Unexpected charges to US buyers for buying in CAD through PayPal

[dipmicro]

This question if list in USD or CAD pops up here often, but so far I never seen anyone mentioning this issue. In fact after so many years in business, I only learned of this now.

Americans are charged mystery banking fees if item listed in CAD

Even if PayPal does currency conversion before submitting to bank.

My friend purchased something from China seller listed in CAD using his VISA through his PayPal account and bank (M&T) charged additional $0.50. It came up as (INTERNATIONAL FEE - PAYPAL *SELLER) on the statement.

He told me he called PayPal first, they told him it's not theirs, so he called bank and they told him it was charged because "transaction was processed overseas in Toronto, Canada" 

I always use PayPal balance, but I suspect something similar may happen if Canadian VISA is used to buy from US? 

[marnotom!]

I think this is a stunt that's pulled just by U.S. banks.

What I suspect happens with Canadian credit card users is that commissions and other extra charges tacked on by the card issuer (i.e. bank or credit union) or the credit card company (i.e. VISA, MasterCard) get folded into the exchange rate instead of appearing as an additional charge.

I've read in the past posts by U.S. buyers where their credit card issuer has levied a fee similar to the one you've described on transactions conducted in U.S. dollars with sellers from countries other than the U.S., so I don't think this is a complication exclusive to Canadian dollar sales; a Canadian listing in U.S. dollars may be subject to the same fee(s).