I could see why a lot of foreign spending isn't good for the bank: transaction fees in the US average 2% but are capped at 0.3% in the EU. If you only make 0.3% in fee revenue but have to pay 1% in rewards, that can get pretty costly. Especially if that customer doesn't carry a balance and hence doesn't bring in interest revenue. That said, I also haven't heard of cards being closed for foreign spending and I have used mine primarily abroad for years.Sorry if this question has been answered, but is this actually a problem? Do people actually get punished for too much spending?so long as your US credit card has no foreign transaction fee (FTF), gives you some kind of points or cashback, and isn't going to drop you because of perpetual foreign usage
Statistics: Posted by HKexpat — Sun Sep 01, 2024 8:27 pm — Replies 27 — Views 4025