Points for overseas use “halved”…Is it a loss if you use your “Rakuten Card” overseas? Rakuten Card” overseas will lose half of its points when used overseas.
Point Redemption Rate” and “Processing Fee” for Overseas Usage Worsened from March 1
Rakuten Card has recently undergone significant rule changes. In particular, from March 1 of this year, the “processing fee” for overseas travel using Rakuten Card has been increased, and the “point redemption rate” has been reduced by half, depending on the international brand attached to the card.
In fact, prior to that, Rakuten Card-related services included restrictions on the use of Priority Pass, which is included with the Rakuten Premium Card (annual fee 11,000 yen), and the Rakuten Gold Card (annual fee 2,200 yen), which offers the same point multiplier (SPU) when making purchases (3 times) as the no-annual fee Rakuten Card. The service has continued to deteriorate, such as the fact that the SPU is the same (3x) as the Rakuten Card with no annual fee. Although Rakuten Card members have been notified in advance by e-mail, there is no denying the impression that the changes have been made in secret.

Even in Japan! Uber Eats,” “SHEIN,” “Temu,” and …… some “overseas business” settlements are also covered!
When credit cards are used for purchases made overseas in foreign currencies such as dollars and euros, the amount will be charged in Japanese yen at a later date based on the exchange rate set by international brands such as Visa and JCB, plus an “administrative processing fee”. This processing fee actually varies from card issuer to card issuer, and usually ranges from 2 to 3%.
Rakuten Card raised its processing fee from 2.20% to 3.63% (3.50% excluding tax) effective March 1, 2012, and the same applies to Visa, Mastercard, JCB, and American Express international brands. In fact, the rate was only raised on January 18, 2011, and before that it was 1.60%.
In addition, the “point redemption rate” based on the amount of payment was also changed. Until now, the “point redemption rate” was “1%” (1 point per 100 yen) for overseas payments as well as for domestic payments. From March 1, however, the rate will be reduced to 0.5% (1 point per 200 yen). The new rate applies to Visa and Mastercard international brands, and will remain unchanged for JCB and American Express.
The change in the point redemption rate is not limited to international travel; the “0.5% redemption” (1 point per 200 yen) will also apply when making domestic payments for some “overseas businesses. For example, “Uber Eats”, “SHEIN”, “Temu”, “Adobe”, “Zoom”, “Spotify”, etc. Note that this is not only for local payment overseas.
Credit card payment abroad …… “Fees” are now on the rise!
The processing fee of about 3.63% is now becoming the standard for all credit card companies. Sumitomo Mitsui Card and DC Card (both VISA and Mastercard) already raised theirs last year before Rakuten Card. Saison Card is 3.63% for VISA and Mastercard, and JCB and American Express are even higher at “3.85%. Mitsubishi UFJ Card (VISA, Mastercard) also raised its rate to 3.85% last August, while JCB and American Express remain at 2.20%. Orico Card raised the rate to 3.85% only for VISA and Mastercard last December, while JCB left it at 1.60%.
Currently, the cheapest rates are 2.20% for Epos Card (VISA) and 1.60% for JCB Card (JCB) and AEON Card (VISA, Mastercard, JCB). However, there is no possibility that the rate will be on par with other companies in the future.
On the other hand, Rakuten Card’s point redemption rate is especially important for those who utilize the “Rakuten Economic Zone. The basic 1% redemption rate (1 point per 100 yen) is high compared to other cards, and there are many options available, such as Rakuten Ichiba and Rakuten Travel. When it comes to overseas travel, the high unit price of airline tickets and hotels is so high that the damage of halving the high return is significant. While it may be understandable if the reason is the recent rise in labor costs, such as the administrative processing fee, the point reduction rate may seem to some to be a mere change.

Nowadays, it is unthinkable to travel abroad without using a credit card.
Credit cards are used very frequently when traveling abroad. Cashless payment is more widespread in foreign countries than in Japan, and some stores have a sign on the cash register that says “NO CASH”. Furthermore, in recent years, local subways and buses have become more convenient, allowing passengers to board with touch-sensitive payment.
However, no matter how low the processing fee is, if the credit card cannot be used locally, it is worthless. American Express is also difficult to use outside the United States. In the end, since VISA or Mastercard can be used in almost any country, “ease of use” must be prioritized over processing fees when traveling abroad.
