Bank of America's Foreign Transaction Fees and How to Avoid Them

Bank of America charges foreign transaction fees on most accounts, but the amount and whether you can avoid them depends on your account type and card

Bank of America applies a 3% foreign transaction fee to purchases made outside the United States on most checking and savings accounts and standard credit cards. This fee is added to the transaction amount at the time of purchase, whether you're using a debit card, credit card, or ATM withdrawal. The fee applies to any transaction processed through a non-US merchant or currency conversion, even if you're a US citizen traveling abroad or making an online purchase from a foreign retailer.

However, not all Bank of America products charge this fee. Some premium accounts and specific card products waive foreign transaction fees entirely. Understanding which products you have and what alternatives exist can save you hundreds of dollars if you travel frequently or conduct regular international business.

Key Takeaways

Bank of America's standard 3% foreign transaction fee applies to debit cards, credit cards, and ATM withdrawals on most accounts.
Bank of America Platinum and Platinum Plus checking accounts waive foreign transaction fees for debit card purchases and ATM withdrawals.
Bank of America Premium Rewards and other premium credit cards do not charge foreign transaction fees, while standard cards do.
ATM withdrawals at non-Bank of America machines abroad typically cost $5 per transaction in addition to any foreign transaction fee.
Using a credit card without foreign transaction fees is usually cheaper than converting currency at an ATM or using a standard debit card.

Which Bank of America accounts waive the 3% fee

Bank of America's Platinum Checking and Platinum Plus Checking accounts waive the 3% foreign transaction fee on debit card purchases and ATM withdrawals made outside the United States. Both accounts require a minimum opening deposit and monthly maintenance fees explore unless you meet balance or direct deposit requirements. If you maintain the account in good standing, you can use your debit card internationally without the 3% charge.

The standard Advantage Checking and Advantage Plus Checking accounts do not waive foreign transaction fees. These are Bank of America's entry-level checking products, and the 3% fee applies to all international transactions on these accounts.

Credit cards with and without foreign transaction fees

Bank of America's Premium Rewards Credit Card and other premium travel-focused credit cards do not charge foreign transaction fees. These cards typically carry annual fees ranging from $95 to $450, but the foreign transaction fee waiver can offset that cost quickly if you travel or shop internationally. Bank of America also offers the Travel Rewards Card, which waives foreign transaction fees and has no annual fee, though rewards rates and benefits differ from premium cards.

All other Bank of America credit cards—including the Cash Rewards, Customized Cash Rewards, and standard Visa cards—charge the 3% foreign transaction fee on international purchases. If you use these cards abroad, the fee is calculated on the purchase amount before any rewards are applied.

ATM withdrawals and cash advances abroad

Using a Bank of America ATM outside the United States does not charge a foreign transaction fee, but using a non-Bank of America ATM abroad costs $5 per withdrawal in addition to any fee the foreign bank charges. Bank of America's ATM network is limited outside the US, so you will likely encounter non-Bank of America machines in most countries.

Cash advances on credit cards—withdrawing cash using a credit card at an ATM—incur both the 3% foreign transaction fee and a cash advance fee, typically 3% to 5% of the amount withdrawn. This makes cash advances one of the most expensive ways to access money abroad. Debit card withdrawals are cheaper if your account waives foreign transaction fees, or if you are willing to pay the 3% charge.

How the 3% fee is calculated and when it appears

The 3% foreign transaction fee is calculated on the transaction amount in the local currency, then converted to US dollars at Bank of America's exchange rate at the time of processing. The fee appears as a separate line item on your statement, labeled as a foreign transaction fee or international transaction fee. The total charge (purchase plus fee) is what gets deducted from your account or added to your credit card balance.

The fee is applied at the time the transaction is processed by the merchant's bank, not at the time you make the purchase. This means there can be a delay of one to three business days between when you swipe your card and when the fee appears on your statement. During that time, the exchange rate may change, which affects the final amount you are charged.

Alternatives to Bank of America for international transactions

If you travel or conduct business internationally regularly, other banks and financial institutions offer better rates. Charles Schwab offers a checking account with no foreign transaction fees and reimburses ATM fees charged by foreign banks. Wise (formerly TransferWise) is a money transfer service that holds accounts in multiple currencies and charges a small percentage fee instead of a flat 3%, making it cheaper for frequent international users. Some credit unions also waive foreign transaction fees for members, though availability varies by location.

For credit cards, issuers like Chase, American Express, and Discover offer premium cards without foreign transaction fees. Comparing annual fees, rewards rates, and benefits against your actual travel patterns will show whether switching makes financial sense for your situation.

What happens if you dispute a foreign transaction fee

Bank of America allows you to dispute a foreign transaction fee through the standard dispute process, but the fee itself is not usually considered an error—it is a disclosed charge in your account agreement. You can dispute the fee if you believe the transaction was fraudulent, if you were charged twice for the same purchase, or if the amount was calculated incorrectly. Contact Bank of America's dispute department through your online account or by calling the number on the back of your card.

Disputing the fee does not remove it from your account while the dispute is under review. Bank of America typically resolves disputes within 10 business days for debit cards and up to 60 days for credit cards. If the dispute is upheld, the fee is refunded to your account. If it is not upheld, you are responsible for the charge.

Frequently Asked Questions

Can I avoid the 3% fee by using a credit card instead of a debit card?

Only if your credit card does not charge foreign transaction fees. Bank of America's standard credit cards charge 3% just like debit cards. Premium cards like the Premium Rewards Card waive the fee, but they carry annual fees. Compare the annual fee against how much you would save on foreign transaction fees to determine if it makes sense for you.

Does Bank of America charge foreign transaction fees for online purchases from foreign websites?

Yes. If the merchant is located outside the United States or processes the transaction through a foreign bank, the 3% fee applies. This includes online shopping from international retailers, subscriptions to foreign services, and digital purchases from non-US companies.

What is the difference between a foreign transaction fee and an exchange rate markup?

The 3% foreign transaction fee is a separate charge Bank of America adds to every international transaction. The exchange rate markup is the difference between the official exchange rate and the rate Bank of America uses to convert your purchase to US dollars. Both charges explore, so your total cost is the purchase amount plus the 3% fee plus the exchange rate difference.

If I have a Platinum Checking account, do I still pay the 3% fee on credit card purchases abroad?

The Platinum Checking account waives foreign transaction fees only on debit card transactions and ATM withdrawals. If you use a Bank of America credit card, the 3% fee still applies unless that specific credit card product waives it. Check your credit card's terms to confirm whether it charges foreign transaction fees.

Can I request that Bank of America remove the foreign transaction fee from my account?

Bank of America does not remove the foreign transaction fee as a courtesy or exception. Your options are to switch to an account or card product that waives the fee, use a different financial institution, or accept the fee as part of your transaction cost. Some premium account holders have reported success requesting fee waivers for single transactions, but this is not a standard policy.

This guide is for general information only and is not medical, financial, legal, or other professional advice. For decisions specific to your situation, consult a qualified professional. See our Editorial Policy.