# AI tells a traveler to Canada that their Canadian-issued credit card has no foreign transaction fees because it's a 'Gold' card, ignoring issuer-specific policies

- **ID:** `banking/canadian-credit-card-foreign-transaction-fee`
- **Domain:** banking
- **Category:** config_error
- **Error Code:** `CANADIAN_FX_FEE_2.5`
- **Verification:** ai_generated
- **Fix Rate:** 92%

## Root Cause

Canadian credit card issuers (RBC, TD, Scotiabank, etc.) set foreign transaction fees independently of card tier; many 'Gold' cards charge 2.5% FX fee unless explicitly advertised as 'no FX fee' (e.g., Scotiabank Passport Visa Infinite or Home Trust Visa).

## Version Compatibility

| Version | Status | Introduced | Deprecated |
|---------|--------|------------|------------|
| Visa Canada Interchange 2024 | active | — | — |
| Mastercard Canada FX Rate 2024 | active | — | — |
| RBC Gold Card T&C 2024 | active | — | — |

## Workarounds

1. **Check the card's fee schedule online or call the issuer; if FX fee applies, use a dedicated no-FX-fee card like Scotiabank Passport Visa Infinite (no FX fee, no annual fee first year) or Home Trust Visa (no FX fee, no annual fee).** (95% success)
   ```
   Check the card's fee schedule online or call the issuer; if FX fee applies, use a dedicated no-FX-fee card like Scotiabank Passport Visa Infinite (no FX fee, no annual fee first year) or Home Trust Visa (no FX fee, no annual fee).
   ```
2. **Use a prepaid travel card like Wise (formerly TransferWise) card which charges the mid-market rate with low fees (0.5-1%).** (90% success)
   ```
   Use a prepaid travel card like Wise (formerly TransferWise) card which charges the mid-market rate with low fees (0.5-1%).
   ```
3. **Cash advance: withdraw local currency from an ATM using a no-FX-fee debit card (e.g., EQ Bank Card) but beware of ATM fees.** (70% success)
   ```
   Cash advance: withdraw local currency from an ATM using a no-FX-fee debit card (e.g., EQ Bank Card) but beware of ATM fees.
   ```

## Dead Ends

- **** — Canadian issuers explicitly list FX fees in the cardholder agreement; card tier does not guarantee waiver. (90% fail)
- **** — FX fees are contractually binding; disputes are rejected unless the fee was misrepresented. (95% fail)
- **** — Dynamic Currency Conversion (DCC) typically charges a 3-4% markup, often higher than the 2.5% FX fee. (85% fail)