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When using your credit card abroad—or even while making purchases online with international vendors—charges may add up more quickly than usual. This is because of your credit card’s foreign transaction fee. Foreign transaction fees are charged when you make non-US-dollar purchases, and can range from 1%–3% of the transaction amount.
However, there are plenty of credit cards without any foreign transaction fees at all. Whether or not you’re charged this fee, and how much it costs, will depend on your credit card and credit card issuer.
How much is Discover’s foreign transaction fee?
Discover doesn’t charge any foreign transaction fees. Additionally, Discover credit cards don’t charge annual fees, making Discover one of the lowest-cost credit card issuers around.
Discover credit cards that have no foreign transaction fee and no annual fee include:
However, the Discover payment processing network is less commonly used abroad than Visa or Mastercard. So if you’re traveling with a Discover credit card, you may want to pack another form of payment, in case your Discover card is rejected.
Do I need to notify Discover before using my credit card abroad?
Yes, you need to notify Discover before using your credit card abroad. You can alert them to your travel plans through your online account, mobile app, or by calling the customer service center.
Tips for using a Discover credit card abroad
When using credit cards internationally, it’s important to understand the costs and risks involved. Here are some tips to keep in mind before you swipe your Discover credit card abroad:
- Get a PIN: You probably don’t use your credit card PIN number often; in fact, you may not even know you have one. Before taking your Discover credit card overseas, make sure you find out whether your card has a PIN and what it is, or how you can set a new one. Many foreign transactions (especially at ticketing kiosks around Europe) require you to enter a PIN when you use your credit card. You may be able to find your credit card PIN in your original offer letter, or call the number on the back of the card to request one.
- Pay in the local currency: When you’re swiping your Discover credit card at checkout in another country, the card reader may give you the option to pay in either the local currency or convert to US dollars. If you convert to US dollars, you’ll be triggering a “dynamic currency conversion” which often comes at an added cost. So while it’s tempting to see the price in your native currency, opt to pay in the local currency instead.
- Embrace the perks: Many credit cards offer travel perks, like lost baggage protection or emergency credit card replacement. Research and understand any perks Discover offers before your trip, so you can take advantage of these benefits to make your travels smoother.
