Credit card abroad: Pay attention to these things!

Credit card abroad: Pay attention to these things!

Paying with a credit card abroad can have some pitfalls. Many travelers and holidaymakers prefer to use their credit card as they can avoid the hassle of exchanging cash, especially in countries outside the EU. Nevertheless, it is crucial to find out about the applicable regulations in advance, especially in the event of a card being lost in the destination country.

Before you start your trip, you should definitely check whether your credit card provider is accepted abroad and what the acceptance rate is. A common mistake is traveling with an expired card or a card that expires while on vacation. You should also check whether you can withdraw cash from local ATMs. The institutions often provide information on their websites about the locations of the nearest ATMs in the holiday destination.

Sometimes using a credit card fails not because of the holiday destination, but because of the card itself. It may be necessary to activate the credit card for foreign payments. It is also advisable to check your budget before departure and adjust it if necessary, as higher expenses often arise during vacation. Fees may apply for payments outside your own country, especially for conversion into the local currency, the so-called foreign transaction fee. Within the EU, however, credit card payments are usually free of charge.

To avoid high fees, we recommend contacting your bank or credit card company before you travel. Many offer special travel credit cards that are optimized for international use and can offer reduced or waived foreign transaction fees. It is also worth asking the bank whether it has partner banks abroad where withdrawing money is cheaper. It is advisable to clarify this information in advance to avoid unnecessary costs on vacation.