Traveling internationally is always expensive so anything you can do to stretch your money a little further is great. One area you can save just a bit more is how you use your debit cards when you travel overseas. Debit cards provide basic access to your bank account. But banks vary very much in how much they charge you for using your debit card internationally. Read on to see what major US banks charge for using a Debit Card while traveling internationally.
Finding great international debit to use in Europe is very different than finding great travel credit cards. Your debit card is tied to your daily checking account. Therefore, it is a lot more difficult to change banks than getting a new credit card. Before making any decision about getting an international travel debit card, you must know the international transaction fees your current debit card comes with.
Understand International Debit Card Fees
Before diving into how much each major bank is charging you when you use your Debit Card in Europe, let’s talk about the three main fees that your bank may charge you.
The three most common International Debit Card fees are: Foreign ATM Machine Usage Fee, Foreign Currency Conversion Fee and Foreign Currency Purchase Fee.
The foreign ATM Machine usage and foreign currency conversion fees have to do with withdrawing cash from an ATM machine in a foreign country, while the foreign purchase fee has to do with making purchases with your ATM Card inside a store in a foreign currency.
Let’s take a look in detail at these debit card fees.
Foreign ATM Machine Usage Fee
Your bank charges a foreign ATM Machine usage fee when you insert your Debit Card in a foreign ATM Machine. You pay this fee This even if you only check your account balance and not withdraw any money. This fee varies from 0 to $5.
Foreign Currency Withdrawal Fee
Your bank charges you a foreign currency withdrawal fee to convert from US Dollars (or whatever your home country currency is) into the local European currency (Euros or Pounds for example). This fee depends on the amount of cash you are withdrawing. This fee varies from 0 to 3% of the amount of cash withdrawn. Banks like Wells Fargo don’t charge this fee for foreign currency withdrawals.
Foreign Currency Purchase Fee
The bank charges you a foreign currency purchase fee whenever you use your Debit Card to make a purchase inside a foreign store. Debit Card foreign purchase fee varies from 0 to 3% of the purchase amount.
Learning how to minimize foreign transaction fees is a great way to stretch your travel money.
International Debit Card Fees for Major Banks
I compiled the following table from information I found on major banks’s websites. I find it helpful to see all the international fees together because they do vary wildly from one bank to the other. The best thing for you to do is to ask your bank and understand what fees they practice.
| Bank Name | Foreign Withdrawal Fee | Foreign ATM Usage Fee | Fees for $100 withdrawal | Fees for $1000 withdrawal | Foreign Purchase Fee |
|---|---|---|---|---|---|
| Capital One 360 | None | None | $0 | $0 | None |
| Charles Schwab | None | None | $0 | $0 | None |
| Fidelity | None | None | $0 | $0 | 1% |
| Wells Fargo | None | $5 | $5 | $5 | 3% |
| Bank of America | 3% | $5 | $8 | $35 | 3% |
| Chase | 1% | $5 | $6 | $15 | 3% |
| Citi | 3% | $2.50 | $5.50 | $32.50 | 3% |
| HSBC | 3% | None | $3 | $30 | 3% |
| Union Bank | None | $5 | $5 | $5 | 2% |
| US Bank | 3% | $2.50 | $5.50 | $32.50 | 3% |
| TD Bank | None | $3 | $3 | $3 | None |
| Navy Federal Credit Union | 1% | $1 | $2 | $11 | 1% |
| Pentagon Federal Credit Union | 2% | None | $2 | $20 | 2% |
| Nationwide Bank | 1% | $1.50 | $2.50 | $11.50 | 1% |
| Sun Trust Bank | 3% | $5 | $8 | $35 | 3% |
What are the Best International Debit Cards?
Personally, I have been using my Wells Fargo debit card whenever I travel abroad. After increasing my daily cash limit to $1000 it has become very cheap for me to get cash overseas…just $5 per withdrawal, regardless of the amount. However, if you are considering switching banks, a Wells Fargo debit card may not be the cheapest for international travel.
If you are looking for cheaper international debit cards, consider Charles Schwab Bank or Capital One 360 as they reimburse any ATM fees even when using your debit card internationally. These are the cheapest international debit cards to use in Europe.
If you are planning a trip, don’t forget about a safe and comfortable money belt for keeping your money and credit cards safe and available. It has always been a lifesaver for me.
