Are you someone who often buys stuff online in a different currency, or someone who travels outside the US frequently? If so, are you aware that when you purchase something with your U.S. credit card, most credit card companies charge you an extra fee for paying in a different currency?
That extra fee is the foreign transaction fee which you must pay each time you make a purchase with your card in another country or in another currency. This fee is usually 3-5% of your purchase price, so if you buy something expensive, that fee can be a waste of money. If you are a frequent traveler, this type of fee is something you should try to avoid.
One way to do so is to look for a credit card that has no foreign transaction fee.
Having reviewed so many credit cards for DailyMarkets.com, here are some of the best credit cards with no foreign transaction fees in my opinion:
Discover it Card. This Discover card has an introductory period of 0% APR on balance transfers and purchases for 14 months. You will also receive 5% cash back on quarterly rotating categories and 1% cash back on every other dollar you spend. This card even doubles your cash back bonus when you redeem it for gift cards. You can also earn up to 20% cash back bonus when making purchases at Discover’s online mall. You will also benefit from flight accident insurance of up to $500,000. This card has no foreign transaction fee. No annual fee.
Click here to read our Discover it Card review.
Chase Sapphire Preferred Card. If you want a card that comes with 40,000 signing bonus points, then this rewards card from JPMorgan Chase (NYSE:JPM) is the card to go for, as you will earn 40,000 points when spending $3,000 within the first 3 months. This new promotion gives nearly twice as many points compared to the old offer! You get 1 point for every dollar you spend on the card, 2 points for every dollar you spend on buying air tickets through Chase’s Ultimate Rewards site and dining at restaurants, and up to 10 points for every dollar you spend on shopping in their shopping portal. Chase Sapphire Preferred also gives you a 7% annual bonus on the points you’ve earned for the year. $95 annual fee is waived during the first year.
Click here to read our review of Chase Sapphire Preferred Card.