
Disclosure: When you apply through links on our site, we may earn a referral fee from our partners. For more, see our ad disclosure and review policy.
Key Takeaways
-
Foreign transaction fees can add up quickly when you're out of the country, so opt for a credit card that doesn't charge them.
-
Some student-centric credit cards offer rewards and perks that can help you make the most of your spending.
-
When traveling, you need a card that has modern security features, including the ability to lock it from your mobile device if it is stolen.
Perhaps one of the most exciting opportunities open to college students is the chance to study abroad and immerse themselves in a brand-new culture.
Of course, as exciting as it may be, living in a foreign place — even temporarily — comes with its own challenges, not the least of which is navigating new currencies and payment methods. Luckily, a good credit card can solve both of those problems.
The best travel credit cards can help you make purchases without worries about local currency conversions, unfamiliar cash and coins, and pricey foreign transaction fees. Let’s take a look at some of the best study abroad credit cards on the market today, including cards with no foreign transaction fees, chip & PIN cards, cards with dining rewards, and cards for those with little or no credit history.
-
Navigate This Article:
Best Student Cards With No Foreign Transaction Fee
The very first thing to look at when considering a student credit card to use while studying abroad is whether the card charges foreign transaction fees. These fees are charged any time the banks or networks need to convert currency, and they can range from 3% to 5% of every transaction.
The simplest way to avoid foreign transaction fees is to choose a card that doesn’t charge them at all. And that’s not a hard task, given that some of the best student credit cards come without foreign transaction fees (or annual fees, for that matter).
If you want a little more bang for your buck, the Discover it® Student Cash Back offers quarterly rotating bonus categories that allow you to earn bonus cash back each activated quarter, subject to a spend cap. This is a great way to earn more rewards at places many consumers shop frequently.
The Discover it® Student Chrome is a good option for making purchases abroad — and not just for its lack of hefty fees like some other cards carry. You’ll also earn cash back on every purchase, including at gas stations and restaurants, making it more affordable to explore your destination.
Best Chip & PIN Credit Cards for Europe
While your favorite chip-enabled credit card will work in many locations abroad, you may have the occasional hiccup, especially when trying to use unmanned terminals and kiosks in Europe. That’s because Europe uses PIN-based verification, rather than the signature verification commonly used here in the U.S.
To ensure you can use your card without issue while studying abroad in Europe, you can choose a PIN-capable credit card. There are a number of US credit cards that have the ability to use PIN verification, including several that charge no foreign transaction fees.
Additional Disclosure: Bank of America is a CardRates advertiser.
The Bank of America® Travel Rewards credit card for Students is a PIN-enabled card with no annual fee, plus it charges no foreign transaction fees.
You can request your four-digit PIN by logging into your online Bank of America account, through the mobile app, or by calling the customer service number on the back of your Visa credit card.
The Capital One Quicksilver Student Cash Rewards Credit Card is one of the best travel companions an international student could hope for. You can call and request a PIN to use for purchases, it charges no foreign transaction fees, and pay flat-rate cash back on every purchase you make.
It also has several protection features to keep your account secure while abroad. One knock against this card is its high purchase APR relative to other student cards, but the APR can be avoided by paying your balance in full each month.
Best Dining Rewards Cards
Although every destination has its own sights and attractions, few things can compare with the ability to experience new foods and drinks as we travel.
To make the most of your foodie adventures, consider taking along a credit card that offers bonus rewards for your restaurant purchases. With the right cash back or points card, you can save on every culinary curiosity and perhaps make a little extra room in the budget for a second helping.
The Capital One Savor Student Cash Rewards Credit Card offers generous cash back rewards on dining purchases, with no foreign transaction fees to negate the rewards you earn.
If your card is lost or stolen, you can lock your card in the Capital One mobile app to prevent fraudulent purchases. And if they do occur, you’ll never be held liable for unauthorized charges.
You’ll earn cash back rewards on every purchase with this card, with an elevated cash-back rate for dining purchases (subject to a spend cap), making this a great choice if you’re looking to earn while you eat.
