Most Bank of America credit cards charge 3% on purchases made outside the US

Bank of America charges a foreign transaction fee on most of its standard credit cards — that is, a percentage added to any purchase you make in another country or in a foreign currency. For the majority of their cards, this fee is 3% of the purchase amount. This means if you buy something for $100 USD equivalent while traveling, you pay an extra $3.

The fee applies whether you're physically in another country or buying from a foreign merchant online. It also applies to ATM withdrawals made outside the US, though the fee structure for cash withdrawals can differ slightly depending on the card.

Not all Bank of America cards work the same way. A small number of their cards — primarily premium travel cards — do not charge this fee at all. Knowing which card you have, or which one you're considering, makes a real difference in what you actually pay when you travel.

Key Takeaways

  • Bank of America's standard credit cards charge 3% on all foreign purchases and ATM withdrawals made outside the US.
  • Bank of America's premium travel cards, like the Premium Rewards card, do not charge foreign transaction fees.
  • The 3% fee is added to your bill automatically — you will not see it as a separate line item, but as part of the converted purchase amount.
  • If you travel frequently or do business internationally, a card without foreign transaction fees can save hundreds of dollars per year.

Which Bank of America cards have no foreign transaction fees

Bank of America offers a small number of cards that waive the foreign transaction fee entirely. The Bank of America Premium Rewards card is the main option. This card charges no foreign transaction fees on purchases or ATM withdrawals anywhere in the world.

These cards typically come with an annual fee — the Premium Rewards card charges one, for example — so the savings on foreign transaction fees need to outweigh that annual cost for the card to make sense for you. If you travel once a year or less, the annual fee may cost more than you would save on the 3% foreign fees. If you travel multiple times per year or do regular international business, the math often works in your favor.

Bank of America occasionally updates its card offerings, so if you are considering opening a new card specifically to avoid foreign transaction fees, contact Bank of America directly or visit their website to confirm which current cards carry no foreign transaction fee.

How the 3% fee is calculated and charged

When you make a purchase in a foreign currency, Bank of America first converts that amount to US dollars using their exchange rate for that day. Then they add 3% to the converted amount. That total is what appears on your statement.

For example: you buy something in euros for €50. Bank of America converts €50 to USD at their rate that day — let's say that comes to $55. Then they add 3% of $55, which is $1.65. Your charge appears as $56.65 on your statement.

The fee is not shown separately. You see only the final amount charged. This can make it hard to spot the fee if you are not paying close attention to the conversion rate, which is why understanding how it works beforehand matters.

ATM withdrawals and cash advances abroad

The 3% foreign transaction fee applies to ATM withdrawals made outside the US on most Bank of America cards. In addition, many ATMs charge their own fee — sometimes $2 to $5 per withdrawal — which is separate from Bank of America's fee. You may also see a fee from your bank's network partner in that country.

This means a single ATM withdrawal abroad can cost you the foreign transaction fee, the ATM operator's fee, and sometimes a network fee all at once. For this reason, many people traveling internationally withdraw larger amounts less frequently to reduce the number of ATM visits.

Cash advances — getting cash by using your credit card at a bank teller rather than an ATM — typically charge even higher fees and start accruing interest when ready, so they are generally not recommended.

Comparing Bank of America to other banks' foreign transaction fees

Bank of America's 3% foreign transaction fee is standard among large US banks. Chase, Wells Fargo, and Citi charge the same 3% on most of their standard cards. Some smaller banks and online banks charge 1% or 2%, and a few charge nothing at all.

If you travel frequently, comparing foreign transaction fees across banks can save you real money. A card with no foreign transaction fee from another bank might be worth opening even if you keep your Bank of America card for domestic use. Many people maintain multiple cards for exactly this reason — one for everyday US purchases and another for international travel.

The difference between 3% and 1% on a $5,000 trip is $100, so the comparison is worth your time if international travel is part of your regular life.

What to do if you have a Bank of America card with foreign fees

If you travel occasionally and have a standard Bank of America card, you have a few options. You can accept the 3% fee as a cost of travel. You can request a credit limit increase before you travel, which does not change the fee but gives you more room to charge. Or you can look into whether switching to a Bank of America card without foreign transaction fees makes sense for your situation.

Another option is to use a debit card instead of a credit card for some purchases. Bank of America's debit cards typically charge the same 3% foreign transaction fee, so this does not solve the problem — but some credit unions and online banks offer debit cards with lower or no foreign transaction fees, which might be worth investigating if you do a lot of international travel.

Before your trip, contact Bank of America to let them know you will be traveling. This does not reduce fees, but it prevents them from blocking your card as fraudulent activity, which can leave you without access to money when you need it most.

Frequently Asked Questions

Can I avoid the 3% fee by using a different payment method?

Not through Bank of America. Their credit and debit cards both charge 3% on foreign transactions. Some travelers use prepaid travel cards from other companies, which may have different fee structures, but you would need to research those separately. Wire transfers and international money transfers have their own fees and exchange rates, which are often higher than credit card fees.

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

Yes. If you buy something online from a merchant outside the US, or if the merchant processes the transaction in a foreign currency, the 3% foreign transaction fee applies. This happens even if you are physically in the US when you make the purchase.

What if I dispute a charge that included a foreign transaction fee?

If you dispute the underlying charge itself — for example, because you did not authorize it or the merchant never delivered the goods — Bank of America will reverse both the charge and the foreign transaction fee. If you dispute only the fee itself, Bank of America will likely deny it, since the fee is part of their standard terms for those cards.

Do I pay the foreign transaction fee if I use my Bank of America card at a US merchant while traveling abroad?

No. The fee applies only to transactions processed in a foreign currency or by a foreign merchant. If you use your Bank of America card at a US chain restaurant or hotel while traveling, and the transaction is processed in US dollars, no foreign transaction fee applies — though the merchant may still charge you a currency conversion fee if they convert the price to dollars themselves.

Is there a way to get the foreign transaction fee waived after the fact?

Bank of America does not routinely waive foreign transaction fees. If you believe a fee was charged in error — for example, because a transaction should not have been processed as foreign — you can contact Bank of America and ask them to review it, but there is no may provide they will remove it.