Best Credit Cards with No Foreign Transaction Fee
You’d probably agree with us that paying fees is one of the most annoying things. Charges for foreign transaction fees can easily pile up when you use your card outside of the U.S., making your trip or international purchases far more expensive than they need to be.
That's why we've come up with a list of the best credit cards without foreign transaction fees.
Short Review of Best Credit Cards with No Foreign Transaction Fee
| Name | Best for | Rewards Rate | APR | Apply |
|---|
Capital One SavorOne Cash Rewards Credit Card | Cash Back, 0 APR, No Annual Fee, Restaurants, Entertainment, Daily use | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1% Cash Back on all other purchases.3% Cash Back on dining, entertainment, popular streaming services and at grocery stores. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Venture X Rewards Credit Card | Car rental | 10,000x 10,000 bonus miles (equal to $100 towards travel) every year, starting on your first anniversary.10x Miles on hotels & rental cars booked through Capital One Travel.5x Miles on flights and vacation rentals booked through Capital One Travel.2x Miles on all other purchases. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Venture Rewards Credit Card | Travel, Daily use | 5x Miles on hotels, vacation rentals, and rental cars booked through Capital One Travel.2x Unlimited 2X miles on every purchase, every day. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Platinum Credit Card | Without SSN | This card doesn't offer cash back, miles or points. | 29.99% Variable | Learn more on our partner’s site |
Capital One Quicksilver Cash Rewards Credit Card | Cash Back, No Annual Fee, Daily use | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1.5% Cash Back on every purchase. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One QuicksilverOne Cash Rewards Credit Card | Fair credit | 1.5% Cash Back on every purchase. | 29.99% Variable | Learn more on our partner’s site |
Capital One Quicksilver Student Cash Rewards Credit Card | International students | 1.5% Cash Back on all purchases. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One SavorOne Student Cash Rewards Credit Card | International students | 8% Cash Back on Capital One entertainment purchases.5% Cash Back on hotels and rental cars booked through Capital One Travel.3% Cash Back on dining, entertainment, popular streaming services & at grocery stores (excluding superstores like Walmart® and Target®).1% Cash Back on all other purchases. | 19.99% - 29.99% Variable | Learn more on our partner’s site |
Capital One Platinum Secured Credit Card | Single mom, Without SSN | This card doesn't offer cash back, miles or points. | 29.99% Variable | Learn more on our partner’s site |
Celtic Bank The Owner’s Rewards Card by M1 | | 10% You’ll get up to 10% Cash Back with select brands you hold in an eligible portfolio.1.5% Cash Back on everything else. | 17.99% - 27.99% Variable | Apply now On Celtic Bank‘s site |
Capital One Spark Miles for Business | Walmart purchases | 5x Miles on hotels, vacation rentals, and rental cars booked through Capital One Travel.2x Miles on every purchase for your business with no blackouts or seat restrictions and no minimum to redeem. | 26.24% Variable | Learn more on our partner’s site |
Capital One Spark Cash Plus | | 5% Cash Back on hotels and rental cars booked through Capital One Travel.2% Cash Back for your business on every purchase. | None * | Learn more on our partner’s site |
Capital One Spark Cash Select for Excellent Credit | | 5% Cash Back on hotels and rental cars booked through Capital One Travel.1.5% Cash Back for your business on every purchase, everywhere, no limits or category restrictions. | 18.49% - 24.49% Variable | Learn more on our partner’s site |
Chase Sapphire Preferred® | Travel, Restaurants, Daily use | $50 Earn up to $50 in statement credits each account anniversary year for hotel stays purchased through Chase Ultimate Rewards®.5x Points on travel purchased through Chase Ultimate Rewards®, excluding hotel purchases that qualify for the $50 Anniversary Hotel Credit.3x Points on dining, including eligible delivery services, takeout and dining out.3x Points on online grocery purchases (excluding Target, Walmart and wholesale clubs).3x Points on select streaming services.2x Points on other travel purchases.1x Point per dollar spent on all other purchases. | 22.49% - 29.49% Variable | Learn more |
