American Express to Increase Foreign Currency Transaction Fee from 2.95% to 3.25% from 01 October 2023

Starting from 01 October 2023, American Express will be increasing the fees for Foreign Currency Transactions from 2.95% to 3.25%. You might not believe it but out of all the Singapore-issued credit cards that charge a fee for foreign currency transactions, American Express is actually the lowest right now at 2.95% but it will soon join the rest of banks in Singapore in the 3.X+% range from October 2023.

Photo Credit: American Express

American Express increased the fees for Foreign Currency Transactions from 2.5% to 2.95% back on 01 March 2020 - the same day it excluded KrisFlyer Miles and Membership Rewards Points for GrabPay top-ups on personal cards. Starting from 01 October 2023, transactions relating to education and other non-profit purposes (including charitable donations) will also be added to the list of non-eligible purchases which will no longer earn Membership Rewards points and KrisFlyer miles on the relevant credit cards - this change will also affect the American Express Singapore Airlines Business Credit Card.

There are still ways to avoid paying Foreign Currency Transaction fees when using a credit card issued in Singapore - the Amaze Card, for instance, allows you to enjoy fee-free transactions and earn 0.5% bonus cashback when you link an eligible credit card (now limited to just Mastercard). There are cards in Singapore that do not charge any Foreign Currency Transaction fees when transacting in a non-SGD currency but you usually lose out on any potential reward points as well.