Foreign Transaction Fees

Do final payments made to Oceania by a US customer using a US credit card ever result in a foreign exchange fee being imposed by a bank because Oceania processed the payment offshore? I understand the issue with respect to settling a cruise account balance, but I am curious about final payments specifically.

No fees! Payment processed same as any US retail vendor when you use a US credit card. Same when using a US card onboard (scanned at embarkation) for accrued onboard charges.

While that may be true today, you never know when a company may decide to use an offshore bank. I've been burned by that before. That's why I got a credit card that has no foreign transaction fees. I use it any time when I'm not sure where the transaction will be processed.

If any company does charge your card and a transaction charge occurs, just call the company and that transaction charge gets credited back to your account.

There was a time a year or so ago when payments charged on US credit cards by Regent (same Finance Department as Oceania) went through an Irish Bank and so FTCs were levied. Regent reversed these and as far as I know this does not happen anymore.

I believe the reason for the Irish bank had something to do with the way Regent was doing its banking. Anyway the problem was addressed and solved.

The same thing used to happen to some Oceania passengers as well but it's been quite a while since I've seen a complaint. The fees were always reversed when the passenger called O.

Mura

At least as of February, final cruise payments and any other pre-cruise charges (like alcohol packages, tour bookings) didn't incur a Foreign Transaction fee, nor did any deposit you put down on a future cruise while on board an Oceania ship. BUT, any other on board ship charges (like Internet fees, alcohol, tours, boutique, etc.) do incur the fee.

Oceania works in US dollars because they are a US company. If you are paying on US dollars there is no foreign transaction. If they are playing games to beat the IRS that should not reflect on you.

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Actually, that's not true. Just because you are paying in US dollars does not mean you won't be charged a transaction fee. As someone mentioned, this happened with Regent Cruises.

We just had a friend who just came back from Viking cruises last week. He paid in US dollars and ended up with $100 in foreign transaction fees. He was credited for them, but he had to call about that.

Actually, that's not true. Just because you are paying in US dollars does not mean you won't be charged a transaction fee. As someone mentioned, this happened with Regent Cruises.

 

We just had a friend who just came back from Viking cruises last week. He paid in US dollars and ended up with $100 in foreign transaction fees. He was credited for them, but he had to call about that.

Agreed. As Mura mentioned above, this used to be an issue with Oceania as well due to their Irish banks. If you do a search, you'll probably find old threads here where this has been discussed.

Thankfully, it's no longer an issue.

PS See here:

http://boards.cruisecritic.com/showthread.php?t=1593196&highlight=foreign+transaction+fees

and here:

http://boards.cruisecritic.com/showthread.php?t=1387927&highlight=foreign+transaction+fees

There are more threads on this topic as well

Oceania works in US dollars because they are a US company. If you are paying on US dollars there is no foreign transaction. If they are playing games to beat the IRS that should not reflect on you.

 

 

 

 

Sent from my XT1032 using Forums mobile app

It's amazing how provincial Americans can be. :rolleyes:

By virtue of just about every fact of their existance, Oceania is an INTERNATIONAL Company.

Sure, they are headquartered in the United States, but the ships are registered in, and fly the flag of, the Marshall Islands.

They sail to every corner of the World, and Majuro is listed as their home port.

Agreed. As Mura mentioned above, this used to be an issue with Oceania as well due to their Irish banks. If you do a search, you'll probably find old threads here where this has been discussed.

Thankfully, it's no longer an issue.

PS See here:

http://boards.cruisecritic.com/showthread.php?t=1593196&highlight=foreign+transaction+fees

and here:

http://boards.cruisecritic.com/showthread.php?t=1387927&highlight=foreign+transaction+fees

There are more threads on this topic as well

I wasn't aware that is no longer an issue. I always pay with a card that has no FTF for Oceania related charges but would rather pay with another card that I prefer the earnings on, but charges FTFs. If that's the case I'll change cards. Thanks for the info.

