How do you pay for your overseas purchase?

[justonething]

With Melbourne in level 4 lockdown, I find myself shopping online a lot more than usual for all kinds of things, from IT equipment to woodworking tools.
Not wanting to pay the excessive foreign transaction fees of some 3% using my regular credit card, I got myself a debit card with Citibank a few years ago. Recently I also set up a PayID on this Citibank account so I can transfer the right amount of fund just before I pay for a purchase. It's not too bad as long as I don't forget to put money in the account.
How do you guys make payments on overseas online shopping? Are there better ways?

[poundy]

** Warning **

Nobody answer truthfully with "using the credit card my S.O. doesn't know about" ok ? If you do you'll spoil it for everyone....

;-)

I'm ambivalent, the % diff that the banks or paypal charge don't have a big bearing on most of my purchases; nowhere near as big as the current exchange rate when I make a decision to purchase.

[AlexS]

I use the debit card that SWMBO doesn't... Oops, sorry, just noticed Poundy's post.

I send a money order. (Says he, lying through his teeth.)

[Simplicity]

I just use PayPal, it’s simple and that suits me a lot.
But, I think the most expensive I’ve ordered on line would be under $200 .


Cheers Matt.
Ps I prefer to let Sally see the invoices in my email account, it’s more fun that way.

[LanceC]

PayPal, linked to a credit card.

It provides double safety in that I can dispute the charge with PP or the CC company.

[AJ.]

PayPal, linked to a credit card.

It provides double safety in that I can dispute the charge with PP or the CC company.

For my couple of purchases I did exactly this, and as a bonus the missus doesn’t see........ oh sorry not meant to say that

Cheers Andrew

[Fluddman]

Paypal. And have had no drama.

[Fuzzie]

I use one of the 6 overseas bank accounts the tax man doesn't...... oops

[Lappa]

I use Paypal linked to a credit card if they have that option. Last purchase in Holland for 54 Euro attracted a 7.41 Euro “costs bank transfer / PayPal” which I didn’t know was coming
However I was warned of the 51.30 Euro “Costs of transport export” I had no option for either costs as they are the only manufacturer in the world.

[Chesand]

I set up a separate bank A/c for all internet use which never has more than $500 in it. If the purchase is greater than that, I top it up. It costs $3 a month for card fees but I reckon it is worth it as there is no access to the major credit card.
If we buy from overseas -very rarely - I just wear the transaction fee.
Yes, SWMBO has access to it and spends more on it than I do.

[Glider]

I don't buy much from overseas but I would use one of my Travel Money Cards if I did. They are essentially debit cards with foreign funds held in credit. Easy to reload at the forex bank rack rate and also very easy to unlock, reuse and lock again straight after use.

EVERY time I travel to America, someone rips off my normal credit card.

mick

[justonething]

I do buy quite a bit from overseas online shopping, and the money saved with no transaction fees are noticeable to me. What I do is similar to a lot of fellow forumers - using a debit Visa card, similar to a pre-paid credit card, and I recently discovered that using PayID, I only need to transfer money into the account minutes before the purchase. Otherwise, there is not much in the balance.

I have also used PayPal before, and I still do sometimes, and the advantages and disadvantages of doing so from my own perspectives, are:

1. You don't have to give your credit card details to the merchant, especially if they are unknown to you. One of the usual takeaway places that I order from stores my credit card details as cookies on my browser. So using Paypal gives you that level of protection - hiding your credit card details.
2. PayPal would by default convert into AUD for you, using their own in-house exchange rate. It usually works out to be about the same as using your own credit card and pay the 3% foreign transaction fees. But you can opt to pay in merchants currency I guess.
3. They keep track of your spending habits and collect metadata from them. This could be good - if you want to review your transactions, but bad - privacy issues, on top of Banks who are already collecting data from my transaction, and this is even more intrusive than banks because PayPal can link the digital footprint of my browser history that led to the transactions.
4. PayPal stores my bank details if I use my PayPal account - I am obsessed with having as small a digital footprint as possible. If I don't use my account, I don't get the additional protection offered by PayPal - I can't open a dispute etc.

But if I don't trust the merchant, I would use Paypal.

As far as uninforming my better half. I have tried the following tactics

1. Using an account that she doesn't know or check. However, my PayID is set up in such a way all outgoing fund has to be via a staging account. And she keeps an eye on that account and quizzes me for anything that is out of the ordinary.
2. I told her that the tools that I buy actually increases in value with time, like an investment.... not very successful there.
3. I would continue to work instead of retiring because I need to fund my tool purchases --- sort of half successful.
4. Now that we are locked down at home, there are no overseas trips, no going out for dinner, no entertainment expenses. So I'm not spending that much .....
5. The usual, - I got a lot of projects in the pipeline.

[ian]

I have a major bank "travel money card" (16 digit card number, plus expiry date and CVC), which I periodically top up on-line.
The card works for most of the transactions I need or wish to make -- never had a tool retailer not accept it. In 6 tears of living O/S I've only had to resort to using a post-pay credit card and paying the 3-5% "because you're an Australian so we can" foreign exchange fee a handful of times.

The advantages for me are:
no foreign exchange fee
a competitive exchange rate no matter whether I'm buying in the US, Europe, NZ, UK, Canada, etc
wide merchant acceptance

The disadvantages are limited to one (1) retailer -- Cosco (fuel and food purchases), who has an exclusive deal with MasterCard.

[verawood]

PayPal, linked to a credit card.

It provides double safety in that I can dispute the charge with PP or the CC company.

Same where possible.
Ali Express credit card for charge back option in case of non delivery