Capital One VentureOne Rewards Credit Card | Rewards, No Annual Fee, Daily use | 5x Miles per dollar on hotels and rental cars booked through Capital One Travel.1.25x Miles per dollar on all purchases. | 19.99% - 29.99% Variable | Learn more |
| Travel, Restaurants, Daily use | 10x Points on hotels and car rentals when you purchase travel through Chase Ultimate Rewards® after the first $300 is spent on travel purchases annually.10x Total points on Chase Dining purchases with Ultimate Rewards®.5x Total points on flights when you purchase travel through Chase Ultimate Rewards® after the first $300 is spent on travel purchases annually.3x Points on other travel worldwide after the first $300 is spent on travel purchases annually.3x Points on other dining at restaurants, including eligible delivery services, takeout and dining out.1x Point per dollar spent on all other purchases. | 22.49% - 29.49% Variable | Learn more |
American Express® Gold Card | Cash Back | 4x Points on dining at restaurants worldwide, plus takeout and delivery in the U.S.4x Points on groceries at U.S. supermarkets on up to $25,000 in purchases per year.3x Points on flights booked directly with airlines or on amextravel.com.1x Points on other eligible purchases. | 20.74% - 28.74% Variable | Learn more |
Chase Marriott Bonvoy Bold® | No Foreign Transaction Fee | 14x Earn up to 14x total Bonvoy points per $1 spent at over 7,000 hotels participating in Marriott Bonvoy®.2x Bonvoy points for every $1 spent on other travel purchases (from airfare to taxis and trains).1x Point for every $1 spent on all other purchases. | 21.49% - 28.49% Variable | Learn more |
| Travel | 10x Points on Hotels, Car Rentals and Attractions booked through CitiTravel.com.3x Points per dollar on restaurant, supermarket, gas station, hotel and air travel purchases.1x Points on all other purchases. | 21.24% - 29.24% Variable | Learn more |
The Platinum Card® from American Express | Young couples | 5x Points on up to $500,000 spent on directly-booked airfare and flights (per calendar year).5x Points on prepaid hotels booked with American Express Travel.1x Points on all other purchases. | 21.24% - 29.24% Variable | Learn more |
Who should apply
Capital One SavorOne Cash Rewards Credit Card
This card is best suited for people who wish to receive excellent cash back rewards on food and entertainment without paying an annual fee and snag a welcome bonus that’s easy to earn.
Read more about Capital One SavorOne Cash Rewards Credit Card
Capital One Venture Rewards Credit Card
This card is a good choice for moderate travelers who want to earn miles on every purchase and have flexible redemption options.
Read more about Capital One Venture Rewards Credit Card
Capital One Quicksilver Cash Rewards Credit Card
The Capital One Quicksilver Cash Rewards might be an excellent fit for those who don't like tracking bonus categories and prefer cash back over points. Its intro APR offer also makes it great for those planning some major purchase or carrying a high-interest credit card debt.
Read more about Capital One Quicksilver Cash Rewards Credit Card
Chase Sapphire Preferred®
If you don’t mind paying a relatively low annual fee for a great travel card, you should apply for this one.
Read more about Chase Sapphire Preferred®
Capital One VentureOne Rewards Credit Card
Occasional international travelers who are looking for a no-annual-fee travel card that earns them miles on every purchase should look into the Capital One VentureOne Rewards.
Read more about Capital One VentureOne Rewards Credit Card
Chase Sapphire Reserve®
Since it's a pricey card, only those who frequently travel and want to do it in style will be able to justify the card’s fee. By using the $300 annual travel credit and the $100 Global Entry or TSA PreCheck fee credit, they’ll already be more than halfway to offset the annual fee.
Read more about Chase Sapphire Reserve®
American Express® Gold Card
If you don't mind paying an annual fee for some great food and travel rewards, you might want to consider the American Express® Gold Card. Although, we recommend running the numbers first and making sure you spend enough to cover the annual fee cost.
Read more about American Express® Gold Card
Chase Marriott Bonvoy Bold®
This card is well suited for travelers who like staying at the Marriott properties but not enough to pay an annual fee.