I wasn't aware that is no longer an issue. I always pay with a card that has no FTF for Oceania related charges but would rather pay with another card that I prefer the earnings on, but charges FTFs. If that's the case I'll change cards. Thanks for the info.

To be honest, I am not certain that this is no longer an issue as I also pay with such a card. I say that it is no longer an issue as I have not seen posts about this for some time now so I assume it is not an issue.

I guess, one should never assume...:D

It's amazing how provincial Americans can be. :rolleyes:

 

By virtue of just about every fact of their existance, Oceania is an INTERNATIONAL Company.

Sure, they are headquartered in the United States, but the ships are registered in, and fly the flag of, the Marshall Islands.

 

They sail to every corner of the World, and Majuro is listed as their home port.

 

What the OP was alluding to was that Oceania is a US based company with headquarters in the United States. Most companies are International companies but, it is where they are headquartered is how they are referred to as US, English, French, etc. countries.

As to the flagging and home port of the ships, they cannot be flagged or home ported in the US due to provisions of the Jones act so that doesn't have anything to do with calling a company a ???? company.

Because Oceania is HQ'd in the US, its' finances are in US Dollars as the OP stated. Just because O has offices and the ships travel to other countries, they are a US company unless or until they change their HQ even to having a mail drop which some companies are currently doing to avoid US taxes.

What I stated in post #7 was correct as of Feb when I was on the Riviera and saw the cruise consultant to book a future cruise. I showed up with 2 credit cards.... one where I could be charged a FTF and one where I wouldn't be (our Cap One card).... and I asked her if I needed to use my Cap One to avoid a FTF. She said that wasn't necessary for future cruise bookings, but I should be sure to use the Cap One card for on board expenses as Oceania is using an overseas bank for those purchases.

What the OP was alluding to was that Oceania is a US based company with headquarters in the United States. Most companies are International companies but, it is where they are headquartered is how they are referred to as US, English, French, etc. countries.

 

As to the flagging and home port of the ships, they cannot be flagged or home ported in the US due to provisions of the Jones act so that doesn't have anything to do with calling a company a ???? company.

 

Because Oceania is HQ'd in the US, its' finances are in US Dollars as the OP stated. Just because O has offices and the ships travel to other countries, they are a US company unless or until they change their HQ even to having a mail drop which some companies are currently doing to avoid US taxes.

You only half know your facts, Dave, the Jones Act concerns commerce between United States Ports.

Oceania chooses not to flag their ships in the USA because of the onerous burden of staffing those ships with Americans who are, lets face it, poor servants at best and wildly expensive in comparison to International Staff.

At any rate, my point in calling Oceania an International Company was that for a time they found it advantageous to use a European (i.e. Irish) Bank to process some credit card transactions, rather than a local Florida concern This was completely understandable given their International scope of business.

When that Bank began assessing foreign transaction fee's on American customers, which had not been the case originally, Oceania first refunded the fees and later changed banks.

You only half know your facts, Dave, the Jones Act concerns commerce between United States Ports.

 

Oceania chooses not to flag their ships in the USA because of the onerous burden of staffing those ships with Americans who are, lets face it, poor servants at best and wildly expensive in comparison to International Staff.

 

At any rate, my point in calling Oceania an International Company was that for a time they found it advantageous to use a European (i.e. Irish) Bank to process some credit card transactions, rather than a local Florida concern This was completely understandable given their International scope of business.

 

When that Bank began assessing foreign transaction fee's on American customers, which had not been the case originally, Oceania first refunded the fees and later changed banks.

Jim, agree O is an international company and they have the right to bank where they choose and are headquarted in the US making them a US Company if one choose to put a country with them.

As to the Jones Act, true it requires an all US Crew which while possible, O chooses not to do but, it also requires the ship to have been built in the US which obviously none of O's ship were thus O cannot flag their ships in the US because of the Jones Act. Where ships are flagged does not determine and has nothing to do with the country of the company.

