FINALLY! - Citi launching Citi Prestige with Visa Infinite

[Cynicor]

But what is the actual exchange rate used (compared with, say, citi debit visa)?

Is any arbitrage built in?

Nope. It's been mentioned quite frequently on various threads including the 28 degrees and citi debit ones. FX rate is comparable to XE and 28 degrees at any given time. But if you can afford the (almost 4) % on citi, you are probably still better off with the sig or prestige.

 

[villemus]

Seriously? Bankwest have no intl exchange fee for intl purchases? Seriously?

I have had my Bankwest plat zero for years and used it overseas as well as foreign online purchases.

first of all, no fees. I am not sure about the rate against citi, but often when i checked, the fx rate used is very close to the market spot rate of the day.

 

[JinbaIttai]

But what is the actual exchange rate used (compared with, say, citi debit visa)?
Is any arbitrage built in?

I did some comparisons a few weeks ago before a trip to Indonesia, as I was curious which of my credit cards would give me the best rate for purchases.
The exchange rate at xe.com was IDR9940 for AUD$1 on the day I made the comparisons
I got the bank's exchange rates via their websites and/or talking to them.
To make for easier comparisons, I worked out how much 1 million Rupiah would have cost in AUD if I had made the purchase that day.

CommBank Diamond: exchange rate $1 = IDR9009 plus 3% fee
-> 1 million Rupiah = $114.33
Bankwest Platinum: exchange rate $1 = IDR9190 no fee
-> 1 million Rupiah = $108.81
Westpac KF Platinum: exchange rate $1 = IDR9054 plus 3% fee
-> 1 million Rupiah = $113.76
Citibank Prestige: exchange rate $1 = IDR9803 plus 3.3% fee
-> 1 million rupiah = $105.37

So the Bankwest "no fee" deal is pretty good, but the Citi Prestige is better even including the fee.

I haven't gone back and done the comparisons on a different day, nor have I checked any other currencies - so I don't know if this was a fluke or if the Prestige will always serve me best - but with 5 points per $1 (=3.33KF miles per $1) on international spend it would have most likely been my weapon of choice even if it wasn't the best exchange rate.

Indonesia isn't on Citi Australia's online list of exchange rates but their call centre advised me to use the exchange rate calculator at usa.visa.com - I would link to it directly but haven't made enough posts on this forum to do so.
I compared the usa.visa.com exchange rates with purchases made overseas and it is spot on.

 

[Cruiser Elite]

Excuse my scepticism guys - I do hold Prestige - I have never held a BankWest card - but i think it would be a cold day in hell before any bank 'gave' you anything.

 

[serfty]

Nope. It's been mentioned quite frequently on various threads including the 28 degrees and citi debit ones. FX rate is comparable to XE and 28 degrees at any given time. But if you can afford the (almost 4) % on citi, you are probably still better off with the sig or prestige.

I have 28deg (originally a Wizard Clear) and Citi Debit Visa.

Do you have any direct comparisons on rate 'of the day' (noting that for Mastercard, it's the rate is for the day and with Visa it is the day before).

 

[serfty]

I did some comparisons a few weeks ago before a trip to Indonesia, as I was curious which of my credit cards would give me the best rate for purchases....

Do you know the exact date you made the comparisons?

 

[JinbaIttai]

Do you know the exact date you made the comparisons?

I do, it was on the 15th of July

 

[diningdecadence]

received a nice letter and a 'scripto' pen in a case as well as a standard birthday letter today. pleasant surprise.

looks to be this one Sierra Ballpoint Pen | David Jones

 

[Isochronous]

I did some comparisons a few weeks ago before a trip to Indonesia, as I was curious which of my credit cards would give me the best rate for purchases.
The exchange rate at xe.com was IDR9940 for AUD$1 on the day I made the comparisons
I got the bank's exchange rates via their websites and/or talking to them.
To make for easier comparisons, I worked out how much 1 million Rupiah would have cost in AUD if I had made the purchase that day.

CommBank Diamond: exchange rate $1 = IDR9009 plus 3% fee
-> 1 million Rupiah = $114.33
Bankwest Platinum: exchange rate $1 = IDR9190 no fee
-> 1 million Rupiah = $108.81
Westpac KF Platinum: exchange rate $1 = IDR9054 plus 3% fee
-> 1 million Rupiah = $113.76
Citibank Prestige: exchange rate $1 = IDR9803 plus 3.3% fee
-> 1 million rupiah = $105.37

So the Bankwest "no fee" deal is pretty good, but the Citi Prestige is better even including the fee.

