Money Matters: 2023 International Credit Card Survey

 

With summer travel on the horizon, WalletHub today released the results of a nationally representative International Credit Card Survey gauging people’s opinions on various aspects of spending money abroad, along with editors’ picks for the Best International Credit Cards of 2023 and a new Currency Exchange Study that highlights easy ways to save. 

• Credit Card Security: 57% of Americans wouldn’t feel safe traveling abroad without a credit card.
   
• Foreign Fees Domestically: Roughly 2 in 3 people don’t realize foreign fees can apply without foreign travel.
   
• Swearing Off Foreign Fees: 56% of Americans say they would never get a credit card that charges a foreign transaction fee.
   
• Fee Consciousness Rises: 43% more Americans than last year say they care a lot about foreign transaction fees when applying for a new credit card.
   
• Exchange Rate Ignorance: More than 3 in 4 people don’t know that using a credit card gets them the best exchange rate when traveling abroad.
   
• Fee Awareness Lacking: Nearly 2 in 5 Americans don’t know whether their credit card has a foreign transaction fee.
   
• Savvy Traveler Savings: A no foreign transaction fee credit card saves travelers an average of 7.9% relative to airport currency exchanges and 7.3% compared to the average bank/credit union.
   
• Best International Credit Cards: Based on a comparison of 1,500+ credit cards, the WalletHub Awards for 2023’s Best International Credit Cards go to the Chase Sapphire Preferred® Card and Bank of America® Premium Rewards®. Both have $0 foreign fees and great travel rewards.

 
See the full results of WalletHub’s 2023 International Credit Card Survey and read WalletHub’s commentary below. 

Q&A with WalletHub

Do people feel comfortable traveling abroad without a credit card?

“According to a new WalletHub survey, 57% of Americans say they would not feel comfortable traveling abroad without a credit card. Just imagine getting stranded abroad with no money to handle an emergency, and you’ll probably agree that having a credit card at least as backup is the way to go when traveling internationally,” said Jill Gonzalez, WalletHub analyst. “Nearly 2 in 5 people don’t know whether their credit card charges foreign fees, and 3 in 4 people don’t realize credit cards provide favorable currency exchange rates, so the appeal of a credit card figures to be the ability to borrow in a pinch. You can earn a lot of rewards on a foreign trip, too.”

Are consumers interested in no foreign transaction fee credit cards?

“Consumers appear increasingly interested in no foreign transaction fee credit cards as international travel returns to pre-pandemic levels and inflation demands penny pinching wherever possible. A new WalletHub survey found that 43% more Americans than last year say they care a lot about foreign transaction fees when applying for a new credit card, and 56% of people say they would never get a credit card that charges a foreign transaction fee,” said Jill Gonzalez, WalletHub analyst. “Just don’t forget about debit cards if you decide to take an international trip. You won’t be able to use a credit card for everything when traveling abroad, so it’s good to bring a no foreign fee debit card too.”

Do people fully understand the benefits of no foreign transaction fee credit cards?

“People understand that credit cards with no foreign transaction fees can save them money, just based on the name alone, but they do not fully understand the benefits. More than 3 in 4 people don’t realize credit cards without foreign fees can automatically get them the best exchange rates abroad, according to a new WalletHub survey, saving travelers an average of 7.9% relative to airport currency exchanges and 7.3% compared to the average bank or credit union,” said Jill Gonzalez, WalletHub analyst. “In addition, roughly 2 in 3 people don’t realize foreign fees can apply without foreign travel. They can crop up when you buy things from foreign merchants online or by phone.”

Do people know whether their credit cards have foreign transaction fees?

“Nearly 2 in 5 Americans don’t know whether their credit cards charge foreign transaction fees, according to a new WalletHub survey, which helps explain why credit card companies have been able to get away with charging foreign fees on so many cards for so long. On an individual level, not knowing whether your credit card charges foreign fees isn’t a big deal if you don’t plan to travel abroad or make purchases from foreign merchants,” said Jill Gonzalez, WalletHub analyst. “If you do have some foreign transactions in your future, you should definitely check your current cards’ terms and apply for one of the best credit cards without foreign transaction fees if you don’t already have one.”