Read more about Chase Marriott Bonvoy Bold®
Strata Premier℠
People who heavily spend in the card’s many bonus categories can significantly benefit from the Citi Strata Premier℠ credit card.
Read more about Strata Premier℠
The Platinum Card® from American Express
Frequent travelers who wish to make their trips more enjoyable and convenient should definitely look into the Platinum Card® from American Express®.
Read more about The Platinum Card® from American Express
Foreign transaction fees basics
What is a foreign transaction fee
A credit card issuer will charge a foreign transaction (FX) fee on every transaction made in a foreign currency or a transaction that involves a foreign bank. These are usually overseas purchases that take place in another country or with a foreign merchant. As the cost of the purchase has to be converted into U.S. dollars, the foreign bank imposes charges on the card issuer, which ultimately passes them on to you, the credit card consumer.
How much are foreign transaction fees
Foreign transaction fees are usually around 3% of the transaction’s amount, but this can vary. Some issuers might charge you 2%, and some charge you up to 5%.
For example, if you make a purchase of $100, with a foreign transaction fee of 3%, you’ll pay $103. Three dollars might seem like a negligible amount, but these fees can quickly pile up, especially if you’re making a large foreign currency purchase or on a trip abroad.
When do I pay a foreign transaction fee
As previously mentioned, you’ll be charged a foreign transaction fee anytime you engage in a transaction with a foreign bank or make a purchase that requires currency conversion. You can expect to pay a foreign transaction fee when purchasing from a non-U.S. merchant or when traveling internationally (including when you use an ATM). Bear in mind that there can be several international fees when you use a foreign ATM, like a flat-rate international ATM surcharge and an ATM access fee.
Since your card issuer charges this fee, it won't be shown on the receipt, but it'll be on your credit card statement.
Does it make a difference if the purchase is in U.S. dollars
Yes, but not in the way you may think. Choosing to make the purchase in U.S. dollars will probably end up costing you more since it entails a dynamic currency conversion. Dynamic currency conversion is when a foreign merchant offers you the option to pay in U.S. dollars. That means they will do the conversion instead of your credit card issuer. They will also impose a fee for this convenience which can be much higher than the foreign transaction fee. Even in that case, you might still be charged a foreign transaction fee, perhaps at a slightly lower rate.
We advise you to always choose to pay in the local currency and let your card issuer do the conversion and charge you a foreign transaction fee if it has one.
Pros and cons of a no foreign transaction fee credit card
| Pros:
| Cons:
|
|---|
| Travel benefits & rewards: As cards with no foreign transaction fees are often associated with travel, most of those cards come with rewards in travel, as well as some benefits like lounge access, travel protection, and others.
| Worldwide coverage: Some of the best cards with no foreign transaction fees are Discover and Amex credit cards , but they have their own payment networks and are not as widely accepted as Visa® or Mastercard®.
|
| Save money: Frequent travelers or those who regularly shop internationally know that foreign transaction fees can rack up and wind up costing you a lot. Having a no-foreign-transaction-fee credit card will enable you to make purchases without worrying about those charges.
| Annual fee: Typically, the premium travel cards don’t charge a foreign transaction fee, but they do come with hefty annual fees.
|
| Fair exchange rate: Foreign merchants usually have unfavorable exchange rates, so having your payment network carry out the conversion will guarantee you a fair exchange rate.
| |
How to choose a no foreign transaction fee credit card
All of the cards on our list come with plenty of attractive features that go beyond the 'no foreign transaction fee' part. We have included laidback, no-annual-fee credit cards like the Discover it® Miles and the Quicksilver Cash Rewards, as well as premium travel cards like the Sapphire Reserve® and the Platinum Card® by American Express®. It's up to you to decide on the card with no foreign transaction fee that will best suit your needs.
Here are some things to consider when choosing among the best no foreign transaction fee credit cards:
- Rewards – Are you a frequent traveler and need a credit card for international use? In that case, a good choice might be the Platinum Card® by American Express®, which has excellent travel rewards and an extensive list of airline and hotel brand partners. If you only travel abroad occasionally and wish to earn rewards in other categories as well, you might want to consider the Sapphire Preferred®. It also depends on whether you prefer to earn cash back or points/miles.