I haven't gone back and done the comparisons on a different day, nor have I checked any other currencies - so I don't know if this was a fluke or if the Prestige will always serve me best - but with 5 points per $1 (=3.33KF miles per $1) on international spend it would have most likely been my weapon of choice even if it wasn't the best exchange rate.

Indonesia isn't on Citi Australia's online list of exchange rates but their call centre advised me to use the exchange rate calculator at usa.visa.com - I would link to it directly but haven't made enough posts on this forum to do so.
I compared the usa.visa.com exchange rates with purchases made overseas and it is spot on.

I'm very surprised that Prestige is beating BankWest World even with a 3.3% mark-up. How can that be?

 

[Cruiser Elite]

I'm very surprised that Prestige is beating BankWest World even with a 3.3% mark-up. How can that be?

Might I suggest simply due to Bankwest's definition of 'FEE FREE'.

 

[Fatcat]

I did some comparisons a few weeks ago before a trip to Indonesia, as I was curious which of my credit cards would give me the best rate for purchases.
The exchange rate at xe.com was IDR9940 for AUD$1 on the day I made the comparisons
I got the bank's exchange rates via their websites and/or talking to them.
To make for easier comparisons, I worked out how much 1 million Rupiah would have cost in AUD if I had made the purchase that day.

CommBank Diamond: exchange rate $1 = IDR9009 plus 3% fee
-> 1 million Rupiah = $114.33
Bankwest Platinum: exchange rate $1 = IDR9190 no fee
-> 1 million Rupiah = $108.81
Westpac KF Platinum: exchange rate $1 = IDR9054 plus 3% fee
-> 1 million Rupiah = $113.76
Citibank Prestige: exchange rate $1 = IDR9803 plus 3.3% fee
-> 1 million rupiah = $105.37

So the Bankwest "no fee" deal is pretty good, but the Citi Prestige is better even including the fee.

I haven't gone back and done the comparisons on a different day, nor have I checked any other currencies - so I don't know if this was a fluke or if the Prestige will always serve me best - but with 5 points per $1 (=3.33KF miles per $1) on international spend it would have most likely been my weapon of choice even if it wasn't the best exchange rate.

Indonesia isn't on Citi Australia's online list of exchange rates but their call centre advised me to use the exchange rate calculator at usa.visa.com - I would link to it directly but haven't made enough posts on this forum to do so.
I compared the usa.visa.com exchange rates with purchases made overseas and it is spot on.

Cant speak for IDR, but for JPY, the exchange rates on Citi prestige are woeful when compared to 28 degrees, on same day transactions within an hour. Citi is at least 3% worse than 28 degrees. You do get points with Prestige of course.

Between BankWest World and 28 degrees, it seemed to be roughly similar a few months ago on GBP, however I noticed recently when I used the 28 degrees card in Japan that the final AUD amount would change between the time it was first registered as a transaction and the time it actually appears as a listed transaction a few days later. The difference was about 1.5%, unsurprisingly the rate got worse.

 

[Isochronous]

Might I suggest simply due to Bankwest's definition of 'FEE FREE'.

What's dodgy about their definition?

 

[Cruiser Elite]

What's dodgy about their definition?

Simply that the advertise the product as 'Fee Free' - they are a bank - no bank gives anything away for 'free' - the fee is built into the conversion rate - it's not complicated.

 

[JinbaIttai]

I'm very surprised that Prestige is beating BankWest World even with a 3.3% mark-up. How can that be?

Because banksters give with one hand, and take with the other. In this case by including the fee in their "spread" (google "currency exchange spread" for more info)

I just did another comparison, this time with the almighty greenback.
Go to Bankwest's website, then click personal, international and "view exchange rates" - you will see a table with a bunch of currencies and their buy and sell rates
These Indicative Foreign Exchange Rates are current as at 8:49 PM on Sep 4, 2015.
The "sell" rate for USD is 0.6652 which means a purchase made yesterday for USD $100 would have cost you AUD $150.33 "fee free"

Now go to usa.visa.com and scroll down to the bottom for their "Exchange rate calculator" and fill it out like this:
"My Card is in" Australian Dollar
"My Transaction Was In" United States Dollar
"Enter Bank Fee" 3.3%
Date Requested 09/04/2015 (with month and day reversed, because America)

This gives you 1 USD = 1.477678 AUD meaning the same USD$100 purchase would have cost you AUD$147.77 including the 3.3% fee

Now consider the non-Platinum BW card holders who get slugged a 2.95% transaction fee on top of their exchange rate - that same purchase would have cost AUD$154.77

Again apologies for the lack of links, I'm not yet trusted enough in this forum or I would add them.