Should you Switch Banks just to get a Better International Debit Card?
While getting a great travel credit card is easy, switching banks just to get lower foreign transaction fees might not worth the hassle. It really depends on how frequently you travel abroad and how much you spend on your international trips. Why?
Before switching banks, consider that the best travel debit card can save you about $30 for every $1000 you spend in Europe. That’s it!
Most importantly, make sure you look in your own wallet and check with your current bank. Find out how much they charge you and think about how much you plan to spend abroad. Then see if it really makes sense to open another bank account just to get lower foreign transaction fees.
Article Series: How to maximize your travel budget.
- 10 simple rules for using your Debit and Credit Cards in Europe
- Best travel credit cards
- Best travel debit cards
- Get the best foreign exchange rate
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I once had a problem with an unmanned gas station in France. I waited in a long line, got the gas, and my American cards were refused. I fortunately had a British Airways card which worked, or I would have been lynched by angry people waiting behind me. Is this still likely to happen if I rent a card in France?
Jill…based on my experience, your US debit card should work as it has a pin and works the same way as the European cards work. Something similar happened to me at Amsterdam train station and my US ATM card was my savior.
However, make sure you always carry cash as well with you…even though in your case cash would probably not have helped.
Will it happen again? There are probably places in Europe where this can happen unfortunately….I guess it’s part of the ‘fun’ of traveling.
Hey! Thanks for such a detailed review, you can check Blackcatcard as well. It works all over the world. The account is opened online in just a few steps. That’s a euro Mastercard card and If you are a EU resident, you can withdraw up to 200 EUR per month from EU ATMS with no fee. A little fee of 1% will be added for withdrawals above this amount. For non-residents it’s always 2%. At non-EU ATMs the fee is 1% for EU residents and 2% for non-residents, min 1.50 euro. Top up fee from other cards is 3,5%. Check it out, that’s quite a good card
Raum…interesting new pre-paid debit card with Euro as the main currency. Thank you for telling me about it even though the fees are pretty steep as compared with other existing debit cards. It is hard to find all the fees but I found their page here https://blackcatcard.com/en/legal/price.html
Don’t use Euronet ATMs – they charge a 12% foreign purchase fee. As I forgot my other bank debit cards I had to use my Chase debit card while in Europe. I used a Euronet ATM to withdraw Euros and was charged an ATM fee which was reasonable at $3.50 but the 12% foreign purchase fee is outrageous.
Marty…good comment! Euronet is like a 7 Eleven ATM which charges a hefty fee also.
Thank you for your informative site!
I have one atm card, but have read it’s best to have two in case one doesn’t work for some reason so I will use your chart to choose a bank near me and get another. My other question is using my Amex card in Italy. I heard that it is not accepted as much. Is this true?
I have a MC too. Am I correct in assuming it is best to use cash for all local transactions like stores and restaurants then?
Pat…glad to see you find my site helpful! If you have a US ATM card, it will work in Europe provided you inform your bank before leaving and your pin has 4 digits. People have only reported trouble with their ATM cards from small local credit unions. ATM cards from any major US bank will work. I have never had trouble using my Well Fargo ATM card in Europe.
Having a backup doesn’t hurt however.
As far as AMEX goes, it is true…it is not widely accepted in Europe. You will be much better off with MasterCard.
I’m trying to understand the difference between the “foreign usage fee” & the “foreign purchase fee”.
These two things sound the same, the way it’s described?
Victoria…they are not the same fees. Essentially there are two fees for a debit card…getting money out from a foreign ATM machine and making a purchase with your debit card inside a foreign store. Banks charge different fees for each.
Right, but I am confused on this:
“A foreign usage fee is a fee charged by a bank when you simply use your ATM card in Europe regardless of the amount you spend.”
And
“A foreign purchase fee is the fee charged by your bank whenever you use your ATM card to make a purchase in a foreign currency. ”
Is one for the PURCHASE of the items itself (like a percentage of the TOTAL?)
& the other is for USING your card at all?
Just want to clarify (:
Victoria…I see the confusion…I will correct it. Debit card usage fee is charged whenever you use an ATM Machine even if you don’t withdraw cash…like checking your balance. Foreign currency withdrawal fee is charged when you actually withdraw foreign currency. