NEWS, EVENTS, PUBLICATIONS & EMERGING ISSUES

SW&M EMERGING ISSUE
June 24, 2008

VISA INTERNATIONAL SERVICE ASSESSMENT (ISA) FEES - MORE COMMONLY CALLED FOREIGN TRANSACTION FEES

Effective April 2008, Visa began imposing a revised Foreign Transaction Fee on card issuers. This revised fee structure is similar to the international transaction fee imposed by MasterCard. The new Visa Foreign Transaction Fee replaces the prior 1.0% fee imposed on international transactions. The revised Foreign Transaction Fee structure is as follows:

1. A 1.0% multi-currency transaction fees for international transactions that require a currency conversion; and



2. A 0.8% single currency transaction fee imposed on international transactions that do not require a currency conversion.
   In the event your credit union passes through Visa's Foreign Transactions Fees to member cardholders, the changes in the fees will need to be reflected in Visa credit and debit card disclosures. In addition, existing Visa credit and debit cardholders must be provided notice of the changes to the Foreign Transactions Fees in an appropriate change in terms notice.

Please contact our office if your credit union has any questions regarding the Foreign Transactions Fee or changes the credit union should implement in relation to Visa disclosures and processing measures.

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