There is a wide range of credit cards that offer travel benefits, such as savings on fees and complimentary extras. You could save with no foreign transaction fees and no ATM withdrawal fees and enjoy credit card travel insurance, frequent flyer points or airline lounge passes.
The type of credit card that you should use will depend on where you're travelling, your spending plans and your financial situation. You can use this guide to compare your options and find the right credit card to use overseas.
Latitude Financial Services Credit Card Offer
$0 annual fee
Eligibility criteria, terms and conditions, fees and charges apply
Latitude Financial Services Credit Card Offer
Save with an ongoing $0 annual fee and no international transaction fees on purchases. Plus, complimentary flight delay passes and global wifi access.
- Purchase interest rate of 21.99% p.a. | Cash advance rate of 21.99% p.a.
- Up to 55 days days interest-free on purchases
- 0% foreign currency conversion fees
- Minimum credit limit of $6,000
Compare credit cards with no foreign transaction fees
Updated February 27th, 2020
Some of the best cards for travel
How to compare credit cards for overseas travel
When you're comparing credit card for your next international trip, compare products that don't charge extra fees when you make foreign transactions, offer travel perks and are accepted overseas. Some of the factors to consider include:
Credit card fees
To understand how much your card could cost you, consider the following fees when comparing which cards to use outside Australia:
- Foreign transaction fees. When you make an international purchase using your card, your Australian dollars are converted to the local currency. When this happens, you're usually charged a fee between 2% and 3%. If you want to avoid this fee each time you make a transaction overseas, consider a credit card that doesn't charge a foreign currency conversion fee.
- Annual fees. While some travel credit cards charge $0 annual fee, others with lots of extra fees may charge a higher annual fee. Make sure that any value you get from using the card and its extra fees helps outweigh the annual fee.
- ATM withdrawal fees. If you use your credit card to withdraw funds overseas, you will be charged a cash advance interest rate and fee. Your card may also charge a separate ATM withdrawal fee. The local ATM provider may also charge a third-party fee. To avoid these charges, consider using a debit card or prepaid travel card to withdraw cash instead.
Complimentary insurance
Using a credit card that offers complimentary international travel insurance can help you save the time and money you'd otherwise spend on standalone cover. The complimentary travel insurance usually covers overseas medical insurance, transit accidents and travel delay. The cover usually extends your spouse or any dependent children travelling with you. As well as travel insurance, some credit cards offer purchase security insurance and extended warranty so you can shop with peace of mind.
Updated February 27th, 2020
Frequent flyer rewards
Using frequent flyer credit card is an easy way to pick up reward points as you spend overseas. Depending on the card, you might be able to redeem these points for flights with a specific airline, accommodation with partner hotels, travel vouchers, cashback on your account or products from a rewards store. If your card is designed for overseas use, you could earn more points per $1 on foreign purchases. Compare frequent flyer credit cards with no foreign transaction fees to earn points without forking out for extra fees.
International acceptance
Make sure the card that you're using isn't restricted by economic sanctions before you travel. Credit cards with affiliation to Visa or Mastercard find acceptance in most countries around the world, at ATMs and EFTPOS terminals alike. Acceptance of Diners Club and American Express cards is not as widespread and could attract surcharges.
Airport lounge passes and other travel perks
You can escape the chaos of the airport and relax before your flight with a credit card that offers complimentary lounge passes. Some credit cards in Australia offer invitations to Qantas Club, Virgin Australia, American Express and Priority Pass lounges in Australia and around the world. The perks will vary between lounges but you can usually expect complimentary food, beverages and access to high-speed Wi-Fi, comfortable seats and work stations.
Some credit cards also offer cardholders complimentary flights. You may need to meet a spend requirement to access the perk, but it's an easy way to save on travel costs and offset any card fees.
What should I be aware of when using a credit card overseas?
- Adding funds to your credit card. Some travellers add money to their credit cards accounts before they leave for overseas. Then they use their card like a type of debit card to pay with their own cash rather than credit. If your card allows you to do this, you can avoid paying interest. However, banks don’t take responsibility for money you add to your account. If your card is lost or stolen and used for unauthorised transactions, those funds won't be eligible by zero liability cover.
- Take multiple travel money options. Instead of putting all of your eggs in one basket, you should take multiple travel money options with you. This may include a debit card or prepaid travel card as well as your credit card and some cash. That way you'll have a backup if your card is lost or stolen and can avoid being charged credit card fees withdrawing cash from an ATM.
- Attracting debt. Create a travel budget and use your credit card to spend responsibly. You have to repay everything you charge, plus interest if you don't pay your balance in full.
What are the pros and cons of using a credit card overseas?
Pros
- Global acceptance. Most Australian credit cards can be used in hotels, restaurants and stores around the world.
