I’ve visited 50 states and 60 countries. Here are 10 tips for using credit cards while traveling
Key takeaways
- Inform your card issuer before your trip so your card spending is not flagged as suspicious.
- Make sure to take more than one card with you, and go with a card that offers travel rewards and travel benefits.
- Stay alert, watch out for card skimming at ATMs and don’t use unsecured public Wi-Fi that could compromise your sensitive information.
I’ve traveled to all 50 states, two of the five U.S. territories and 60 countries for business and pleasure. I understand that credit card balances are the last thing you want to be thinking about while traveling. However, just because you’re away, it doesn’t stop bad things from happening to your credit cards, so it’s important to enjoy yourself, but also stay vigilant.
Thanks to mobile banking apps and digital wallets, it’s easier than ever to keep track of authorized – and unauthorized – spending on credit cards, especially if you’re out of the country. Keeping an eye on your accounts can warn you about any fees or security risks. Ensure the safety of your credit cards – and enjoy your time away – by following these 10 tips I’ve learned during my decades of travel.
1. Let card issuers know you’re traveling
Notify your credit and debit card issuers before a trip to avoid having your first purchase abroad get wrongfully flagged for fraud. I was in Brazil for a week on business in 2014 and couldn’t use my credit card because the company thought it had been stolen. To make it even worse, I couldn’t call to let them know because my calls weren’t going through.
Check your bank or credit card app. There’s usually a section where you can let them know of your upcoming travel plans without having to pick up a phone.
2. Set up alerts
Maybe you (but not me) don’t want your card issuer sending you constant alerts. Before going out of the country, definitely sign up for alerts. Finding out about any issues with your cards as they happen will allow you to resolve them more quickly so you can get back to having fun.
Most card issuers allow you to choose which alerts you want.
3. Keep information safe
One time, my wallet was stolen during a weekend trip to New York City. Guess who didn’t have access to all her credit cards? I spent hours canceling my cards and filing reports, since I didn’t have easy access to the numbers listed on all my cards. Now I have my information stored in my Apple iCloud account. If I should happen to lose my cards again (knock on wood), I’ll be able to cancel them quickly.
If you want a more robust cloud storage option, consider paying a company to keep your information safe.
4. Avoid foreign transaction fees
These are surcharges paid by credit card holders on international transactions, ranging from 1 to 3 percent of a total purchase and split between networks and card issuers. Those percentages can seem small, but if you end up on a shopping fee in Paris, it can add up rapidly.
For example, here’s quickly a 2% foreign transaction fee can add up on typical travel purchases:
Check the small print in your credit card’s terms and fees to see if your issuer charges foreign transaction fees.
| Item | Cost | 2% Foreign Transaction Fee |
| 1 week at the Hyatt Regency Paris Etoile, family of four | $6,429.35 | $128.58 |
| Louis Vuitton Neverfull MM tote bag | $2,030.00 | $40.60 |
| Disneyland Paris tickets, family of 4 | $468.62 | $9.37 |
| Eiffel Tower guided tour, family of 4 | $227.20 | $4.54 |
| Meal, family of 4, Bouillon Pigalle | 102.80 | $2.05 |
Here are the best credit cards with no foreign transaction fees.
5. Say no to dynamic currency conversion
When traveling in a foreign country, you might need to pay in local currency, according to a Visa report on dynamic currency conversion (DCC). A merchant or ATM offers the option to pay in your home currency via DCC), which includes exchange rate and additional fees.
If you’re like me and hate doing conversions, DCC sounds like a great idea, but it’s not. You’re paying your money for the perk of seeing what you’re being charged in your home currency. Customers using DCC in Europe paid between 2.6% and 12% in fees, which is “a scam,” according to a 2017 study from the European Consumer Organization.
American Express, Mastercard and Visa require merchants and ATMs to clearly display purchase/withdrawal amounts in local and cardholder’s currency, use both currency symbols, show the exchange rate used for the conversion and show any additional fees or markups.
Skip DCC by downloading a currency converter app (my favorite is Xe) and let it do the calculations for you.
