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Palau foreign transaction fee?

3 posts
Palau foreign transaction fee?

As Pulao is associated with the U.S and uses US dollars, is there a foreign transaction fee when using a US credit card? Has anyone recently used a Visa card or Amex card in Pulau? I can’t get a straight answer from Amex.

2 replies to this topic
Level Contributor
59 posts
1. Re: Palau foreign transaction fee?

Hello. Still some hotels accept amex. Unfortunately because of high charges by amex many businesses and establishments no longer accept amex. Visa, mastercard, dinersclub,jcb accepted.

3 posts
2. Re: Palau foreign transaction fee?

I just returned from Palau. A fishing and scuba diving company told me that Amex charges them 40%. Her example was with a charge of $100, Amex would take $40, and pay them $60. If correct, this is beyond unreasonable. I found that no local establishments take Amex. The only place that accepts Amex is at the airport gift shop. I charged a $2 coke at the airport and so far no foreign transaction fee has shown up on my statement. Calling Amex previously they were non committal, but implied anything outside the continental US would be charged such a fee. The Amex agent would only state that they would make a determination based on what currency the merchant presented the transaction. They would not answer about Palau, which is a special case because the use US dollars as their currency. I find fewer and fewer reasons to use my Amex anymore overseas.

In Palau I charged things to my Visa without a problem. I was able to withdraw cash from the atm at the Bank of Guam, but not the Bank of Hawaii in the city. This was weird as I used a Capital One atm card that does work in Hawaii. There is one small atm at the airport, charges a $3 fee. Cash is preferred by most small businesses.

Palau is beautiful, I took the pledge and packed out all the self-generated trash I brought in.

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