The best credit card to use abroad
The best cards to use will be the ones that charge you minimal ‘extras’. Your regular credit card may charge you what’s known as a ‘foreign usage fee’ or non-sterling transaction fee– it’s a fee that’s added on every time you use your card when you’re abroad and it could be 2% to 3% of the transaction.
On top of this, your card provider might also charge you interest for purchases made abroad (even if you pay your bill off in full). Plus, some cards will apply another ‘flat fee’ to each foreign made transaction. So before you know it, that bargain new sarong might have cost you several pounds more than you thought.
Of course let’s not forget, the cardinal sin of holiday money is taking out cash on your (cue menacing music) …credit card. Not only will you typically be charged for using a foreign cash machine, you could be charged interest as soon your notes leave the hole in the wall.
So before you pack your speedos, invest some time in checking the details on your existing credit card and comparing the market for the cards that won’t charge you the earth for being used abroad.