While not for the credit card novice, the Chase Sapphire Preferred® Card is a solid card for any trip abroad, offering 3X Ultimate Rewards points on dining purchases. Points can be redeemed at a solid rate for more travel to help you get out and explore.
Best Cards for Poor or Limited Credit
While it’s all well and good to look for a credit card with great rewards and low fees, the primary thing on your mind as a college student with a poor credit history may just be getting accepted.
But that may not be the challenge you fear. Many credit card issuers offer cards specifically designed to help students build their credit while offering the purchase rewards and low fees you want out of your card.
The Capital One Platinum Secured Credit Card doesn’t offer rewards, but you can get this card with as little as $49 down, even with bad credit. There’s no annual fee, and you can have your deposit refunded when you consistently make your monthly payment on time.
The Discover it® Secured Credit Card is a solid choice for rebuilding or establishing your credit. You can transition to an unsecured Discover card in as few as seven months. The card’s lack of an annual fee or foreign transaction fees also makes it a good addition to your study abroad supplies.
Benefits and Drawbacks of Using Credit Cards Abroad
Using your credit card abroad is a convenient and secure way to pay and earn rewards. But do potential fees and acceptance issues overshadow those positive aspects?
Here are a few potential pros and cons to help you decide if you have the right card — or if you should apply for a new one.
Potential Benefits
- Convenience: Credit cards are widely accepted in most countries, which means you don’t have to walk around with a lot of cash.
- Easy Currency Exchange: Credit cards convert your purchases to the local currency based on the exchange rate. And many cards have better exchange rates than banks or other exchange brokers
- Security: Most cards offer zero-liability protection for unauthorized purchases, and issuers typically monitor for fraud and can alert you to suspicious activity — no matter where you are.
- Travel Perks: Some cards provide additional benefits while you are abroad, which may include travel insurance or rental car coverage.
Potential Drawbacks
- Foreign Transaction Fees: Many credit cards charge foreign transaction fees on all purchases you make abroad. This typically adds between 1% and 3% to the cost of every swipe.
- Limitations in Certain Areas: If you make purchases at small vendors, street markets, or in rural areas, you may still need to use cash. Also, some countries (or regions) may favor one credit card network over another — i.e. Visa over American Express. That may reduce the usefulness of your card.
- Possible Card Locks or Declines: If you don’t notify your bank that you’ll be traveling, making purchases in other countries could trigger security measures that lock your account. And, depending on where you are, resolving those issues with customer service could take time.
If you pick the right credit card, you could be reaping all the benefits without having to deal with many of the drawbacks. It’s all about evaluating your destination, your credit standing, and your needs before you apply.
Immerse Yourself in Local Culture with the Right Card
Studying abroad is one of the greatest perks of being a college student, not only offering the chance to explore a new culture — but to get college credit for it, too.
While immersing yourself in a foreign land can have its challenges, being prepared is more than half the battle. Taking along the right credit card, for instance, can help you avoid the hassle of local currency conversions or payment method problems.
Before traveling with your new card, be sure to contact your credit card company to make it known that you plan to travel abroad with your card. This will help prevent your foreign purchases from being flagged as fraud and your card being frozen at an inopportune time.
Also, don’t let your adventure abroad cause financial trouble when you get home. Always make all of your necessary credit card payments on time — keeping time zone differences in mind — so you aren’t welcomed by expensive late fees or, worse, credit damage, when you get back.
Additionally, be sure to keep track of your budget as you go. While you may not have to make currency conversions yourself as you pay with hard money, you should still always be aware of how much you’re spending to avoid any painful surprises when your card bill arrives, and you see your total in American dollars.
Advertiser Disclosure
CardRates.com is a free online resource that offers valuable content and comparison services to users. To keep this resource 100% free, we receive compensation for referrals for many of the offers listed on the site. Along with key review factors, this compensation may impact how and where products appear across CardRates.com (including, for example, the order in which they appear). CardRates.com does not include the entire universe of available offers. Editorial opinions expressed on the site are strictly our own and are not provided, endorsed, or approved by advertisers.