1. The foreign exchange rate of the credit card will be automatically converted into RMB account through the UnionPay channel according to the dynamic exchange rate at that time; The dual-currency credit card swipes the US dollar channel and directly enters the country from US dollars. When the repayment requires the cardholder to purchase foreign exchange for repayment, it is based on the selling price of the foreign exchange purchased by the issuing bank on the same day; All currency credit cards are automatically converted into RMB when swiped; Some card-issuing banks are exempt from 1.5% handling fee, and some card-issuing lines are converted according to their own exchange rate, which is generally more favorable.
2. When swiping a card, the credit card is subject to a "dual exchange rate" abroad, that is, the local currency is first converted into US dollars, and then converted into RMB according to US dollars. This conversion process will actually generate additional exchange losses. When you invest a lot of money, the conversion cost will be high. When spending abroad, there are two kinds of credit cards that can be exempted from exchange fees. One is a local currency credit card, and the other is a UnionPay card. The former is only rarely used in tourism, although the latter is more, but it needs to consult customer service, considering the popularity of UnionPay tourism trading equipment. Recently, in order to avoid unnecessary foreign exchange losses, credit cards have appeared to keep accounts and pay bills in RMB.
3. if the unionpay settlement network is used, all foreign currency transactions will be recorded according to the unionpay exchange rate on the day of swiping the card, and will be settled in RMB after exchange. With Visa, all transactions are registered in foreign currency. Reimbursement can be made directly in foreign currency or converted into RMB according to the foreign exchange rate of the bank where the account is opened on the reimbursement date. Cardholders can also open an automatic exchange service, which is exchanged by the bank according to the exchange rate corresponding to the repayment date. It is worth noting that if the foreign currency account is USD and the transaction is in a non-USD currency, the bank will charge a currency exchange fee, which is generally 1.1%-1.5% of the transaction amount.
4. If you choose a Gucci backpack in the United States on August 1th, the price in the United States is $1,368.86. If you used Visa full currency credit card at that time, the exchange rate of RMB to US dollar announced by Visa on that day will prevail. Change it into RMB 85 and put it in your RMB account. When you return to China on August 13th, you only need to return 85 RMB.
foreign exchange rate: expressed by the amount of domestic currency that can be converted into one unit of foreign currency, called foreign exchange rate. China usually uses 1 units of foreign currency as the standard and converts it into a certain amount of RMB, that is to say, RMB represents the price of a foreign currency. This formula is foreign currency per unit = X￥1 yuan.