Milvionne Chery Copeland, Writer
@milvionne_copeland
One of the major banks that do not charge a foreign exchange fee on their credit cards and debit cards is Capital One. A foreign exchange fee is typically a 1% fee that is charged when making a purchase while in a foreign country or when doing business with a foreign merchant while in the U.S. You can also incur the fee when you are transferring funds from a U.S. bank to one that’s overseas. It may be difficult to see how much the foreign exchange fee is for some banks, as that fee is wrapped into the foreign transaction fee.
The best way to avoid paying a foreign exchange fee is to get a card that doesn’t charge a foreign transaction fee. Below, you’ll see a list of banks that don’t charge foreign fees on any of their credit cards, followed by WalletHub’s editors’ picks for the best no foreign transaction fee credit cards.
Banks That Don’t Charge Foreign Exchange Fees
- Capital One
- HSBC (credit cards and some debit cards)
- USAA (only on credit cards)
Best No Foreign Transaction Fee Credit Cards
- Rates & Fees Best Overall: Capital One Venture Rewards Credit CardLearn MoreLearn Moreon issuer's website
- Rates & Fees Best Overall: Capital One Venture Rewards Credit CardLearn MoreLearn Moreon issuer's website
- Best Overall: Capital One Venture Rewards Credit CardLearn MoreLearn More
- No Annual Fee: Bank of America® Travel Rewards credit cardLearn MoreLearn Moreon issuer's website
- No Annual Fee: Bank of America® Travel Rewards credit cardLearn MoreLearn Moreon issuer's website
- No Annual Fee: Bank of America® Travel Rewards credit cardLearn MoreLearn More
- Rates & Fees Best for International Travel: Chase Sapphire Preferred® CardLearn MoreLearn Moreon issuer's website
- Rates & Fees Best for International Travel: Chase Sapphire Preferred® CardLearn MoreLearn Moreon issuer's website
- Best for International Travel: Chase Sapphire Preferred® CardLearn MoreLearn More
- Rates & Fees Best for Businesses: Ink Business Preferred® Credit CardLearn MoreLearn Moreon issuer's website
- Rates & Fees Best for Businesses: Ink Business Preferred® Credit CardLearn MoreLearn Moreon issuer's website
- Best for Businesses: Ink Business Preferred® Credit CardLearn MoreLearn More
- Best Overall:
- No Annual Fee:
- Best for International Travel:
- Best for Businesses:
Using a credit card with no foreign transaction fees can also help with currency conversion costs, saving travelers up to about 9% compared to exchanging hard currency.
Having a credit card and a debit card with no foreign transaction fee is just one way to avoid extra costs while shopping abroad. To see some other ways, check out WalletHub’s tips for avoiding foreign transaction fees.
People also ask
Which banks have no foreign transaction fees?
Banks that have no foreign transaction fees on any of their credit cards and just on certain ATM withdrawals and debit card transactions include Capital One and HSBC. There are also plenty of banks that offer no foreign transaction fees on certain types of financial products, but not others. Below, you can see what each major bank offers.
Banks with No Foreign Transaction Fees
- American Express: Certain credit cards
- Bank of America: Certain credit cards...
How do I avoid foreign transaction fees?
The best way to avoid foreign transaction fees is to use a debit or credit card that waives foreign fees when you're traveling abroad or making online purchases from international retailers. About 25% of credit card offers don't have foreign transaction fees, so there’s no reason to pay the extra charge.
How to avoid foreign transaction fees
- Get a credit card with no foreign transaction fee
- Understand that foreign fees can...
Which bank is best for international transactions?
The best banks for international transactions depend on factors such as your location, whether you're an individual traveler, expat, or business, and your specific needs, like low fees for wire transfers, ATM withdrawals, currency exchanges, or global accessibility. Bank of America, Chase, Citibank, Charles Schwab, and HSBC are recognized for their international transaction services.
Additionally, online international money transfer platforms like Wise and Revolut offer competitive rates for transfers and multi-currency holdings. These alternatives are worth considering...
read full answer by Ramses Delgado, Banking ModeratorDid we answer your question?
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