Dear Editor,

We are writing in response to an article titled “Unfair Citibank Imposes 8% Currency Conversion Fee for Local Website Purchases” written by Allen Tan that was published on All Singapore Stuff website ( on May 24, 2016.

In the article, the writer stated that Citibank had imposed a “Currency Conversion Fee” of 8% on his Visa credit card for an online transaction that he had made on Groupon Singapore’s website.

We would like to clarify that the “Currency Conversion Fee” which the writer was referring to was an international transaction fee that was incurred when the SGD card transaction was processed outside Singapore, which applied to the writer’s case as the merchant, Groupon, is based outside Singapore. We would also like to clarify that the international transaction fee is 0.8% for SGD VISA card transactions, not 8% as stated by the writer.

As a standard industry practice, such international transaction fee is charged to credit card issuers including Citibank by the global payment networks such as VISA, for transactions where the SGD card transactions, including online transactions, are processed under two scenarios; (1) with a local merchant whose payments are processed through an overseas intermediary, or (2) with a merchant who is registered as an overseas merchant regardless of its actual location.

We would like to take this opportunity to remind cardholders to note that there will be additional charges or fees incurred (such as the international transaction fee and FX charges) on transactions depending on the channel/mode on which the transactions are made or location through which the transactions are processed.

Details of Citibank’s banking and card fees (including the international transaction fees in respect of the SGD card transactions processed outside Singapore imposed by the various global networks) are available at the following links:

We would also like to request the writer to contact Citibank at [email protected], quoting reference number: 300520161340573385, so that we may further explain the situation to him.

Thank you.

Adam Rahman
Head of Corporate Affairs
Citi Singapore

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