- Benefits – This should be carefully considered if you're going for a travel card. Those usually come with handy features like concierge service, airport lounge access, travel insurance, and other benefits.
- Fees – If the card doesn't have a foreign transaction fee, that doesn't mean that it has no other fees that can quickly add up. The most important one to consider is the annual fee. If you're not sure you can earn enough rewards to justify it, it's better to be safe with a no-annual-fee card like the Bank of America Travel Rewards.
Who should get a no foreign transaction fee credit card
Not everyone needs a foreign transaction fee credit card. However, for some people, it can be a huge relief to their finances. You should consider getting a no foreign transaction fee card if you find yourself in one of the following situations:
- International travelers – If you frequently travel overseas, you should definitely have a no foreign transaction fee card in your wallet.
- Online shoppers – If you often shop at foreign websites and pay in a currency other than U.S. dollars, consider paying for those purchases with a no-foreign-transaction-fee credit card.
- Students – Adventurous students who are planning trips or studies abroad should also consider getting a no-foreign-transaction-fee card.
How to prepare to use your card internationally
Traveling abroad requires lots of planning, so we’ve prepared a short guide to walk you through how to prepare for the international use of your credit card.
- Step 1. Contact your bank before you leave
Before you leave on your trip, get in touch with a representative from your bank to let them know you're traveling internationally. Otherwise, when they notice an unusual activity with the card, they might suspect fraud and freeze your account.
- Step 2. Check the payment network coverage
Depending on where you plan to travel, check with your card issuer which payment networks are accepted in that region. Of course, Mastercard® and Visa® are almost always safe choices, but even those are not accepted everywhere in Asia. Amex and Discover have limited worldwide acceptance as well. So, it might be a good idea to take two or three credit cards from different payment networks. If your primary card is Amex or Discover, you may want to bring a Visa® or Mastercard® along as well.
- Step 3. Get your chip and PIN credit card
Some places worldwide might not accept the usual chip-and-signature method but ask for a chip-and-PIN instead. To be prepared in case you run into such a place, it's best to have a chip-and-PIN credit card.
- Step 4. Credit is a secure method of payment
Credit cards are one of the safest payment methods because even if you lose your card or someone steals it, you'll only be liable for up to $50 (due to the Fair Credit Billing Act). Most credit cards even have a $0 fraud liability feature. You should have your card issuer’s customer service number on hand so you can immediately call and report if your card is missing.
How to make the most of a no foreign transaction fee credit card
For making the most out of any credit card, not only no-foreign-transaction-fee credit card, you should inform yourself well about the card’s features. That means going through the terms and conditions in order to understand the way rewards work and look into other fees the card issuer might impose.
FAQ
Is the foreign transaction fee affected by exchange rates?
The foreign transaction fee will remain the same percentage of the amount regardless of the exchange rate, but the exchange rate might affect the final amount you’ll pay.
The exchange rate is the rate at which one currency can be exchanged for another. Each payment network has its own conversion rates that may differ slightly between different payment networks or banks.
For example, at the time of writing, $1 is 0.91 euros. If the foreign transaction fee is 3%, for a purchase of 100 euros, you will pay a $3.30 fee. However, if the exchange rate changes to $1 for 0.93 euros, you'd pay a $3.20 fee.
Do foreign transaction fees apply to online purchases?
Yes, if the prices are in a foreign currency and if the transaction goes through a foreign bank.
Do hotel bookings and Airbnb charge foreign transaction fees?
It depends. If the payment is processed in the U.S., a foreign transaction fee won't be charged, but you'll probably be charged if it's processed in a foreign country.
Which banks do not charge foreign transaction fees?
Some banks that don’t charge foreign transaction fees are Capital One and Discover Bank, whose cards are included in our list of the best credit cards with no foreign transaction fees.
How to avoid foreign transaction fees on credit cards
The best way to avoid foreign transaction fees on credit cards is simply by using a card that doesn't charge such a fee.
