Many credit cards provide travel-related protections and it’s essential that you understand which ones apply and how to take advantage of them.
Definitions of travel purchases vary among card issuers; some include airline tickets, rental car agency fees and cruise line payments while others do not. Either way, it is wise to report any trip plans to reduce the likelihood of having your card declined.
Travel alerts
Credit card purchases made abroad may trigger alarm bells with your bank. Therefore, it’s advisable to notify your card issuer prior to traveling in order to prevent any suspicious activity that might arise; you can do this through secure message, the company app, or calling them directly.
Set a travel alert through your e-mail account as another easy way to notify your credit card company that you’re traveling and help them keep tabs on any purchases made during that period.
Visa Travel Notification Service allows card issuers to utilize self-reported travel dates and destinations of cardholders into an authorization message for more accurate decline decisions, lessened call center activity and alerted recipients about risk indicators like health concerns, weather events and demonstrations – or even warnings against potential wrongful detention by foreign governments.
Credit card fraud protections
Credit cards typically offer superior fraud protections than debit cards; major card networks offer $0 liability on unintended transactions and cardholders can dispute fraudulent charges to have them taken off their statement before payment occurs, limiting financial liability while traveling overseas. It’s advisable to regularly review your payment account statements and credit reports to identify unauthorized charges early.
Before traveling overseas, it is a wise move to notify your card issuer of your travel plans. This will avoid your card from being flagged for suspicious activity while thousands of miles away from home. Furthermore, keep your phone and email current while travelling so your card issuer can quickly reach out if any unusual activities appear on your account. Additionally, consider using virtual credit card numbers while travelling for added protection from unauthoritised purchases.
Traveller’s checks
Traveler’s checks may have lost popularity as digital payment options have grown more widespread; however, they can still play an essential role when planning an itinerary, ensuring your money remains secure.
First and foremost, they don’t tie directly to your bank account, making them less appealing to thieves who might gain access to your debit or credit card details while you’re out. They typically require two signatures during each purchase to ensure that the person actually making purchases is indeed doing so and can provide evidence if required.
Traveler’s checks do come with some fees, including costs associated with buying them and currency conversion fees when cashing them in. In addition, receipts should be kept and records kept to monitor any possible losses or theft. It may therefore be more cost effective to consider alternatives like prepaid cards that more closely resemble cash and can be used anywhere around the world.
Foreign transaction fees
If you plan to make purchases overseas, it’s a wise idea to know about any foreign transaction fees associated with your card. These charges come on top of exchange rate costs and can quickly add up; fortunately, some credit cards don’t charge this fee at all, including options designed specifically for people with average credit.
Even though you are used to using your credit card for everyday purchases, making international transactions can be more complicated. Each time you swipe or shop on non-US sites you may face currency conversion fees that add an unexpected extra fee.
These fees typically account for 1-3% of your purchase amount and can dramatically cut into your vacation budget. To determine whether or not your card imposes such charges, check the rates and terms section of your agreement or monthly statement, while certain credit card issuers provide foreign transaction fee calculators which can help you anticipate these fees before traveling abroad.
