thestoloffs wrote:
Per Investopedia and my 20 years working in Financial Services on Wall Street, a basis point in currency is 1/100 of 1%, not 1% as your telephone agent indicated.
So, it's still a better deal (today's rate fix + 0.02%) than paying today's rate fix + the foreign exchange fee of 2.5%.
The reason I inquired in the first place is that I have heard many different theories on what a "Basis point" actually represents. I did not want to assume what it might be but what you are saying is closer to what I actually thought it was. If in fact that is what they are charging then it is a better deal for me once the fuel discount overtakes the $25 I have to pay for a Good Sam membership that I really don't need. The biggest incentive is that with this card I can swipe it at the pump and do not have to go inside first to prepay on my Canadian credit card.
I also have a VISA card that does not charge the extra 2.5% on foreign exchange. I only pay the rate fix for that day.
