What's the best travel credit card with no annual fee?

It is better to have no annual fee on your credit card if you are looking to build credit or not planning to spend much with the card. It’s also better to have no annual fee on a credit card when you won’t be able to save more with better rewards by opting for a card that charges a membership fee. It all comes down to personal preference, your financial situation and what credit cards are available. … read full answer

Popular Rewards Credit Cards With No Annual Fee (By Issuer)

A rewards credit card with an annual fee is the best option for many people – particularly those with good or excellent credit who plan to pay the bill in full monthly. If that describes you, you can compare the best rewards credit cards on WalletHub to get a feel for what’s out there and whether paying a fee will pay off.

But if you’re new to credit, rebuilding credit, or trying to minimize financing costs, it’s best to opt for an offer with no fee. People who are new to credit or rebuilding won’t be able to get enough of a rewards boost to benefit from paying an annual fee, and the credit cards with the best interest rates typically have no annual fee.

A travel credit card is a card that offers bonus rewards for travel-related expenses charged to the card and allows cardholders to redeem for things like free flights or hotel stays. Some elite travel cards also provide perks such as airport lounge access, travel insurance and even hundreds of dollars in travel credits.… read full answer

Popular Travel Credit Cards

Key Things to Know About Travel Credit Cards

• Travel credit cards can be co-branded with a particular airline or hotel chain, or they can be general travel credit cards that don’t limit your rewards to a specific company.
• You’ll typically earn more rewards with travel-related purchases compared to other purchases.
• The rewards you earn usually are worth the most when redeemed for travel.
• Travel credit cards normally offer rewards in points or miles.
• Many travel cards save you money abroad by not charging foreign transaction fees.
• You can enjoy extra perks such as airport lounge access, travel insurance, Global Entry/TSA PreCheck application fee credits, and even hundreds of dollars in travel credits with some elite travel cards.

To see which cards best match your needs, you can compare travel rewards credit cards on WalletHub.

The best way to avoid foreign transaction fees is to use a debit or credit card that waives such fees while traveling abroad. About 25% of the available credit card offers on the market don’t charge foreign transaction fees. Plus, those cards are available to people of all credit levels, so there’s really no reason to pay the extra charge when you travel abroad.… read full answer

1. Get a credit card with no foreign transaction fee.

Foreign transaction fees are charged by credit card companies and the surcharge could add as much as 4% to purchases made outside the U.S. These fees also apply to online purchases processed through international merchants. If a card charges a foreign transaction fee, it will be listed in the card’s terms and conditions.

The 10 largest credit card companies all offer at least some cards without foreign transaction fees. Plus, some issuers don’t charge these fees on any of their credit cards. Using credit cards with no foreign fees rather than cash is also a convenient, inexpensive way to avoid having to convert physical currency while traveling abroad.

2. Understand that foreign fees can be an issue even when you’re not traveling.

You don’t have to be in another country to get hit with a foreign transaction fee. If you do business online or by phone through a merchant based outside of the U.S., make sure you pay for your purchase with a no foreign fee credit card to sidestep the surcharge. If you use a card with a foreign fee, you’ll be charged this fee on top of your transaction, the same as you would if you had made the purchase at a physical location abroad.

3. Have a no foreign fee debit card handy.

You may not be able to use credit cards for all your purchases abroad, so having a debit card will allow you to get cash in the local currency when you need it. Many debit cards also charge foreign transaction fees, though. So, make sure to bring a Visa or Mastercard debit card with no foreign fee when you head out of the country.

4. Avoid converting currency at airport kiosks.

Converting your cash at an airport kiosk outside of the U.S. may be convenient, but that convenience will cost you. Currency conversions at airport-based exchange stations come with extraordinarily high fees and less-than-favorable exchange rates.

Instead, use a no foreign transaction fee credit card for most of your purchases, and a no foreign fee debit card to withdraw physical currency. These options are very convenient, and each allows you to take advantage of low Visa and Mastercard currency conversion rates automatically.

5. Do not accept offers for dynamic currency conversion.

Dynamic currency conversion (DCC) is a practice in which foreign merchants may offer to charge your purchase in U.S. dollars instead of the local currency. You should never accept these offers because if the merchant converts your payment for you, they may set their own high exchange rate to increase their profits.

With that, you know the basics of how to avoid unnecessary costs when spending money internationally. If you already have a credit card that charges foreign transaction fees, there’s not much you can do to avoid them, except for not using the card abroad. Consider applying for a travel credit card with good ongoing rewards and no foreign transaction fees, instead. There are plenty of options to choose from.