How to avoid card charges abroad

Check the fees to avoid card charges abroad

If you’re thinking of using a bank card abroad, make sure you check what fees you could be charged. Card providers may levy a foreign exchange fee, when the money is converted from pounds into the local currency, and a fee when withdrawing money at an ATM.

There are a few ways to reduce the costs of using a bank card abroad. One way is to make sure you plan how often you want to draw cash from ATMs. If you do it less frequently you can limit the cost of withdrawing cash abroad.

Try not to withdraw cash on your credit card, unless you have a specialist fee-free card. This is because most credit card providers charge fees and interest on withdrawals from overseas ATMs.

Getting some local currency in advance of your trip, so you can arrive at your destination with some euros or dollars in your pocket, is also a good way to avoid card charges abroad.

For commission-free foreign currency, pop into one of the bureaux de change in our John Lewis & Partners shops, or order online. You can pick up the travel money at a John Lewis or Waitrose, or have it delivered to your home. Minimum online order value £250 applies. Delivery/collection fee of £5.50 applies or orders below £500, otherwise it's free.

Orders placed after 3pm on Friday will be delivered on Tuesday and remote areas may take up to three days.

Exchange rates in our shops may vary from those offered online.

Can I withdraw money abroad?

Yes, you can take money out of ATMs when you’re abroad on holiday, just watch out for any fees levied by your card provider and the ATM provider. If you’re struggling to find an ATM, use the Mastercard global ATM locator to discover your nearest one.

Is it better to pay in local currency on my card?

You may have noticed the option to pay in pounds or the local currency when paying with your card on holiday. You may think selecting sterling might be the better option, as it's the currency of your card. But in most cases, it could cost you more.

When you pay with your card in sterling in a foreign country, your card provider will determine the exchange rates, and may add additional transaction fees and markups to your purchase. Whereas if you pay in the local currency, you’ll likely only have to pay the exchange rate and a transaction fee, which usually means the transaction will cost you less. This depends on what the exchange rate for that time of purchase will be, so you can check ahead before your trip.

Is it better to pay with credit or debit cards?

This comes down to personal preference, as well as any international fees charged by your card provider. If the fees are similar on your credit and debit card, consider which payment method you prefer when you’re at home. You might also like to weigh up other factors, like the legal protection you get if you pay for individual items between £100 and £30,000 on your credit card, and the fact that withdrawing cash abroad on a credit card can be expensive.

Will my card get blocked if I spend abroad?

If your card provider notices unusual spending patterns they may block the card to keep your money safe.

Can I withdraw money abroad with my credit card?

It is possible to withdraw money abroad with your credit card – just watch out for any fees and interest.

If you want no withdrawal fees abroad, it might be worth exploring a specialist travel credit card that offers free ATM withdrawals.

Travel money made easy

It’s always useful to have some local currency when jetting off abroad. For great rates and no commission, pop to one of the Bureau de Change in our John Lewis & Partners shops around the UK. Or you can order online to click-and-collect from a John Lewis or Waitrose near you, or book a home delivery.

When you return from your holiday, you can even sell your leftover travel money to us at any of our Bureau de Change locations. As long as we keep your currency in stock and we can accept the denominations you have, we’ll exchange your unused notes back into pounds.

Exchange rates online may vary from those offered in-store. Online orders require a minimum order of £250 for home delivery and collection. A £5.50 delivery fee applies to orders below £500.

Orders placed after 3pm on Friday will be delivered on Tuesday and remote areas may take up to three days.

This article is for promotional or information purposes only. You must not rely on it as advice. Please contact a financial adviser if you need advice before you buy a financial product or service.