It’s High Time Amex Canada Eliminates Foreign Transaction Fees

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With Membership Rewards, airline transfer partners, airport lounges, hotel benefits, and statement credits, the Amex ecosystem offers plenty of value. I know because I regularly use these cards myself. But one benefit remains conspicuously absent from Amex Canada’s travel cards: no foreign transaction fees.

Take the American Express Platinum Card, for example. At $799 a year, it’s firmly positioned as a premium travel card, with benefits designed around the frequent international traveller. Yet, every time you make a purchase in a foreign currency, American Express charges a 2.5% currency conversion fee. For a card built around travel, that is becoming increasingly difficult to justify.

As Canadians change where they travel, airlines expand beyond the traditional domestic and U.S. market, and competing Canadian credit cards introduce compelling no-FX benefits, I think it’s time Amex Canada revisited its approach. Removing foreign transaction fees, even if initially limited to its premium cards, would help Amex Canada stand out amid the competition.

Canadians Are Travelling Differently

Amex acceptance in Canada is far more widespread than it was a decade ago, and in the US, it was always seamless for travel. For years, the U.S. was Canadians’ preferred international destination. Weekend shopping trips, Florida vacations, visits to New York, and cross-border travel were almost second nature. That relationship has changed.

According to Statistics Canada, return border crossings from the United States by Canadian residents dropped 25.4% in 2025 compared with 2024. Meanwhile, overseas travel benefited from that shift. Canadian visits to Europe increased 13.6%, while visits to Asia climbed 16.7% in 2025. The trend continued into the first quarter of 2026. August 2026 saw a year-over-year recovery in Canadian return trips from the U.S., although volumes remained substantially below August 2024.

Canadians are increasingly looking beyond the U.S. for international travel and spending considerable amounts of money in other markets. That matters for credit card issuers. A traveller spending two weeks in Japan, touring Europe, or visiting family in India is making dozens of transactions in foreign currencies. Hotels, restaurants, transportation, shopping, attractions, and everything in between. Those transactions add up quickly, and so does a 2.5% fee.

Airlines Are Following Travellers Into New Markets

Our two largest airlines are responding to evolving travel demand with increasingly diverse international networks. Air Canada has been expanding its reach across Europe, Asia and Latin America. Its winter 2026–27 plans add service to Quito, more flights to destinations including Lima and Santiago, and year-round service to Manchester and Copenhagen.

WestJet has also been growing beyond its traditional North American network. It has announced new Calgary–São Paulo flights for the upcoming winter season, and new routes to Mérida, Belize City, and Punta Cana, Liberia, creating a new nonstop connection between Western Canada and South America.

Canadian travellers have more opportunities to reach destinations outside North America nonstop, including destinations where American Express acceptance can be less predictable than Visa or Mastercard.

A premium travel card should ideally become more useful the farther its cardholder travels, not less.

The $799 Amex Platinum Has a Travel Card Problem

I want to be clear that I still see tremendous value in the Amex Platinum Card. I’ve enjoyed its airport lounge access, hotel privileges, Membership Rewards earning potential, and statement credits. We have covered the card extensively on PMB, including how to maximize the Amex Platinum statement credits. American Express has also made meaningful investments in its Canadian travel offering, including expanding its Aspire Amex lounge partnerships.

But it still lacks a no-foreign-transaction-fee benefit.

For example, someone spending $10,000 abroad annually would pay an additional $250 in foreign currency conversion charges on top of the $799 annual fee. Yes, the card earns Membership Rewards points, and I appreciate that those points can be worth considerably more than their basic redemption value when transferred strategically to airline partners.

But the 2.5% charge is real money. The value you eventually receive from those points depends on how you redeem them. For many travellers, a guaranteed 2.5% saving is considerably more appealing than trying to extract incremental value from points to offset a fee. What’s particularly frustrating is that the American Express Platinum Card issued in the United States already offers no foreign transaction fees.

