Ever get worried about how you're going to pay for things on a trip abroad? Knowing what to pack in your wallet is the key to being fully prepared for your next international trip.
First things first: When you're traveling outside of the U.S., it's essential to bring along travel credit cards that don't charge foreign transaction fees. Not only will you earn valuable points and miles from your spending – but you will also get the added peace of mind that comes with your credit card's travel and purchase protections.
For international travel, that department store credit card you were pressured to open back in the day likely won't cut it. Neither will most no-annual-fee travel cards, for that matter.
And remember: It's best to head out prepared for the worst. Just bringing a single credit card could be a recipe for disaster – especially if you're only planning to travel with an American Express card. In addition to your go-to Amex Card, you should try to have a Visa or Mastercard handy at all times to adapt to different merchants. It's also a good idea to pack a debit card for withdrawing local currency from an ATM.
When in doubt, bring as many payment options with you as possible. Here's a breakdown of what you should have in your wallet for your next trip abroad.
Start With a Visa Card
Bringing along a Visa credit card like the *chase sapphire preferred* or *venture x* is essential. Not only will you have a card that is widely accepted around the world but you'll also get other benefits like travel and rental car insurance, trip delay, and cancellation protection.
Although most travel credit cards carry an annual fee, you won't have to worry about paying foreign transaction fees with either of these two cards.
If you're just now looking to add your first travel card, you can also earn a lucrative welcome bonus offer and get access to other valuable travel perks with many different Visa cards. These big sign-up bonuses and a laundry list of travel benefits can easily make paying the annual fee worth it.
Pack a Mastercard
After Visa, having a Mastercard in your wallet might just be your next best option.
You'll enjoy many of the same benefits that you get with a Visa travel credit card – but there are seemingly less travel cards issued by Mastercard to choose from.
Chase has some of our favorite no-annual-fee cards like the Chase Freedom Flex℠ but the issue with this card is that it doesn't waive foreign transaction fees. Your best bet for a travel card with the Mastercard logo on it – and no annual fee – is the *Bilt Mastercard*.
Another solid choice for a Mastercard travel card is the Citi Strata Premier℠ Card. You'll earn bonus points when swiping this card for many purchases when traveling and it comes with travel protections, too – all for a modest annual fee.
Traveling through Vietnam, I rarely had issues relying on Mastercard alone. Another time, I was thankful to have a Mastercard with me when shopping at Costco in Canada. Similar to how U.S. Costcos exclusively accept Visa credit cards, warehouses north of the border will only take Mastercard.
What About American Express?
Although American Express has steadily tripled its acceptance outside of the U.S. since 2017, there's no guarantee you'll be able to use your Amex card in every store, city, or country.
Amex has some great travel rewards cards like *amex platinum* and *amex gold*, yet many travelers encounter complications when trying to pay overseas and even sometimes at home.
While on a recent trip to France, I made the necessary pilgrimage to a local McDonald's (very American, I know). When trying to pay with my Amex card at one of the self-service kiosks I encountered a problem.
Unable to figure out what was wrong on my own, I went to an employee at the counter to ask if I could use an international credit card. They initially told me no. But when I mentioned Visa and Mastercard, they said that both card types would be accepted.
I'm not telling you to ditch your Amex card, but it's smart to be prepared with a backup payment method like a Visa or Mastercard – especially for trips abroad.
The Right Debit Card
It's always a good idea to have a little cash on you when traveling – or at least a way to get some currency of the country you're visiting easily. You might need cash for a tip or to take a taxi – or just for peace of mind if you're worried about credit cards not being accepted.
Getting cash from an ATM at your destination – rather than from the currency exchange counter at the airport – is the best way to ensure a fair exchange rate when converting from U.S. dollars to whatever local currency you're withdrawing. For that, you'll want a debit card in your wallet – and ideally, one that reimburses you for both ATM and foreign conversion fees for making cash withdrawals.
Our favorite fee-free debit card for international travel is the Charles Schwab debit card. This free checking account and debit card for any frequent traveler because it means you'll never have to pay ATM fees … in the U.S. or abroad.
The Charles Schwab debit card allows you to take out cash from any ATM anywhere in the world and get fully refunded for any ATM fees you pay. It's a foolproof way to avoid international ATM fees and get the best currency exchange rate possible. Schwab reimburses you monthly for ATM fees charged by all outside vendors and doesn't pass on any of their own.
Related reading: The Best Fee-Free Debit Cards for International Travel
Final Tips
Besides knowing what to bring on your next international trip, there are a few other things to keep in mind when it comes to money.
Always pay in the local currency. Sometimes, you will be prompted on the card reader or ATM screens when you're making a transaction to select the local currency or convert your funds into U.S. Dollars. You should pick the local currency every time to get the best exchange rate.
Prepay on purchases before taking your trip. Whether it's hotels, tours, or tickets, if you could pay for these expenses prior to flying abroad, it could help avoid any payment issues and possibly skip the unnecessary hassle of waiting in lines when you're traveling. You'll also be more likely to use the card of your choice when doing so online ahead of time.
Protect your credit cards and stay organized. It might be a matter of having the right travel wallet with a money clip or passport holder to house all of your cards but accidents happen. If you do lose one of your credit cards, be sure to log in to your card app or contact your bank to put a freeze on that account to prevent any unauthorized transactions. You definitely want to have multiple cards to use as a backup should you lose one during your trip.
Don't rely on one payment method. If you currently pay for everything with cash or a debit card (please don't), it might be time to start looking into credit cards for your next trip. Credit cards provide more flexibility and convenience when making payments in addition to protecting you from unauthorized purchases. Just be sure to bring a good variety of payment methods to avoid any potentially awkward interactions when it comes time to pay.
Bottom Line
Preparing for an international trip is no joke. Pre-planning as much of your trip in advance is key to having a stress-free vacation. And a major part of that is not having to worry about whether you'll have the right payment method.
Having a good mix of cash, credit, and debit cards will ensure you're able to pay for any expense on your text trip abroad.
