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Using Uber while traveling abroad is a great way to avoid language barriers and sneaky taxi drivers who might want to take you on the longer, more expensive route to your destination.
Despite introducing Uber’s newest policy, you can still use the rideshare app effectively for international rides.
Preferred Currency Pricing is a new Uber feature that allows you to pay for rides in your home or preferred currency instead of the currency of the country you’re visiting.
On the surface, it sounds like a helpful feature, as travelers will always see the cost of their rides in a currency they understand. The problem is that Uber will also charge a 1.5-percent fee to convert the foreign currency to your preferred one.
Suppose you have one of the many credit cards that offer currency conversion without any fees, such as the Chase Sapphire Preferred or the Capital One Venture. In that case, this automatic Uber surcharge will only make your ride more expensive.
“If you choose to pay in the local currency, your bank or payment method provider may charge a conversion fee higher or lower than 1.5 percent, and additional foreign transaction fees may apply,” Uber explains.
The only case in which it makes sense to use Uber’s Preferred Currency Pricing is if your bank or credit card charges foreign transaction fees higher than 1.5 percent. In that case, this Preferred Currency Pricing will save you money.
Luckily, there is a way to turn off Uber’s newest feature if you need to. Here’s what to do:
1. Open your Uber app and click “Account” on the bottom right.
2. Go to your “Wallet,” which is typically towards the top
3. Scroll down to “Preferred Currency,” click it, and then select “No preferred currency.”
Suppose your card has no or low foreign transaction fees. In that case, it’s always best to pay in the local currency and “decline conversion” when withdrawing money from an ATM. This means that you’re letting the ATM do the currency conversion at its rate, which is often more favorable than the rate offered by your bank or card issuer.
Jessica is a freelance journalist on a quest to see and experience everything our gorgeous planet offers and share her experiences with her fellow travelers. Jessica has written for several world-class Travel Magazines.
