Heading across the pond this summer? Besides purchasing a travel insurance package to protect your investment during your time away, you will likely need a credit card that is effective as possible while you traverse the globe.
Credit cards have become a safe and easy way to protect your trip investment overseas. However, not all of them come at an affordable price. One of the best ways to save some extra dough in a foreign country is to invest in a card that works with you as you travel – this means that you need to start shopping for a company that doesn't include a foreign transaction fee. Finding one can be a bit tricky for travelers, however.
"About 90 percent of all credit cards have a foreign transaction fee, which can be as high as 3 percent," Odysseas Papadimitriou, CEO of CardHub, explained to NBC News. "Three percent might not sound like much, but when you multiply it by the typical budget of an international trip, it can add up to a lot of money."
Is Your Credit Card the Best for International Travel?
Not sure whether or not to switch companies? One easy way is to check for the terms and conditions associated with your credit card company. According to NBC News, Chase currently has 13 cards with no foreign transaction fees, and some of them even come with travel bonus points like the Marriott Rewards Premier card, Southwest Airlines Rapid Rewards Premier card, United MileagePlus Club Visa and British Airways Visa Signature card.
Smart Cards Will Make Things Easier As Well
One of the biggest issues that Americans may run into while traveling abroad is the magnetic strip on the back of cards. For many countries overseas (especially in Europe), vendors and ATMs have converted to EMV technology that uses an embedded microchip to secure your identity. However, if your credit card company has not yet converted to EMV technology, there's no need to stay home.
Ed Perkins, a writer for SmarterTravel.com, told the source that even though it's great for international travel to have an EMV card, in most countries you will still be fine with the magnetic strip.
Either way, be sure that you carry around some cash with you no matter what country you plan on visiting. Not only do some establishment overseas take cash only, but paper currency is always good to have around in the case of a travel-related emergency.
Travelex Insurance Services provides a variety of travel insurance plans to protect your trip investment while traveling.