Which bank does not charge foreign exchange fees? This question is about Banks

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 Best Overall: Capital One Venture Rewards Credit CardCapital One Venture Rewards Credit CardLearn MoreLearn MoreNo Annual Fee: Bank of America® Travel Rewards credit cardBank of America® Travel Rewards credit cardLearn MoreLearn Moreon issuer's websiteBest for International Travel: Chase Sapphire Preferred® CardChase Sapphire Preferred® CardLearn MoreLearn Moreon issuer's websiteBest for Businesses: Ink Business Preferred® Credit CardInk Business Preferred® Credit CardLearn MoreLearn Moreon issuer's website 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.

Ad Disclosure Ad Disclosure

Which bank does not charge foreign exchange fees?

Answer Question Report Abuse

This question is about Banks

see this user

Milvionne Chery Copeland, Writer

@milvionne_copeland • 08/03/22 This answer was first published on 08/03/22. For the most current information about a financial product, you should always check and confirm accuracy with the offering financial institution. Editorial and user-generated content is not provided, reviewed or endorsed by any company.

Permalink Report Abuse

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

Best Overall: Capital One Venture Rewards Credit CardCapital One Venture Rewards Credit CardLearn MoreLearn More
No Annual Fee: Bank of America® Travel Rewards credit cardBank of America® Travel Rewards credit cardLearn MoreLearn Moreon issuer's website
Best for International Travel: Chase Sapphire Preferred® CardChase Sapphire Preferred® CardLearn MoreLearn Moreon issuer's website
Best for Businesses: Ink Business Preferred® Credit CardInk Business Preferred® Credit CardLearn MoreLearn Moreon issuer's website

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.

Answer Question

Which banks have no foreign transaction fees?

Banks that have no foreign transaction fees on at least some debit card purchases, ATM withdrawals and credit 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.... read full answer

Banks With No Foreign Transaction Fees

American Express: certain credit cards

Bank of America: certain credit cards

Barclays: certain credit cards

Capital One: all credit cards, certain debit cards, certain ATM transactions

Charles Schwab Bank: certain debit cards, certain ATM transactions

Chase: certain credit cards

Citibank: certain credit cards, certain ATM transactions

SBC: all credit cards, certain debit cards, certain ATM transactions

PNC: certain credit cards, certain ATM transactions

Santander Bank: certain credit cards, certain debit cards

U.S. Bank: certain credit cards

Wells Fargo: certain credit cards, certain ATM transactions

You can learn more about the best credit cards with no foreign transaction fees and debit cards with no foreign transaction fees on WalletHub.

show less

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 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.

show less

Which bank is best for international transactions?

WalletHub Answers is a free service that helps consumers access financial information. Information on WalletHub Answers is provided “as is” and should not be considered financial, legal or investment advice. WalletHub is not a financial advisor, law firm, “lawyer referral service,” or a substitute for a financial advisor, attorney, or law firm. You may want to hire a professional before making any decision. WalletHub does not endorse any particular contributors and cannot guarantee the quality or reliability of any information posted. The helpfulness of a financial advisor's answer is not indicative of future advisor performance.

WalletHub members have a wealth of knowledge to share, and we encourage everyone to do so while respecting our content guidelines. This question was posted by WalletHub. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. In addition, it is not a financial institution’s responsibility to ensure all posts and questions are answered.

Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offer’s details page using the designation "Sponsored", where applicable. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products.

Ask a Question

140

Ask Question

Ask Your Question

WalletHub Transparency

We are committed to being fully transparent with our readers. Opinions expressed here are the author’s and/or WalletHub editors'. WalletHub editorial content on this page is not provided, commissioned, reviewed, approved or otherwise endorsed by any company. In addition, it is not any company’s responsibility to ensure all questions are answered.