Credit Card Blog

1. Select cards for overseas use.
For an international trip, find which cards you’ll be able to use. In certain parts of the world, some cards will be accepted more widely than others, says Clark Howard, co-author of “Get Clark Smart: The Ultimate Guide to Getting Rich from America’s Money-Saving Expert.” Check a couple of good guidebooks to find out which cards will give you the most options in that area.

2. Ask about fees in advance.
If you’re leaving the U.S., ask about fees. Call the issuing bank and find what kind of fees it charges for using the card outside the U.S. Many institutions charge additional fees — flat rate, percentage or both — for foreign transactions. “Most people don’t think to ask, or know to ask,” says Howard.

Look for a foreign currency exchange fee or foreign transaction fee, says Howard. What can be really galling: Some banks will add them to the bill even if the merchant conducts the transaction in U.S. dollars. Take the cards that will cost you the least to use. If you belong to a credit union, see if its credit card might offer a better deal on overseas travel.

Even if you think you know your credit card bank’s policies, check again. “A number of major credit card issuers recently made substantial increases to the nature and amount of the fees they charge for foreign transactions,” says Edward Hasbrouck, author of “The Practical Nomad” travel series.

In some cases, you’ll face a similar situation with ATM transactions. If there is a flat fee on every transaction, that string of little credit card charges can really skyrocket.

This entry was posted on Friday, September 1st, 2006 at 8:47 pm and is filed under Mastercard, Visa. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.