Hi @user90 ,
We apprecate your question! To clarify, are you pertaining to the foreign exchange fees that are charged with WooPayments? Do note that if your store’s default currency is set to AUD and your customers pay in USD, a conversion fee is applied when changing USD to AUD for your payout.
It’s important for customers to know that their payment may still be subject to this conversion fee, which is separate from any fees their bank may impose for international transactions.
Here are more details about these fees:
Hope this helps clarify the fees your customers are experiencing.
Just like I mentioned before, my store default currency is USD. Because I am based in Australia, my woopayment payouts to my bank account after they have been processed by woopayment plugin arrive into my bank account in AUD. It’s an AUD bank account. Store default currency is USD. When I pay in my store with my Australian card, my bank records don’t show conversion rate fee. Does that mean that USA customers who pay in my store where currency is set to USD are being charged international fee because my payouts with woopayment go to AUD bank account even though they pay in USD and store currency is set to USD? It’s kind of universal knowledge that if you live in one country and pay in a shop with different currency, you will be charged a conversion fee by a bank. My problem here is I want to know that in my situation, will customers who are in USA paying with USD on my site where currency is set to USD , will they still be charged a fee by a bank in USA?
please note that the links you provided do not mention additional fees that customers may have to pay on top to their bank. The articles are only mentioning fees paid by merchants that are charged by woopayment plugin. This is not what my question is about. Thank you.
Hi @user901
Thank you for reaching out with your concern. I understand that your U.S. customers are experiencing unexpected international transaction fees, even though your store prices are in USD.
This situation arises because, while transactions are in USD, they’re processed through your Australian-based merchant account. Many banks classify such transactions as international, leading to additional fees for the customer.
To enhance your customers’ experience and avoid these extra charges, consider setting up a U.S.-based merchant account. This approach ensures that transactions are processed domestically for your U.S. customers, eliminating international fees. While this involves establishing a U.S. bank account and adhering to local regulations, it can significantly improve customer satisfaction.
You will find more information about the Foreign Transaction Fees Vs. Currency Conversion Fees
I hope this information helps.
Thanks so much for all the info!! Very helpful!Really appreciate it!
