Bank Account for Small Business without International Transaction Fee

Lsunnycoliving on 20/08/2019 - 10:38
Last edited 20/08/2019 - 11:04 by 1 other user

Hi everyone,

I recently started my ecom business selling stuffs online.Everything is going alright, however every time I make a transaction in USD I was charged about 3% overseas transaction fee by my bank (NAB Business). Unfortunately, most of my transactions are in USD (Shopify billing, Aliexpress, Alibaba, Facebook, Google, Amazon US).

As a result, the overseas transaction fee plus the unfavourable exchange rate are killing the profit.

I contacted HSBC but they don't deal with small business in Australia (they require an annual turnover of more than 2 million AUD).
I've been looking around but haven't found any solution yet. I'm pretty sure many likewise entrepreneurs have encountered the same issue like mine. If so can you share some tips or any solutions.

Thank you very much.

• 

  Baysew on 20/08/2019 - 10:46

  +1

  Just make you International purchases with one of these cards Cards with No Overseas Transaction Fees and reimburse out of you Business Account.

  • 

    brokenglish on 20/08/2019 - 11:17

    +1

    ^ This is how I do it as well. Banks dont offer free cards for that purpose for businesses. They know you’re making $.

    • 

      Soluble on 20/08/2019 - 14:36

      Yep, I pay with personal card, load the bill and pay the card. I use the Coles mastercard, any mount over the card limit I pay the bill early and put the card into credit seeing as they denied my credit increase application :(

• 

  bokka on 20/08/2019 - 11:26

  See this comment:
  https://www.ozbargain.com.au/node/477974#comment-7630372

• 

  pjetson on 20/08/2019 - 11:51

  +2

  selling stuffs online

  Very popular product, those stuffs.

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  JimmyF on 20/08/2019 - 13:12

  +1

  the overseas transaction fee plus the unfavourable exchange rate are killing the profit.

  You can't do anything about the exchange rate, and the 3% transaction fee, shouldn't be killing your profit!

  Why not create an account in the USA and keep some 'money' over there for these types of fees.

• 

  sunnycoliving on 20/08/2019 - 18:09

  Wow! Thank you everyone for your prompt response. Very useful information, sth I wouldn't have known without asking on this forum. I'm really really appreciated.