If American Express recognizes no-FX as a meaningful feature of its U.S. premium travel card, why shouldn’t Canadian Platinum cardholders expect the same?

Spend More For Lounge Access, But Pay FX Fee While Doing So

Starting January 1, 2027, Canadian Platinum cardholders who don’t qualify for unlimited access will receive six complimentary visits each year to Plaza Premium and Priority Pass lounges. To maintain or unlock unlimited access to those networks, cardholders must meet Amex’s published $20,000 annual eligible spending threshold. We’ve already explored the implications in our PMB analysis of the American Express Platinum lounge changes.

Amex Canada increasingly wants its premium cardholders to put more spending on their cards to unlock travel benefits. Yet, for those of us who spend significant amounts abroad, doing so adds an extra 2.5% currency conversion fee. I’m effectively incentivized to use a different card for international purchases, even though I would otherwise be perfectly happy to put more spending through Amex.

Competition Moves Beyond Foreign Transaction Fees

It wasn’t too long ago that no-FX credit cards occupied a relatively small corner of the Canadian market. Today, consumers have multiple choices across major banks, fintechs, premium travel cards and even no-annual-fee products. And these aren’t cards that simply remove the FX fee while offering little else.

Scotiabank Passport Is a Serious Alternative

The Scotiabank Passport Visa Infinite Privilege Card is perhaps one of the clearest examples of a premium card that combines international spending benefits with a strong travel package. At a $599 annual fee, its benefits include:

• No foreign transaction fees on purchases made in foreign currencies.
• Ten complimentary airport lounge visits per cardholder annually through Visa Airport Companion.
• A $250 annual travel credit for qualifying bookings through Scene+ Travel, Powered by Expedia.
• Scene+ rewards earning, travel insurance and additional Visa Infinite Privilege benefits.

Even the less expensive Scotiabank Passport Visa Infinite + Card, with its $150 annual fee, includes no foreign transaction fees and six complimentary lounge visits. Rachel has already explored why these cards work particularly well abroad in her PMB review, No FX Fees + 3X Abroad: Why Scotiabank Passport Wins.

Another practical advantage of these Visa cards is their international acceptance. While American Express has improved international acceptance, the experience can still be inconsistent, particularly with smaller independent businesses in parts of Europe, Asia, and South America. I generally find Visa a more dependable option when travelling through those markets.

Even Scotiabank’s American Express Cards Offer No-FX

Scotiabank already offers no foreign transaction fees on its American Express-branded Gold and Platinum credit cards.

The Scotiabank Platinum American Express Card, for example, has a $399 annual fee, earns 2 Scene+ points per dollar on eligible purchases, offers the primary cardholder 10 complimentary annual airport lounge visits, and charges no foreign transaction fees. The Scotiabank Gold American Express Card also eliminates the standard 2.5% FX markup, despite having a much lower $120 annual fee.

So this isn’t a question of whether it can be done. It’s a question of whether Amex Canada wants to make it part of its own value proposition.

Capital One and Wealthsimple Are Raising the Stakes

And competition isn’t limited to premium products anymore. We recently covered Capital One’s new Quicksilver World and World Elite Mastercards, which entered the Canadian market with a surprisingly compelling combination. Both advertise no annual fee and no foreign exchange fees on purchases made outside Canada.

Wealthsimple has also positioned its Visa credit cards around a straightforward 2% cash back earning rate and no foreign transaction fees. Eligible customers who meet the published asset or qualifying direct-deposit requirements can waive the annual fee.

When a no-annual-fee Mastercard can offer the benefit, it becomes harder to explain why a $799 premium travel card cannot.

Why My Own Credit Card Strategy Has Changed

As a frequent traveller who spends far too much time thinking about credit card rewards, I appreciate the value of a strong points-earning strategy. At home in Canada, I still prefer American Express for everyday spending. The Amex Cobalt, in particular, is difficult to beat for eligible Canadian grocery and dining purchases. Membership Rewards also provides access to airline partners that can unlock outstanding value in Business and First Class.

