Credit cards make spending overseas simpler than cash by streamlining currency exchange rates and sometimes even waiving foreign transaction fees altogether. Plus, cards tend to be safer to carry than cash due to less theft by pickpockets.
Travel cards often offer rewards when used to purchase flights, hotels, and rental car services – three items you are likely to make when travelling. Of course, any credit card can bring benefits when used while travelling – which ones don’t?
Foreign Transaction Fees
Foreign transaction fees, the 2-4% surcharges typically assessed to transactions completed outside of the US, can vary among cards but usually fall in the 2-4% range. While many travel rewards cards now provide no such surcharges, you should always refer to your card’s terms and conditions (also called “Pricing and Terms”, “Rates and Fees”, etc) for further information as to whether any given card charges foreign transaction fees.
While foreign transaction fees might not seem like much at first glance, they can quickly add up during your travels or online purchases from international merchants. Therefore, it’s advisable to carry cards that do not charge these fees so you have them available when needed abroad or back at home.
