Traveling abroad with a credit card offers convenience, rewards and protections; however, be mindful of fees and security risks.
Planned travel can reduce stress while away from home. Here are a few tips to make the most of your cards while abroad.
Choose a card with no foreign transaction fees
Travel can add up quickly when it comes to credit card foreign transaction fees; but these extra costs can be avoided by opting out of cards that charge them or by choosing to use one that doesn’t.
Many top travel rewards cards don’t charge foreign transaction fees, including many cash back and balance transfer cards as well. Furthermore, card issuers such as Discover and Capital One don’t impose these charges at all.
Prepaid travel cards can also be an ideal solution when traveling abroad, as they allow you to lock in an exchange rate in advance and don’t incur foreign transaction fees; though you will likely still need to set a travel notification with your card issuer so they won’t mistake any purchases as fraudulent if your card goes missing while out and about. These cards often provide other advantages like zero fraud liability coverage and trip cancellation insurance as added bonuses.
Check your card’s expiration date
Credit cards often offer mobile apps that make it easier for cardholders to reach out to their card issuer or track spending on trips – an easy way to ensure you won’t run the risk of your card being denied while trying to buy tickets to see Mona Lisa!
Your card’s expiration date, usually displayed as two-digit month and year numbers, tells credit card terminals when it will no longer be valid for making purchases. While your credit card remains valid until its last day in one month’s time period, any attempts at use on or after the first of the following month will likely be declined by banks and merchants.
Some credit cards offer benefits like rental car and roadside assistance that could come in handy during your travels, like free rental car insurance. Keep in mind, however, that these benefits come at an extra cost, so bring a card without these added costs attached to them.
Set a travel notification with your card’s issuer
When planning to travel outside your usual sphere, it’s wise to notify your credit card issuer in advance. Otherwise, transactions could be flagged as potential fraudulent charges when used outside your normal environment.
Credit card companies monitor activity to detect patterns of fraudulent use, like sudden purchases in new cities or countries. Without filing a travel notification with their card issuer, these types of purchases could be considered suspicious activity and your card might get declined until you give permission. Most card issuers recommend filing travel notifications ahead of any trip using multiple cards so if one gets declined or suspended during travel you have another to fall back on.
Bring a small amount of cash
Traveling overseas often necessitates carrying at least some cash, which will come in handy for tipping service staff and paying for items that do not accept credit cards. Brush up on conversion rates before heading out and download a currency app for easy reference. Furthermore, inform your bank of your plans so they can record this on your account to prevent any fraudulent transactions in unexpected places.
Some banks offer prepaid cards that you can preload with money before your trip abroad, which may offer better exchange rates and no foreign transaction fees. Before choosing this method for your study abroad trip, make sure that any additional fees associated with these cards have been researched – many ATMs charge fees for withdrawals; knowing this ahead of time could save both money and unexpected surprises during your adventure abroad!
