, but no way 4 for 4. And at one point she did ask if I had my passport. Clearly, they just wanted to deal in cash.

[simcity]

never had problem using my NAB or ANZ visa (australia)

the conversion rates is good (thai baht to AU$)

they take 3,25% charges for oversea purchase, it is why i stop using them (bank in australia) not Lotus or BC

in pantip they ask to see my passport and charge 1.75% extra on the bill

Edited October 4, 2009 by simcity

[Bagwan]

It is a good idea to have your passport with you when you do make these purchases, it may help satisfy a nervous cashier.

Credit Card fraud is rampant in Thailand and chip and pin systems are extremely rare, with this in mind retailers treat everyone with suspicion

I have often been refused the facility of using my UK card and directed to the nearest cash point in order to complete the purchase.

I can well understand the cashier being nervous if, as in so many other concerns, she will have to foot the bill if fraud occurs. In at least one Pattaya hospital if you do a runner and don't pay the bill, the nurse has to reimburse the doctor. Totally scandalous.

On the other hand, if a shop practically accused me of ill doing, I should feel obliged to point out that there isn't a Sale of Goods Act here in Thailand and the chances of me being ripped off are far greater than vice versa. Unless placated, I should thank the shop for their discourtesy and take my business elsewhere.

In both the Visa and Mastercard contracts with banks it is clearly stated that loading the invoice amount to cover the usual 3% charge is not permitted. Of course the crooked Thai banks either don't pass this on to the retailers,or if they do, the retailer ignores the provisions of the contract. Some have tried to charge me, none have succeeded. On one occasions I left the goods, value in excess of 40K, in the shop and bought from a shop directly opposite in full view of a fuming shop manager. The invoice amount was lower too.

[hanno]

Evey time I have used my Vietcombank card in Thailand, the bank either froze it immediately (if I hadn't notified them) or after i got back (if I did). Major pain in the bu**.

[JimGant]

If using the card directly with vendors is an issue for you then a trip to the bank and get a cash advance using the CC you have.

That can really be expensive. First, your issuing bank charges you a 'cash advance' fee, usually stacked unto all the other fees associated with CC usage abroad. Then, you start paying interest from the second you receive the advance -- no 20-30 day grace period as with a point of sale charge. And, the bank where you receive the cash advance can also extract a farily large amount. Look at the below link from SCB. Note towards the bottom the crummy exchange rate for a cash advance.

SCB Link

The differential cost in this example is 3.3% off the TT rate -- the rate you'd get with a SWIFT wire. That's significant -- especially when added to what your issuing bank is charging.

Not sure all Thai banks have such a crummy exchange rate for 'cash advances.' But even if not, the extra you pay your issuing bank for a cash advance should put such activity in the 'emergency only' mode.

[Crossy]

I've used my UK card in major outlets without problems, however I avoid using it in the small more 'suspect' places.

Good advice on asking to be charged in Baht, HomePro particularly want to charge in home currency

[CaptHaddock]

Never had a problem using my Capital One Visa card. No foreign currency exchange fee and very fair exchange rate. They do require a travel advisory notification with country(ies) and dates of travel. Only use my card in larger department stores and for the rent at the serviced apartment. And normally for transactions amounting to 3000 baht or more.

I have also bought travel packages where the agency tacked on 3% or so with my consent.

Hawaiian,

Do you live in Thailand or are you just visiting? I am wondering how to manage US credit card use in Thailand after I retire there. I assume that you can't tell the CC company that you now live in Thailand or they will deny you the card. I understand that you can use a US address, but your charges will be Thailand and the company will notice.

How do you US expats handle credit cards and atm cards? How do you get replacement cards?

[Johpa]

Note that on November 1st Mastercard is initiating even higher fees to merchants in the US when a customer uses a non-domestic card. They already often screw the card user through poor exchange rates. I assume this trend will soon be followed by VISA as well as instituted globally. Be prepared to see more and more smaller shops decline to accept non-domestic cards of any persuasion. Me thinks the trend will be back to the future with travelers checks becoming popular again, or perhaps prepaid cards. But before you use a non-domestic card overseas, call your card issuer to explain the fine print.

Edited October 4, 2009 by Johpa

[vagabond48]

Never had a problem using my Capital One Visa card. No foreign currency exchange fee and very fair exchange rate. They do require a travel advisory notification with country(ies) and dates of travel. Only use my card in larger department stores and for the rent at the serviced apartment. And normally for transactions amounting to 3000 baht or more.

I have also bought travel packages where the agency tacked on 3% or so with my consent.

Hawaiian,

I am wondering how to manage US credit card use in Thailand after I retire there. I assume that you can't tell the CC company that you now live in Thailand or they will deny you the card. I understand that you can use a US address, but your charges will be Thailand and the company will notice.

How do you US expats handle credit cards and atm cards? How do you get replacement cards?

I use a Thai PO box address on both my USA based CCs and 1 of my DCs and the replacements are, of course, mailed here.

