We know the swipe and sign style of credit cards makes daily purchases easy—but what about when traveling abroad? The best credit card practices we use in the U.S. don’t always translate onto foreign soil. If you’re not prepared, you could be left stranded without a way to buy yourself out of a dilemma.
Keep these tips in mind to prevent your trip of a lifetime from turning into a vacation nightmare.
Tell your credit card company your travel plans.
It’s an all-too-familiar scenario for countless U.S. tourists: you go to pay for your first meal after some souvenir shopping and your credit card is declined.
Credit card companies have many safeguards in place to prevent fraud; one of them is to red-flag multiple overseas transactions. Issuers will then automatically deactivate your card.
The issuer’s good intentions can be extremely inconvenient if time zone differences leave it impossible to talk to a representative. Instead, give your card company a 10 day notice of your travel plans to avoid deactivation issues.
Go for a credit card with a widely accepted issuer.
The best credit cards for foreign travel are also the most universal—Visa and MasterCard. These options cut down on the chances of merchants rejecting your card. If you have a small issuer credit card, consider using a prepaid card from Visa or MasterCard.
Use a card with few or no foreign transaction fees.
Since may already be losing on the dollar traveling to certain countries, the best credit card for foreign travel is one that does not charge you on top of the conversion.
These fees may range between 1% and 3% of your total purchases. If you spend $2,000 abroad, that could add up to $60 to your balance. Be sure to ask your card company about the fees for both currencies.
Check to see if your credit card features a concierge service.
Like a hotel, this service will fetch any travel information you need. Whether it’s making a reservation at the city’s most romantic rooftop dining, or finding the area’s best parks, the concierge service will do the legwork. These virtual personal assistants are usually included in the annual fee of signature credit card offers.
Make photocopies of your credit cards
In case of theft or loss, credit card photocopies make it easier to provide the proper information to your issuer when you need to cancel your credit card. Just be sure to keep these copies hidden in your luggage away from prying eyes.
Understand embedded microprocessor chip credit cards and your options to apply for a U.S. version.
Also known as “chip-and-PIN credit cards” or EMV cards, they are one of the best credit card options to use abroad. Unfortunately, the lack of domestic EMV versions leaves many U.S. tourists in the dark.
Used in Asia, South America and Europe, they’re scanned on machines that don’t always accept the magnetic stripe we use for card transactions. They have a similar “tap and go” function to our RFID credit cards. These automated EMV systems especially pop up in rural areas as well as train and gas stations—leaving you without crucial services.
Fortunately, U.S. lenders like J.P. Morgan Chase and Wells Fargo are beginning to offer EMV credit cards for their travel customers.
If you can’t get an EMV card, opt for services that have an attendant who can manually use your card.
Always have backup payment options on hand.
If foreign travel is anything, it’s filled with the unexpected. Even your best credit card should not be your only payment solution.
Carry a debit card for ATM and bank withdrawals, travelers’ checks for emergencies and cash for those instances when no other form is accepted.
CreditCardSelect makes the application process for finding the best travel credit card streamlined and easy. Ask us how we can help you comparison shop today!