- Travel perks. Credit cards designed for overseas use often come with travel-related benefits such as frequent flyer rewards programs, complimentary insurance and airline lounge passes.
- Security of credit. A credit card can come in handy when you need to cover unexpected or emergency costs while you're travelling overseas. As mentioned above, it's also wise to organise multiple travel money options in case your cash or card is lost or stolen on your travels.
Cons
- Fees. Depending on the card you choose, you may be charged a foreign transaction fee or surcharge for using a credit card overseas.
- Limitations. You'll need to meet eligibility requirements (such as a minimum annual income and credit score criteria) to be approved for a credit card.
- Risk of debt. While a line of credit can provide you with peace of mind, you may be tempted to overspend. Use your credit card responsibly and stick to a budget that you can repay in full by the end of the statement period to make the most of your card.
There are many types of credit cards to suit Australians travelling overseas. Whether you want to avoid foreign transaction fees, earn points as you spend or take advantage of complimentary travel insurance, make sure to compare your options before you choose the right card for your international trip.
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personal financial circumstances when comparing cards.
Are there any credit cards that offer travel insurance for over 80?
Hi Valerie,
Thank you for getting in touch with Finder.
There are some credit cards that offer complimentary travel insurance for travellers older than 80 years old like NAB which covers up to 90 years old while Virgin Money, HSBC and Citi did not include the traveller’s age limit so long that there’s no pre-existing medical condition. It is recommended that you contact your chosen provider on this matter for further clarification. Once you have decided which credit card to apply with, please make sure though to read the eligibility criteria, features and details of the card, as well as the relevant PDS/ T&Cs of the card before making a decision and consider whether the product is right for you.
I hope this helps.
Thank you and have a wonderful day!
Cheers,
Jeni
What is Travelex card like?
Hi Jenny,
Thanks for your inquiry.
Please visit this page to check further details for Travelex Money Card. Here is also a review for Travelex Foreign Currency and International Payments by going on this page.
Hope this information helped.
Cheers,
Rench
If I have a 28 degrees Mastercard, does it mean when I withdraw cash from an overseas ATM that there will not be a withdrawal fee?
Thanks for your help in clarifying my query.
Hi Bebe, thanks for your inquiry!
The 28 Degrees MasterCard provides no international transaction fees on purchases, which only covers currency conversion rate charges. Overseas ATM withdrawals may still incur a charge, depending on the local ATM’s withdrawal policies and fees.
Cheers,
Jonathan
Hi,
Is there any card that offers zero foreign transaction fee, and currency conversion fees? If not what card offers the lowest fees.
Regards
Tony
Hi Tony,
Thanks for your question.
You can compare a range of cards that charge no foreign currency conversion fees or transaction fees on this page.
I hope this will help.
Thanks,
Elizabeth
Hi,
Can I obtain cash out at the point of purchase in the USA like we can here in Oz?
Hi N,
Thanks for your question.
This is possible, but it’s up to the discretion of the retailer.
I hope this has helped.
Thanks,
Elizabeth
I have been told that to avoid bank currency exchange rates that if you load your credit card up with extra money that there is no foreign exchange rate charge – is this true ?
I have the NAB premium card.
Hello,
I would like to avoid taking a credit card and have the Qantas traveller card but am a little confused with conversion – I am going to Brazil and the card does not hold the Brazilian Real, but if I load it up with Australian or American money, can I still use it at an ATM in Brazil ie: will the machine convert my money and give out Brazilian Real? Thank-you.
Hi Emma,
Thanks for your question.
Yes you can still use an ATM in Brazil, just make sure it displays the same symbol on your card (Mastercard/Visa/Amex etc). Usually the ATM gives out the local currency as well.
Please note a currency conversion fee could apply, because you don’t have the preloaded currency read in your card.
Cheers,
Shirley
Hi Paul.
This is not correct. You will be charged a currency conversion fee regardless of whether your account is in a positive balance. You can compare travel money options on this page. These cards do not charge a currency conversion fee when you carry out a transaction in a currency other than Australian dollars.
Thanks for your question.
i want know how can i get cash from my international credit card.
Hi Renotta. Thanks for your question. There are a couple of ways you can access cash from a credit card when you use it overseas – either you can withdraw it from an ATM, or you can use your card to make a purchase over the counter. Fees and charges will vary depending on how you use you card. If you’re using your card to withdraw from an overseas ATM, you will incur: cash advance interest rate, cash advance fee, international ATM fee, local ATM fee and cross currency conversion fee – these charges vary depending on the card and the ATM you use. Making a purchase over the counter is cheaper overseas and you just get charged the cross currency conversion fee and the purchase rate of interest – excluding any interest free days. There are cards that do not charge some of the fees listed above, you can check the fees in ‘fees table’ at the bottom of each card’s review and application page, and you can compare travel money options here. Let me know if you have any questions about travel money. Bon Voyage! Jacob.