Visa/Master Card

[denboy]

Lookin for enlightenment.

Recently I paid a hospital bill by mastercard for 73,522 Thai Bhat. My insurance company exchanged that to 1507 GBP. My mastercard account shows 1602 GBP. Quite a hefty 95 GBP extra.

I know that sometimes in Thailand they will tell you there is 4% extra but that is usually written into the bill. So I am wondering were the extra was charged. My card is settled by diect debit every month so there is no accrued interest from mastercard.

So before I phone mastercard I am wondering have a missed something.

Anyone she da light please.

Cheers

[Thanyaburi Mac]

Could be two common charges via the UK bank that issued the card:

-- first might be shown on the monthly bill as a "foreign exchange" fee;

-- second might be a 1%-3% charge for using the card in a foreign country.

These are two reasons why I don't use my Visa or MasterCards over here, but I do carry them along for emergencies, such as unplanned hospitalization.

Mac

[Swiss1960]

Easy...

your insurance company will use a very low exchange rate, as they have to pay the money back to you... and depending on your insurance policy, they might not be willing to pay for everything (i.e. food, telephone cost etc. that they take off the invoice)

your credit card company (you did not say which one) will use the highest possible exchange rate and add whatever foreign exhange fees / TT add up percentage that your credit card contract allowes...

so without you having the detailed explanations for both companies, your guess is as good as anybody's guess... AND you don't phone MasterCard, you call your credit care issuing bank...

[astral]

Credit card rates are always less advantageous

There will have been various "fees" added

and since it was a international transaction you were probably

charged interest from day one.

It all adds up...........

I try to get my insurance company to deal with the hospital directly

leaving me out of the loop

[SlyAnimal]

2% off shore service margins will likely be included in the amount plus exchange fluctuations (since they're repaying you on a different day in a different currency)

Also the exchange rate used on a direct purchase is I think your banks rate, which will be bad. Withdrawing from an ATM will use the atm's bank's exchange rate which will be better and vary between banks, but charge a service fee of 150฿ in addition to your visa/MasterCard cash withdrawal fee

Could also be an excess too, I dunno

[denboy]

Credit card rates are always less advantageous

There will have been various "fees" added

and since it was a international transaction you were probably

charged interest from day one.

It all adds up...........

I try to get my insurance company to deal with the hospital directly

leaving me out of the loop

I reckon you are correct when you say 'charged interest from day one on a overseas transaction"

Unfortunately my health insurers card was not acceptable so I had no alternative but to pay via mastercard as it was an ermergency situation.

[puck2]

Consider the DCC (=Dynamic Currency Conversion). There is a high probability that the hospital used it. And there will be some non-refundable fees.

Example:

SCB (Siam Commercial Bank) today:

Last T/T-rate 48.84125 -> 1.505,33 GBP

DCC-rate 46.7899175 -> 1.571,32 GBP

Diff.: 65,99 GBP

[denboy]

Consider the DCC (=Dynamic Currency Conversion). There is a high probability that the hospital used it. And there will be some non-refundable fees.

Example:

SCB (Siam Commercial Bank) today:

Last T/T-rate 48.84125 -> 1.505,33 GBP

DCC-rate 46.7899175 -> 1.571,32 GBP

Diff.: 65,99 GBP

You assume correct, I have checked my visa account and it appears that the hospital made the DCC and presented GBP to my visa account. Surely they are onliged to inform you of this practice when settling the bill. A trip in the lift downstairs to the grounf floor bank would have saved me a 100 GBP.

I'm in Isaan at present but will visit the hospital finance dept on my return to Pattaya and see if I can claim some reimbursement.

[evadgib]

Buyer beware! This (converting to you home currency) is a common ploy in Thailand & is either not mentioned or made to sound like they're doing you a favour.

"Asia's Booty Airlie" (Bkk Airways) do it on a regular basis but will back-track if you're observant enough to notice.

Edited April 18, 2012 by evadgib

[h90]

Easy...

your insurance company will use a very low exchange rate, as they have to pay the money back to you... and depending on your insurance policy, they might not be willing to pay for everything (i.e. food, telephone cost etc. that they take off the invoice)

your credit card company (you did not say which one) will use the highest possible exchange rate and add whatever foreign exhange fees / TT add up percentage that your credit card contract allowes...

so without you having the detailed explanations for both companies, your guess is as good as anybody's guess... AND you don't phone MasterCard, you call your credit care issuing bank...

Customs (as the opposite extreme) uses a very strange exchange rate. An averaged exchange rate+ an allowance for fluctuations.

Maybe the insurance is doing something similar.