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Jan
Reader Mary Beth points out something I hadn’t seen before on the Avis website, when you go to your profile and update your credit card (probably because my credit card on file will expire soon, so I haven’t updated it in a long time):
Emphasis below is mine:
Note: International travelers using a MasterCard or Visa charge card have the opportunity to be billed in their local currency:
I choose to have Avis bill all my future rental charges in the currency of my Avis profile credit card.
I understand that if I am renting at a location at which the currency differs from my credit card issuing currency, Avis will convert my rental charges to my card issuing currency. Immediately after I return my rental car, Avis will use the prevailing conversion rate. Any converted amount will be billed to my credit card. The conversion will be conducted by the Avis location. The international currency selection fee is three percent. If you disagree please unselect checkbox.
They will convert the rental charge to your home currency and charge you three percent for doing so. There’s absolutely no reason that you would want to do this.
Most credit cards which do not waive foreign transaction fees will still charge those fees even if the billing is done in your home currency because the charge originated outside of your home country.
So if you have a credit card that waives foreign transaction fees, leaving this box checked means you pay 3% for the conversion anyway (and though Avis says you’ll get the ‘prevailing’ exchange rate there’s no guarantee it’s as good as the bank rate anyway, I’d be pretty confident it isn’t better).
And if your card doesn’t waive foreign transaction fees, you wind up paying those fees twice — three percent to Avis and then also (usually about 3%) to your credit card.
If you rent with Avis outside the United States, you definitely want to go to your account, edit your credit card information, and uncheck that box!
D Wonder said,
I have routinely had this done to me in select Hilton Hotels in Australia without my consent
It says on the receipt I have consented though they never ask!!!
Every time I confront the hotel they act like its the first time its happened
That and the credit card surcharge fee is just shy of a scam/money grab
canuck_in_ca said,
Sneaky of Avis. Thanks for sharing. I just updated my profile. I have the Chase Sapphire Preferred and Amex Platinum, both with no foreign transaction fees.
Chino said,
Weird, the checkbox and disclaimer is not there for me. Not sure if it’s because I use an Amex and in your screenshot it mentions V/MC.
beachfan said,
Not there for me either
joe said,
Avis/Budget are far sneakier in my 20 or so data points of renting cars. I’m easily willing to pay $10 more for Hertz in most situations. There’s minor loyalty involved toward Hertz Gold (although I do like it), it’s simply economically better when you figure that Avis will find a way to defraud. YMMV.
Rapid Travel Chai said,
Sleazy, just updated my profile.
Carl P said,
They do say “We try harder” (to get your money?). I don’t have to update my profile, since I stopped using them years ago.
Gary Steiger said,
Auto Europe said in its contract with me that charges would be in local currency, in this case Euros in Italy. But the local company with whom Auto Europe contracted charged me in USD with a 2.5% fee. Turns out that the contract I signed with the local company disclosed this, but only in Italian. Beware.
P.S. If you value your life, never, never drive in Italy.
Gary said,
@Carl P – avis is dropping ‘we try harder’ http://boardingarea.com/blogs/viewfromthewing/2012/08/31/30005000-american-miles-for-an-avis-rental-extended/
Carol said,
That’s dirty. The reason they do it is because the credit card company kicks back roughly 1% of the 3% (or 1/3 of the extra money that’s collected). That motivates the vendor, in this case, Avis, but certainly doesn’t benefit the customer. I’ve run up against multiple incidents in international travel where the vendor has no idea how to choose local currency for the credit card receipt. And I’ve had some lie and assure me it will be in local currency when in fact it is in dollars. Since the receipt shows both local currency and dollars, there’s no way to tell. It’s really frustrating. I can see a class action suit coming from this some day.
EagerTraveler said,
Avis/Budget in Vancouver Canada http://www.cbc.ca/news/canada/british-columbia/story/2012/11/27/bc-budget-rental-fraud.html
LIH Prem said,
I checked and double checked, don’t have that checkbox under the credit card tab in my account. I did not try updating the credit card. Since I’ve never consented to that option, I would not expect it.
-David
Avi said,
Many thanks for pointing this out – just updated my profile.
Chai Digest December 29-January 4: Kim under glass, banana hangover, Mr Travel Guy and more - Rapid Travel Chai said,
[...] is buying Zipcar. With Avis’ many sleazy charges, like now defaulting on foreign rentals to a home currency conversion with 3% fee, I would be worried if I were a Zipcar customer. I have [...]
NB said,
This explains the regular $10-15 extra charge on the few occasions I use them. They were never explained (relying on their agents’ ignorance and my desire not to miss my flight. That’s why I now always rent with Hertz unless Avis are massively cheaper.
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