 

[JinbaIttai]

Cant speak for IDR, but for JPY, the exchange rates on Citi prestige are woeful when compared to 28 degrees, on same day transactions within an hour. Citi is at least 3% worse than 28 degrees. You do get points with Prestige of course.

Yup, I don't know much about the 28 degrees card but it seems they use the conversion rates from Mastercard, with no fee added. good deal!

Using the "currency conversion" tool on mastercard.com - the most recent "Settlement" date I can choose is 03-Sep-2015
A base currency of AUD gives me:
USD 0.699200 (USD $1 = AUD $1.4302)
JPY 83.638301 (JPY ¥1 = AUD $0.0119)

compare that with usa.visa.com on the same day (with bank fee set to 0% for comparison purposes) gives 1 USD = 1.432522 AUD and 1 JPY = 0.011964
so the base exchange rates are very similar, meaning the only practical difference is the 3.3% fee
But like you said, you do get points - Citi don't give them away for free

 

[DeKa]

Cant speak for IDR, but for JPY, the exchange rates on Citi prestige are woeful when compared to 28 degrees, on same day transactions within an hour. Citi is at least 3% worse than 28 degrees. You do get points with Prestige of course.

Between BankWest World and 28 degrees, it seemed to be roughly similar a few months ago on GBP, however I noticed recently when I used the 28 degrees card in Japan that the final AUD amount would change between the time it was first registered as a transaction and the time it actually appears as a listed transaction a few days later. The difference was about 1.5%, unsurprisingly the rate got worse.

The rate Citi publish on their site is not what's used for the Visa product. That rate is for wire transfers and so on.
For Visa, use this Exchange Rate Calculator | Visa USA

 

[Cynicor]

Serfty- have a look at the 28 degrees various threads, some directs have been posted in the past. Some on whirlpool too.

CE- I don't use the card but I assure you it is based on the MC prevailing rate with no routine arbitrage built in. You can disbelieve but that's the truth. GE do it with 28 degrees and they are the biggest blood suckers out there.

To whoever posted those comparisons (jinbal...something)they aren't real world examples. Citi prestige has a huge cost built in. If you go in eyes open then it's fine. I use my select everywhere oseas because I am happy to pay for the points, but for those who want fee free, the BW is real.

I'll have a look at whirlpool if I find time.

 

[trippin_the_rift]

....meaning the only practical difference is the 3.3% fee
But like you said, you do get points - Citi don't give them away for free

There are over benefits like 30-40 days to pay + protection provided under a credit product + 5 points per $ on this card.
Additionally I would take the convenience of having 1 less card in my wallet when travelling over a few dollars saving here and there.

@ 5 citi points per $ is effectively 2.5x standard earn rates for 3.3% - or ~1 cent per point. This is almost ATO earn territory. More than worth any exchange rate on this card IMO.

The card product is designed for people who have cash and spend based on value and I think it's current points offer reflects this position.
Dare I say that if anyone who is worried about a few bucks here and there the CP card might not be the right card for them...

 

[cove]

Well 4 of us went out to dinner in Marina del Rey and I took my Australian wallet by mistake. Had to pay $177 USD and I received 1,265 Citi points on my Citi Prestige statement. Basically it was 5 Citi Reward points for 3.3% which converts to 3.3 Kris Miles over with SQ for rides in Suites.

 

[JinbaIttai]

There are over benefits like 30-40 days to pay + protection provided under a credit product + 5 points per $ on this card.
Additionally I would take the convenience of having 1 less card in my wallet when travelling over a few dollars saving here and there.

@ 5 citi points per $ is effectively 2.5x standard earn rates for 3.3% - or ~1 cent per point. This is almost ATO earn territory. More than worth any exchange rate on this card IMO.

The card product is designed for people who have cash and spend based on value and I think it's current points offer reflects this position.
Dare I say that if anyone who is worried about a few bucks here and there the CP card might not be the right card for them...

Agreed 100% - as I said in my original post I only did the comparison out of curiosity, and would have used the Prestige regardless. More KF points are always welcome.
Having it be the card in my wallet that gave me the best rate was a bonus.