Because of the Jones Act, the only US flagged Internationl Cruise ships are those that cruise Hawaii and have to be US Flagged as they don't stop in Foreign Ports. Your reasons are valid but, don't require O to flage the ships outside the US but, the Jones Act does.

"46 USC § 50101 – Objectives and policy (a) Objectives.— It is necessary for the national defense and the development of the domestic and foreign commerce of the United States that the United States have a merchant marine— (1) sufficient to carry the waterborne domestic commerce and a substantial part of the waterborne export and import foreign commerce of the United States and to provide shipping service essential for maintaining the flow of the waterborne domestic and foreign commerce at all times; (2) capable of serving as a naval and military auxiliary in time of war or national emergency; (3) owned and operated as vessels of the United States by citizens of the United States; (4) composed of the best-equipped, safest, and most suitable types of vessels constructed in the United States and manned with a trained and efficient citizen personnel; and (5) supplemented by efficient facilities for building and repairing vessels. (b) Policy.— It is the policy of the United States to encourage and aid the development and maintenance of a merchant marine satisfying the objectives described in subsection (a)."[5]

 

... Majuro is listed as their home port.

I think it is strange/funny that none of the O ships have ever visited their "home" port of Majuro. Having been there myself, I can't say that I blame them for never docking there :D

It is my understanding that it was during the Gold Rush days. Many have tried to revisit it. It may be that America is losing a lot by not rewriting this.

Whether or not they are an "International" company is not the issue

An ordinary customer is likely to anticipate that when booking with them, in USD with H.O. in Miami, the transaction would not incur a foreign transaction fee. While you might expect to incur a fee if using a USD CC card on a purchase from amazon.ca but not from amazon.com. 'Amazon, Inc' (or whatever) certainly appears to an 'international' company though has no ships to foreign flag.

The issue with with the perception of their customer, rightly or wrongly.

How many posts of outrage were there on this board (as another poster mentioned not for a while though). And at that time, O would rebate the the fee to appease. As posted arguing over that 'refund,' O did not receive that fee, though they do have financial benefit by banking in Ireland and which is causing the fee, so had nothing to 'refund' but were reaching into their own pocket.

So why do that? Because of customer expectation.

Yes, the work-around is to find a card that does not charge such a fee. One of mine does not but more and more are, and I am afraid, with fewer offerings in Canada I will soon run out of options.

TD Bank is touting their 'Travel "visa which incredibly has a foreign transaction fee. Did I mention it is called a Travel card? If I buy from O and it is in USD even if they do NOT run it through a bank in Ireland it seems to me this TD card would charge a fee. Ridiculous BUT they are successful with selling this card so who am I to say they are wrong. As a consumer i have to be more aware.

As for O's current position - you're on your own. In practice, in response to a complaint they might still rebate the fee but are not obligated to. Nor should count on that happening for them just becasue it did hppen for someone else. O has it posted in their FAQ, which are not found intuitively, so buyer be aware.

"Oceania Cruises credit card transactions are processed through our bank in U.S. Dollars. Please be aware that some Visa, Discover Card and MasterCard issuing banks impose a “Foreign Transaction Fee” on credit card transactions for on board purchases and purchases processed outside of the U.S. even if the transaction is denominated in U.S. Dollars. Oceania Cruises accepts no responsibility for foreign currency/transaction fees charged by credit card companies. Guests should check with their individual credit card companies for more information."

 

Oceania chooses not to flag their ships in the USA because of the onerous burden of staffing those ships with Americans who are, lets face it, poor servants at best and wildly expensive in comparison to International Staff.

 

Americans are poor servants!!!and paid too much!!!so let's use international staff who we can pay nothing, work long hours and who will kiss our ***. Who do you really think you are?

Whether or not they are an "International" company is not the issue

 

An ordinary customer is likely to anticipate that when booking with them, in USD with H.O. in Miami, the transaction would not incur a foreign transaction fee. While you might expect to incur a fee if using a USD CC card on a purchase from amazon.ca but not from amazon.com. 'Amazon, Inc' (or whatever) certainly appears to an 'international' company though has no ships to foreign flag.