6. Use electronic payments
I will always carry at least one plastic/metal credit card when traveling. But thanks to the proliferation of smartphone-based electronic apps and digital wallets – and a wider acceptance of them – you no longer have to worry about lost or stolen credit cards. Instead, I now whip out Apple Pay, choose a debit or credit card and make my payment. Face ID or passcodes offer an extra layer of protection.
Add two-factor authentication on your smartphone as an extra layer of protection.
7. Be vigilant
Just because you’re having fun on your vacation doesn’t mean you should relax when it comes to your credit and debit cards. ATM machines, gas pumps and point-of-sale terminals may have a skimming device that can steal your debit card pin, allowing thieves to empty your bank account. There’s also the shim, a device inserted into the chip card reader slot at ATMs or point-of-sale terminals that can intercept and record your card information.
At ATMs and POS terminals, look for anything loose, crooked, damaged, or scratched. Pull at the edges of the keypad to ensure there’s no overlay before entering your PIN,
At a gas station, choose the credit rather than debit option and always cover the keypad when you enter your pin. Check the keypad for inconsistencies in coloring, material, or shape that could be a keypad overlay. Pay inside with an attendant not outside at the pump. Tap your card instead of swiping or inserting it when paying at the pump if that option is available.
Be on high alert for skimming devices in heavily trafficked tourist areas, since ATMs and POS terminals are easy and popular targets.
8. Check your travel perks
You may normally use your credit cards primarily for their cash back or points rewards. But many cards also have extra benefits that can enhance or make your travel experience easier.
A few common travel benefits include:
- Car rental insurance
- Concierge services
- Free breakfasts or late checkouts at hotels
- Free or discounted medical travel insurance
- Emergency evacuation insurance
And while traveling, make sure to rack up rewards on your spending. Your cash back card with dining rewards can be useful for visiting restaurants while you’re away, while a travel rewards card may help you save on any last-minute car rentals or excursions.
Budget your credit card spending before your trip and make sure you can pay off your charges in full before the due date. It’s great to see your points and miles pile up, but they become less valuable when you’re paying interest on your credit card balance.
9. Do your research
Cards from some issuers are more widely accepted than others around the world, and you don’t want to arrive in another country with no way to pay.
I went on a two-week dream trip to Morocco in 2020 and brought my American Express Platinum card, my Chase debit card and my Capital One VentureOne card on the trip. I added the VentureOne card at the last minute, which was smart because many of the places I visited in Morocco did not accept American Express cards. I’ve also been in countries that don’t accept Discover cards.
It can help to ask your card’s customer service about its acceptance rates where you’re going, but also consider other sources. Before you leave, talk with your travel agent (if you have one) and your hotel, innkeeper or concierge, too.
When I was planning a family trip to Cuba, a friend told me about a Facebook group, “Unlocking the Mystery of Cuba,” which was a motherlode of great information. Check out groups on Facebook and Reddit to get the scoop on travel destinations.
10. Practice Wi-Fi security
For credit data harvesters, public Wi-Fi is an all-you-can-eat buffet. Ditto for those public-use computers in internet cafes and hotel business centers. Avoid them for anything other than reading the morning paper or checking the weather.
Need to check balances? Use your cellphone’s LTE or 5G network to log into your bank, an issuer’s app or a website. Or look for an 800 number or an international phone number to call your card issuer for more information.
Consider signing up with a VPN provider for security while you surf. I installed Express VPN when I traveled to China. It allowed me to connect up to eight electronic devices when I traveled to China. I was able to have internet access on sites that the government banned. Express VPN is free for 30 days, then the cost starts at $12.95 a month.
The bottom line
Traveling is pleasurable, but losing your credit card or having it stolen is not. By taking precautions, you can get more out of your credit card while you are traveling. Keep your card issuer informed about your plans so that your card use in faraway places passes muster.
Cards from some issuers are more widely accepted than others, so make sure your card has broad acceptance at your destination. Also, watch out for credit card skimming at ATMs and other attempts at fraud. And go with a travel credit card whose travel rewards and benefits you can reap.
