Know your charges


Do you know how much your bank charges you if you withdraw money from an ATM using your international debit or credit card? You could make a guess or, if you want to play it safe, get hold of your bank’s list of charges. However, there is more than meets the eye.

These vary depending on the type of transaction. Some cards charge an annual fee. If you have a credit card, you must pay off a minimum amount each month by a set date. If you miss a payment, there may be a penalty charge. 

Banks will most likely levy a charge if you withdraw cash using your international card from an ATM in Malta or abroad and such charges may differ between a debit and a credit card. It is most likely that your bank will impose a flat fee and a fixed percentage on the value of the withdrawal. In addition, some banks start charging interest straight away if you withdraw with your credit card.

You might have noticed lately that your card statement is now providing a better explanation of the fees and charges your bank may charge you for transactions, especially for those made outside the Eurozone and in non-EU countries.

If your bank bills you in euro and you have used your card in any Member State where the euro is the national currency, your statement will show the amount of the transaction with no additional charges.

However, if you have used your card in an EU country where the euro is not its national currency (such as the UK) or outside the EU (such as the USA or Canada), your bank is likely to charge a currency conversion fee (or overseas transaction charge) that will be separately disclosed on your card statement with each foreign purchase. That fee may range between 1.25% to 2% of the purchase amount. The same charges may apply when buying on-line.

If your bank charges such a fee, check your card’s terms and conditions for more information as to how and when it is applied.

It's wise to find out what are the fees attached to your card before you leave for your travels so that you will be able to budget your spending abroad.

To make an informed decision on the type of card that you may apply for and to get exposure to the whole picture of tariffs which might be imposed by the major banks in Malta, click on the section “Compare fees & charges” on the top menu.

Last updated: Sep 07, 2016