 

The issue with with the perception of their customer, rightly or wrongly.

 

How many posts of outrage were there on this board (as another poster mentioned not for a while though). And at that time, O would rebate the the fee to appease. As posted arguing over that 'refund,' O did not receive that fee, though they do have financial benefit by banking in Ireland and which is causing the fee, so had nothing to 'refund' but were reaching into their own pocket.

 

So why do that? Because of customer expectation.

 

Yes, the work-around is to find a card that does not charge such a fee. One of mine does not but more and more are, and I am afraid, with fewer offerings in Canada I will soon run out of options.

 

TD Bank is touting their 'Travel "visa which incredibly has a foreign transaction fee. Did I mention it is called a Travel card? If I buy from O and it is in USD even if they do NOT run it through a bank in Ireland it seems to me this TD card would charge a fee. Ridiculous BUT they are successful with selling this card so who am I to say they are wrong. As a consumer i have to be more aware.

 

As for O's current position - you're on your own. In practice, in response to a complaint they might still rebate the fee but are not obligated to. Nor should count on that happening for them just becasue it did hppen for someone else. O has it posted in their FAQ, which are not found intuitively, so buyer be aware.

 

"Oceania Cruises credit card transactions are processed through our bank in U.S. Dollars. Please be aware that some Visa, Discover Card and MasterCard issuing banks impose a “Foreign Transaction Fee” on credit card transactions for on board purchases and purchases processed outside of the U.S. even if the transaction is denominated in U.S. Dollars. Oceania Cruises accepts no responsibility for foreign currency/transaction fees charged by credit card companies. Guests should check with their individual credit card companies for more information."

Too slow to edit so quoting myself to add.

The problem is as a prospective pax, unless we have a fee-free card ,we just don't know if /when O switches banks again and the fee is charge. On FP it would not be an insignificant amount - more than the 'dollars' off saving for on-board booking promos

So *IF* O chooses to use a foreign bank for their benefit and *IF* I choose to use a CC that otherwise has a FT fee for my personal benefit, then one of us has to 'blink' or there is no sale.

Another problem is if you get your TA to confirm O will not be handling the transaction 'offshore' so no FT fee (in writing) before making the deposit, the FP is often so long away that O's banking arrangements could very well have changed (and even changed back)

There is no completely safe path. The closest I can think of is to use a CC that has no FT fee and HOPE that it does not change its Terms before you make FP and, if it does then HOPE O will rebate the fee on FP.

Not a lot of assuredness or control because of the others business practices.

Hmmm... Or take your ball elsewhere or stay home :{

Capital One

Chase Preferred

Centurion by Amex...only issued by Amex.

Others may know more, but don't work it over...get another card!

 

Oceania chooses not to flag their ships in the USA because of the onerous burden of staffing those ships with Americans who are, lets face it, poor servants at best and wildly expensive in comparison to International Staff.

 

Americans are poor servants!!!and paid too much!!!so let's use international staff who we can pay nothing, work long hours and who will kiss our ***. Who do you really think you are?

 

I think that I'm a realist who has stated a truth about why there is presently only one U.S. Registered Cruise Ship. Take a moment to think about WHY that is.

 

The economics of the situation are the economics of the situation.

 

By the way, Americans (and I'm using that as shorthand for U.S. Citizens) really DO make horrible servants, because we were not raised with a servile mentality.

If you tell an American Steward that the floor is filthy, he will just as likely fetch you a broom as clean it himself.

 

I think that I'm a realist who has stated a truth about why there is presently only one U.S. Registered Cruise Ship. Take a moment to think about WHY that is.

 

The economics of the situation are the economics of the situation.

 

 

As stated and quoted earlier on this thread, yes, the use of US crew is one of the reasons however, even if a cruise line chose to use a US crew, the ship still could not be US flagged as NO cruise ships have been built in the US in many many years and highly doubtful any more will ever be built due to the costs to build as well as no US shipyard capable of building a modern cruise ship!!!