If you enjoy online shopping or if you’re going overseas, compare and save with cards which have no foreign transaction fees and no annual fees.
If you're shopping online or travelling overseas, credit cards typically charge fees of 2% to 3% when making a transaction in a foreign currency. Designed for international purchases, some credit cards waive this foreign transaction fee, though. If you want to cut your credit card costs even further, use this guide to compare credit cards that have $0 foreign transaction fees and no annual fees.
Compare no foreign transaction fee credit cards with $0 annual fee
How to compare credit cards with no annual fee or foreign transaction fee
While these cards can help you cut down some of your credit card costs, there are a few other fees and features that you can compare to find the right card for you:
- Annual fee. Does the card offer $0 annual fee for the life of the card or for a promotional period such as the first year? Make sure you confirm the details of the annual fee before you apply.
- Purchase rate. If you're using your card to make purchases overseas, it's important to compare the interest rates you'll attract if you don't pay your account in full. If you do regularly clear your balance each statement period, you could also compare cards by the available interest-free days offers.
- ATM withdrawal fees. If you use your card for ATM withdrawals, you may be charged a cash advance fee and cash advance interest rate. Some cards may also charge additional ATM withdrawal fees for overseas transactions.
- Complimentary insurances. If your card is designed for overseas use, it could come with complimentary travel insurance cover. Some cards also offer purchase insurance cover and extended warranties, which could come in handy if you're a regular spender. Make sure you check the policy terms and conditions before you apply so you understand the eligibility requirements, what is covered and how to make a claim.
- Rewards programs. If your card offers no annual fee and no foreign transaction fees, it may not come with a rewards program. However, if you spend regularly and often pay your balance in full, the value of reward points could help outweigh annual fees and currency conversion costs. Some cards even offer higher earn rates when making international transactions.
- Global acceptance. While Visa and Mastercard are accepted in millions of locations around the world, you should ensure that your credit card isn't restricted by economic sanctions before you travel overseas.
How much can you save with a card with $0 annual fee and no foreign transaction fee?
If you opt for a credit card that doesn't charge either the foreign transaction fee or an annual fee, you could significantly reduce your card costs. Below, we've calculated how much you could save with a card that doesn't charge either of these fees in comparison to a card that charges no annual fee but has a foreign transaction fee of 3%. Please note that we've assumed that you repay your balance in full each month, allowing you to avoid interest costs on either card.
|28 Degrees Mastercard||Other credit card with standard fees|
|Foreign transaction fee||0%||3%|
|Currency conversion fee||0%||3% of transaction value|
|Overseas ATM withdrawal Fee||$0||$3 per withdrawal|
|Amount of purchases made||$3,000||$3,000|
|Number of withdrawals made||5||5|
|Total cost of using credit card overseas over 12 months||$0||$195|
Rates and fees only used for example purposes only.
Frequently asked questions about no annual fee credit cards with no foreign transaction fees
What is the *best credit card for travel?
Competitive travel credit cards typically possess the following benefits: no foreign currency conversion fees and transaction fees, $0 overseas ATM withdrawal fees and interest-free days on purchases. However, as there is no such thing as the one best travel card, you should compare your options before you apply. To make a full comparison please see our travel money page.
Where can I find out more about exchange rates?
To find out more about exchange rates and bank fees, please see this page about the basics of foreign exchange rates and foreign currency.