[JimGant]

In both the Visa and Mastercard contracts with banks it is clearly stated that loading the invoice amount to cover the usual 3% charge is not permitted.

However, Catch-22 says merchants may offer "cash purchase" discounts. So, if the merchant tells you that prices reflect the discount cash purchase price, which is 3% less than the non-discount credit card price, what's to argue?

Even some airlines will add a credit card surcharge -- if you're buying a discounted ticket -- as the understanding is you're buying a 'discounted for cash customers' ticket. They can't do this with full-fare tickets.

Sneaky, yes. Not sure I'd want to waste the time arguing the point. But, yeah, the cost of convenience can add up.

[Johpa]

In both the Visa and Mastercard contracts with banks it is clearly stated that loading the invoice amount to cover the usual 3% charge is not permitted.

Yes, but it is a part of the contract in the US and not in all countries, and a clause even in the US that is commonly defied without retribution or legal entanglements. It is very common in the business world to see this ignored and a surcharge added, less common in the retail environment although both are covered by similar contracts. In the US, still the legal home of the MC & VISA, these stipulations in the contract date back to some scandals with gas credit cards and Green stamps. Ask you grandmother for details. The banking consortium dares not have the legal enforceability of this clause go to court and end up being on the wrong side of that decision. They don't want anything that might jeopardize their gravy train.

[Hawaiian]

CaptHaddock, My Thai wife and I live in Hawaii and normally visit Thailand once or twice a year. Had her dump her Thai issued Citibank Visa and got a free one from our local bank where her account is. As for your situation, looks like vagabond48 has your answer.

[phetaroi]

Do you live in Thailand or are you just visiting? I am wondering how to manage US credit card use in Thailand after I retire there. I assume that you can't tell the CC company that you now live in Thailand or they will deny you the card. I understand that you can use a US address, but your charges will be Thailand and the company will notice.

I am waiting to find the answer to this :-) I have been living here for 5 months now and I think one credit card is already figuring it out. I suspect they will cut me off any day now. The others I haven't really been using yet. My HSBC Premiere account in America said they didn't care as long as I had an American mailing address...we shall see. But, in another month I should be able to get a credit card here.

[cheshiremusicman]

Do you live in Thailand or are you just visiting? I am wondering how to manage US credit card use in Thailand after I retire there. I assume that you can't tell the CC company that you now live in Thailand or they will deny you the card. I understand that you can use a US address, but your charges will be Thailand and the company will notice.

I am waiting to find the answer to this :-) I have been living here for 5 months now and I think one credit card is already figuring it out. I suspect they will cut me off any day now. The others I haven't really been using yet. My HSBC Premiere account in America said they didn't care as long as I had an American mailing address...we shall see. But, in another month I should be able to get a credit card here.

I was under the impression that the Thai banks would not issue credit cards to foreigners, is this true or not?

[happylarry]

You need to have a current account (not a savings account) and to qualify for a current account you need to have an official work permit of course.

On top of that I believe there would be a minimum wage needed before they granted you a credit card.

I have not had experience of this as I am retired but that is my understanding of it.

HL

[ChalongBoy]

You need to have a current account (not a savings account) and to qualify for a current account you need to have an official work permit of course.

On top of that I believe there would be a minimum wage needed before they granted you a credit card.

I have not had experience of this as I am retired but that is my understanding of it.

HL

Burning is allowed in Thailand so let me clear the pile!

I have some US cards and they ALL have different rules. flat charge for oversease use, no charge for oversease use if you reside that as sole palce of res. etc.

The killer here is the juice (% cost) plus the bad rate of exchange. I could be at a 8% pinch total for some cards.

I've a Merrill Lynch account that yeild me the daily for date of purchase, no points, and no fee's for transactions. (Tis tied to the overall acc value) No ATM fee so I can xfer to SCB when needed!

Getting a Thai Card. Well , after a few visits to the Amex office where my Merril is located I got a Thai card. Yep, a Thai CC without a work permit! Then after that you can get more accts by going to the bank and showing your Thai Amex. I got my Thai Amex before I moved full time. The Thai office did have a look at the credit rating provided by the U.S. AMex office and they need a letter from ML verified by AMex U.S. etc. Worth it, sure... No I get no charges and Thai Miles. Also, BTW, Thai Amex is easier to use in Asean counties. <deleted>, I used it at Orchard Tower in Singapore! KL is a butt head to use cards but my ML works right away. Tis a Visa link but my rules are totlly different. Limit 2K US per day and 500US per transaction! So, get the off to something like ML and coax them ( with money) into an account platform that offers overseas living help! Recession, what recession?

[phetaroi]

I was under the impression that the Thai banks would not issue credit cards to foreigners, is this true or not?

HSBC told me after I had lived here 6 months.

