Bank of America charges foreign transaction fees on most accounts and cards

Bank of America adds a 3% foreign transaction fee to purchases made outside the United States on most of its checking accounts and standard credit cards. This fee applies whether you swipe your card in person, use an ATM, or make an online purchase from a foreign merchant. The fee is calculated on the U.S. dollar amount of the transaction and appears on your statement as a separate line item.

The 3% fee is not automatic across every Bank of America product. Some accounts and cards have different structures, and a small number of premium products waive the fee entirely. The fee applies to the transaction itself, not to currency conversion — Bank of America also converts your purchase to dollars at its own exchange rate, which typically includes a markup beyond the mid-market rate.

If you travel frequently or send money abroad regularly, the cumulative cost of these fees can be substantial. A $100 purchase abroad costs you $103 in U.S. dollars before any currency conversion markup. Over a month of travel or regular international purchases, these charges add up quickly.

Key Takeaways

  • Bank of America's standard foreign transaction fee is 3% on most checking accounts and credit cards.
  • The fee applies to all transactions outside the United States, including ATM withdrawals, in-person purchases, and online orders from foreign merchants.
  • Bank of America Visa Infinite cards and some premium accounts waive the foreign transaction fee, though these accounts have annual fees or higher balance requirements.
  • The foreign transaction fee is separate from currency conversion markup, so you pay both when you use your card abroad.
  • You can reduce or avoid these fees by using a different card, transferring money before you travel, or using local banks and ATMs in your destination country.

Which Bank of America products charge the 3% fee

The 3% foreign transaction fee applies to Bank of America's standard checking accounts (including SafePass Checking and Interest Checking), most of its credit cards, and debit cards. This includes the Bank of America Cash Rewards card, the Bank of America Travel Rewards card, and the Bank of America Customized Cash Rewards card. If you hold a basic Bank of America account, assume the fee applies unless you have verified otherwise with the bank directly.

Business accounts and business credit cards also carry the 3% foreign transaction fee on standard products. The fee structure does not change based on your account balance, deposit history, or relationship with the bank — it is a flat 3% on the transaction amount for these standard products.

Bank of America products that waive foreign transaction fees

Bank of America Visa Infinite cards do not charge a foreign transaction fee. These are premium credit cards that require an invitation from Bank of America or qualification through high account balances and transaction volume. The Visa Infinite cards are not marketed as standard consumer products and are not available to most customers who walk into a branch.

Some Bank of America premium checking accounts may waive the foreign transaction fee, but this varies by product and changes over time. Contact Bank of America directly to ask whether your specific account type includes this waiver. Do not assume a waiver exists based on your account tier or monthly fees — the bank's website and your account agreement are the only reliable sources.

How the fee is calculated and when it appears

Bank of America calculates the 3% fee on the U.S. dollar amount of your transaction. If you spend 100 euros and the exchange rate is 1.10 dollars per euro, your transaction is $110 in U.S. dollars. The 3% fee is $3.30, making your total charge $113.30. The fee appears as a separate line on your statement, labeled as a foreign transaction fee or international transaction fee.

The fee posts to your account within one to three business days of the transaction, depending on when the merchant's bank processes the charge. ATM withdrawals typically post faster than retail purchases. If you withdraw cash from a foreign ATM, you may also pay an ATM fee from the foreign bank itself — this is separate from Bank of America's foreign transaction fee and can range from $2 to $5 per withdrawal.

Currency conversion and additional costs

The foreign transaction fee is only one cost you pay when using your Bank of America card abroad. The bank also converts your purchase from the foreign currency to U.S. dollars using its own exchange rate, which includes a markup above the mid-market rate (the rate you see on financial news sites). This markup is typically 1% to 2% but is not always disclosed separately on your statement.

Combined, the foreign transaction fee and currency conversion markup can add 4% to 5% to the true cost of your purchase. A $100 purchase abroad may cost you $104 to $105 in actual U.S. dollars when both fees are included. This is why travelers who use Bank of America cards for multiple transactions abroad often see their total spending exceed their expectations.

Alternatives to Bank of America for foreign transactions

If you travel frequently or make regular international purchases, switching to a card or bank without foreign transaction fees can save you hundreds of dollars per year. Many online banks and credit card issuers charge no foreign transaction fee. Some examples include Charles Schwab (which reimburses ATM fees worldwide), Wise (formerly TransferWise, designed for international transfers), and various credit cards from issuers like Capital One and Discover.

You do not need to close your Bank of America account to use another card for foreign transactions. Many travelers keep their Bank of America account for domestic use and carry a second card with no foreign transaction fees when traveling. This approach gives you a backup payment method and lets you take advantage of whichever card offers the best terms for each transaction.

If you live abroad or receive money from outside the United States regularly, a service like Wise or a local bank account in your destination country may be more cost-effective than using Bank of America for every transaction. These services often offer better exchange rates and lower fees for regular international transfers.

What to do if you see unexpected foreign transaction fees

Review your Bank of America statement carefully if you see foreign transaction fees you did not expect. Fees sometimes appear on transactions you thought were domestic — for example, if you bought from a U.S. company's website but the payment processor was located outside the United States. Contact Bank of America's customer service to ask why a specific fee was charged and whether it can be reversed if the transaction was processed incorrectly.

Bank of America may reverse a single foreign transaction fee if you can show the charge was an error, but the bank will not waive fees as a courtesy or refund them retroactively for multiple transactions. If you have been charged repeatedly and believe the fees are unfair, your only recourse is to switch to a different bank or card for future international transactions.

Frequently Asked Questions

Does the 3% fee apply to online purchases from foreign websites?

Yes. If the merchant's payment processor is outside the United States, Bank of America charges the 3% foreign transaction fee even if you are sitting in the U.S. when you make the purchase. The fee is based on where the transaction is processed, not where you are located.

Can I avoid the foreign transaction fee by using a Bank of America ATM abroad?

No. Bank of America charges the 3% foreign transaction fee on ATM withdrawals outside the United States, regardless of whether you use a Bank of America ATM or another bank's machine. You will also pay an ATM fee from the foreign bank, which is separate from Bank of America's fee.

What is the difference between the foreign transaction fee and currency conversion?

The foreign transaction fee is a flat 3% charge on the transaction amount. Currency conversion is the exchange rate Bank of America uses to convert the foreign currency to dollars, which includes a markup above the mid-market rate. Both costs apply to your transaction, so you pay both fees.

Will Bank of America waive the foreign transaction fee if I ask?

Bank of America does not waive foreign transaction fees as a courtesy, even for long-standing customers or high account balances. The only way to avoid the fee is to use a Bank of America product that does not charge it (such as a Visa Infinite card, if you may have access to) or to use a different bank or card for foreign transactions.

Do Bank of America business accounts have different foreign transaction fees?

No. Bank of America's standard business accounts and business credit cards charge the same 3% foreign transaction fee as consumer accounts. Premium business products may have different structures, but you would need to contact the bank directly to learn about those options.