Short changed on foreign currency refunds

[Daver6]

Noticed a hotel I stayed at in the US put an extra charge on my Amex card in error and provided a credit for the same amount back in USD. However, in AUD it's almost $60 less, obviously due to some fee not being refunded.

I'm still overseas so contacted Amex via their online chat. In short, too bad, bad luck attitude. Given I didn't authorise the second charge, how can it be that I'm out of pocket? Amex tell me to contact the merchant, but I don't see how it's their issue either. They've refunded the full amount.

I'll probably just try calling Amex when I'm back home. Otherwise perhaps dispute the original charge as unauthorised. Failing that, there's always AFCA.

What's others experiences and thoughts on this nonsense?

 

[Cynicor]

I'd go to AFCA. You've made your complaint, don't waste your time on amex further

 

[levelnine]

How much is the fee as a percentage of the charge?

In the US, Amex takes about a 0.5-1% spread on their foreign transactions even if it is foreign transaction fee free, so that means if you get charged and refunded, you lose 1-2%. In other words, it may not be a fee, but instead their unfavourable foreign currency conversion process.

 

[Coops1]

Had played the game of using the ANZ as collateral, and even with specific direct instructions the hotel managed to put the charge through, instead of on 28 Degrees

Refund of near $2000 and ~$60 bank currency conversion fee. ANZ goodwill refunded the extra $60. Its nothing to do with the merchant at the end of the day, even with an incorrect charge.

I am presuming this is very common, and surprised there is not a definitive process to say the charge is valid or just a bit of goodwill if you complain

 

[Daver6]

How much is the fee as a percentage of the charge?

In the US, Amex takes about a 0.5-1% spread on their foreign transactions even if it is foreign transaction fee free, so that means if you get charged and refunded, you lose 1-2%. In other words, it may not be a fee, but instead their unfavourable foreign currency conversion process.

Not really sure and wasn't going to waste my time trying to figure out if it was the 3% FX fee or lost on currency conversion. I don't really other than I should be made whole.

Had played the game of using the ANZ as collateral, and even with specific direct instructions the hotel managed to put the charge through, instead of on 28 Degrees

Refund of near $2000 and ~$60 bank currency conversion fee. ANZ goodwill refunded the extra $60. Its nothing to do with the merchant at the end of the day, even with an incorrect charge.

I am presuming this is very common, and surprised there is not a definitive process to say the charge is valid or just a bit of goodwill if you complain

100% agree

 

[RealtimeY]

I am presuming this is very common, and surprised there is not a definitive process to say the charge is valid or just a bit of goodwill if you complain

Maybe it's another case of their live chat being limited in what they can do. Hopefully a quick call to them can get it resolved, let us know how it goes!

 

[Happy Dude]

Can some of it be currency fluctuation? The AUD has been on a slide against USD.

 

[muppet]

Shouldn’t there be a “void” transaction option rather than sending a refund back on the card which causes this loss to the innocent consumer.

 

[Coops1]

Shouldn’t there be a “void” transaction option rather than sending a refund back on the card which causes this loss to the innocent consumer.

Not after it's gone thru. I actually made a few $ on the conversion back with a better exchange rate

 

[MEL_Traveller]

Shouldn’t there be a “void” transaction option rather than sending a refund back on the card which causes this loss to the innocent consumer.

Yes. That’s the way to avoid any currency conversion losses.

I had a duplicate from a merchant once, rang them and they refunded the second charge… which came at a loss on my ANZ card.

Calling ANZ they said any charges like that should always be voided, not refunded. ANZ gave me the difference back, but lesson learned.