Miata Mailing List: October 1997, Message #68
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From: 	Robert Winchester <Random@tm.net.my>

Subject: Re: KG works

Date: 	Wed, 1 Oct 1997 09:40:57 +0000



> So order with a VISA/MC.  Most credit card companies give a great

> exchange

> rate whenever you use their cards in a foreign country.  I bought some

>

> Cohibes in Cancun and was surprised that the amount charged to my

> credit card

> was much cheaper than I figured it given the exchange rate at the

> time.



This is because the credit card bank gives you the interbank exchange

rate -- the rate that banks charge one another for currency.  It is

always better than a commercial rate, which includes overhead and profit

charges.  Although the difference may be only a few percentages on

paper, it becomes quite significant on large purchases.



Robert