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Using Pay Pal

While waiting for my new Capital One no-international-fee card to arrive, I have been paying for some of my Italian train reservations, etc. using Pay Pal - which is linked to a credit card that does charge a 2% international fee. Does anyone know if I'll get socked with that int'l fee when I use Pay Pal? I'm hoping not, as it should look to the credit card company like a domestic (PayPal) purchase, but I'm not sure of that. Dave

Posted by
1626 posts

I made a couple payments via paypal before our trip to Italy last year. I was actually charged Euros on paypal and used my Capital One debit card with no fees, which was converted to USD at the exchange rate at the time (1.41- ouch). So if paying in Euros on Paypal, if your credit card charges a fee, you likely will be hit.
When I applied for my Capital One credit card, it didn't take long to arrive. Neither the Capital One credit or debit have charged any transaction fees, and have reimbursed me for any US bank ATM fees.

Posted by
5517 posts

Dave, I'm pretty sure that you will be charged a 2% fee when the paypal transaction hits your credit card. Paypal will likely process it through a foreign bank ... and thus your card will see it as an international transaction. Not 100% positive as I've had a no fee card for a couple of years but I'm almost positive that I was charged for a paypal transaction on my prior card.

Posted by
864 posts

Well I paid for cottages and other housing in France using pay pal but the monies were taken from my checking account so there was no fee that at least I noticed. I mean there might have been but it couldn't have meaningful within the context of the overall cost. Frankly in the big picture cost wise for a big trip to Italy this to me, at least, is time better spent figuring out transportation and museum pass costs which if you don't pay attention can really nail you.

Posted by
55 posts

Thank you all! My Capital One card arrived today and will be used for all the rest of my trip purchases. Dave