[vagabond48]

I have been here nearly 3 years and have not needed to use my CC yet. My main VISA CC is from PFCU , as of a year ago, they didn't charged any foreign exchange fee except for the .84% (I assume) that VISA charges and passes along. They also have a rebate of 1.25%, so for me it would be a wash. I did try to use my CC to buy an airline ticket at travel agent, but they wanted to tack on an additional 2% or 3% CC surcharge so I paid cash.

I get my money by withdrawing from ATM machines using my VISA debit card.

Does anyone know if you get the same foreign exchange rate if you either withdraw money using a DC or purchase an item using a CC, assuming both transactions appears on your account at the same time?

[PattayaParent]

In both the Visa and Mastercard contracts with banks it is clearly stated that loading the invoice amount to cover the usual 3% charge is not permitted.

Not so in UK where recently the law has been changed to allow vendors to charge an additional percentage for use of a card.

[Bagwan]

In both the Visa and Mastercard contracts with banks it is clearly stated that loading the invoice amount to cover the usual 3% charge is not permitted.

Not so in UK where recently the law has been changed to allow vendors to charge an additional percentage for use of a card.

Another reason to live in Thailand then. In the unlikely event of me returning to the UK, my credit cards become redundant then as far as I am concerned. I am quite happy to burden my bank with the addition costs of replenishing their ATM more frequently and assisting in wearing the dam_n machine out.

Reading this thread has persuaded me to actually read the terms of my contract with MBNA. I note that if I pay in baht then they will charge me 2.99% of the value of the transaction as a commission. Is the buy/sell exchange rate margin that wide? That seems usury to me. I have always stipulated sterling on the rare occasions that I have used one of my cards and the exchange rate seems acceptable to me.

I have no objection to paying more by using a credit card providing that a lower price will be levied if I pay in cash is made known to me. As every competent politician knows, it isn't what you do but the way that you do it that matters.

[vagabond48]

I get my money by withdrawing from ATM machines using my VISA debit card.

Does anyone know if you get the same foreign exchange rate if you either withdraw money from an ATM machine using a VISA DC or purchase an item using a VISA CC, assuming both transactions appears on your account at the same time?

I haven't left my room since I posted this question, waiting for answer. I ran out of food and I am starting to get hungry and thirsty,

so please,

Does anyone know the answer to my above question?

[jfchandler]

If using the card directly with vendors is an issue for you then a trip to the bank and get a cash advance using the CC you have.

While credit card cash advances are certainly possible, it's about the worst financial move one can make.

Unlike purchases, credit card companies begin charging interest on the day of the advance. There's typically no 25-30 day repayment grace period.

Also, many card companies charge a much higher interest rate on cash advances than they do for regular purchases....

I would always treat a credit card cash advance as a choice of last resort.... unless your card company is offering some special that avoids the problems listed above.

[hunglikea]

the replacements are, of course, mailed here[/i].

Abbey in UK refuse to send a replacement Visa card here as it's listed as a 'high risk country'! So I can't use my current account or internet banking to transfer from current to savings for which I do have a cashcard!

They won't allow any family member in UK to pick up my card and send it here by a 'safe' courier! I pointed out that they have sent a replacement before by courier - their reply was that it incurs a fee and will not be repeated!!

[jfchandler]

I don't think using U.S. credit cards abroad is likely to trigger any cancellations for that reason.

I've been living here full-time for two years, and pretty much all my U.S. credit card charges are based from here. Never had any gripe or grief from my credit cards about that.

That said.... some companies are more fussy than others (not about where you make your charges but) about you maintaining some kind of U.S. mailing address.

That said 2.... I really doubt any U.S. card company would cancel anyone because their charges are abroad. But, many card companies these days are canceling little-used accounts or reducing credit amounts as part of the whole economic meltdown aftermath.

Capital One and Schwab Bank are among the companies that DO NOT charge any extra fees for purchases made abroad. However, Capital One is particularly finicky about freezing your account in the wake of foreign purchases, unless you notify them every 6 months or so that you'll be using the card abroad.

I asked them many times to place a permanent notice in my file with them, but they insist they cannot do it. That their system only allows them to retain that kind of notice for some months. So every now and again, after some time has passed, I'll go to make a purchase and my card gets declined. So I have to go back home, call Cap One, unlock my account, and re-up the..."Yes, I'm traveling abroad" notice.

I know some folks here have changed their mailing address for credit cards to be Thailand. And while that may work OK with some companies, it also can cause problems with others. So rather than risk it, and particularly these days in the era of emailed statements, I just keep my U.S. mailing address as my account address with them.

Do you live in Thailand or are you just visiting? I am wondering how to manage US credit card use in Thailand after I retire there. I assume that you can't tell the CC company that you now live in Thailand or they will deny you the card. I understand that you can use a US address, but your charges will be Thailand and the company will notice.

I am waiting to find the answer to this :-) I have been living here for 5 months now and I think one credit card is already figuring it out. I suspect they will cut me off any day now. The others I haven't really been using yet. My HSBC Premiere account in America said they didn't care as long as I had an American mailing address...we shall see. But, in another month I should be able to get a credit card here.