But once I travel internationally, my approach changes. I generally switch to a two- or three-card strategy, with a Visa handling most of my international purchases, thanks to the no foreign transaction fee benefit.

If I’m spending several thousand dollars abroad, I’d rather earn a straightforward 1–2% return on a card without an FX fee than earn points on another card while paying an additional 2.5%. There are exceptions, of course: if an Amex card is offering an elevated spending bonus, a targeted Amex Offer, or an earning opportunity that delivers 3–5% or more in value, the equation can change.

Most travellers don’t want to calculate the opportunity cost of every restaurant bill, hotel payment or shopping purchase. They want to use their card, earn something worthwhile and avoid unnecessary charges.

Foreign Transaction Fees Aren’t Just About Travelling Abroad

Canadians don’t necessarily need to leave Canada to incur foreign transaction fees. Purchases made online in U.S. dollars or other foreign currencies can trigger the same conversion commission. This might include buying hotel loyalty points, purchasing goods from an international retailer, or booking directly with a hotel or travel provider in a foreign currency.

We recently discussed this in our Marriott Bonvoy points purchase guide, where card selection can materially affect the cost of buying points through Points.com. A card that earns an attractive number of points on general purchases can be useful. But a no-FX card can offer an equally compelling advantage when the transaction is charged in U.S. dollars.

The benefit is not simply about airport trips and vacations. It’s increasingly relevant to how Canadians shop, book, and spend internationally from home.

Membership Rewards Remain Excellent, but Not Everyone Is Chasing Award Travel

I don’t want this to come across as a criticism of the Membership Rewards program. Amex Canada has continued to invest in its rewards ecosystem, including improved airline transfer opportunities and elevated welcome offers on several Amex cards. A well-timed transfer bonus or a premium-cabin award redemption can deliver value that comfortably exceeds what a straightforward cash back card offers.

That’s a large part of what we teach and discuss at PMB. But I also think it’s important to recognize that not every Canadian traveller is a points optimizer. Not everyone wants to monitor airline award availability, transfer partners or redemption sweet spots. A 2.5% saving is immediate, easy to understand, and requires no loyalty-program knowledge.

More importantly, even those of us who love the complexities of points and miles appreciate guaranteed savings. The ideal premium travel card shouldn’t force its cardholders to choose between the two.

What I’d Like Amex Canada to Do (I know, I know…as if!)

I think Amex Canada should make no foreign transaction fees a core benefit of the premium travel cards. The personal and Business Platinum cards would be natural starting points, followed by consideration for its premium Aeroplan cards and, eventually, the broader portfolio.

Ideally, Amex would make this a permanent benefit rather than a promotional rebate or another perk tied to a minimum annual spending threshold. I would much rather see Amex preserve its existing rewards structure and eliminate the fee than introduce another complicated annual credit requiring cardholders to spend money at a specific merchant.

From a business perspective, I also wonder how much potential international card spending Amex Canada is currently losing to competing products. In my own case, the answer is a meaningful amount. If removing the FX fee encourages premium cardholders to use their Amex more often overseas, it could strengthen engagement and retain spending currently going to Visa and Mastercard competitors. Only American Express can model whether those additional transactions would fully offset the lost fee revenue. But it seems a question worth asking.

Takeaway: A Premium Travel Card Should Travel Well

I remain a fan of American Express cards in Canada, and Membership Rewards remains one of my preferred rewards currencies. The lounge partnerships, hotel benefits, airline transfers, and targeted offers all play a role in my travel strategy. But credit card competition in Canada is evolving. Travellers have more choices, more international destinations, and more alternatives that combine attractive rewards with no foreign transaction fees.

The days when avoiding the FX fee meant sacrificing meaningful rewards or premium benefits are increasingly behind us. I don’t believe a premium travel card needs to offer everything. But charging an additional 2.5% on international purchases feels outdated for a product designed to accompany travellers around the world.

It’s high time Amex Canada gave us a better reason to actually use their cards once we arrive at our destinations.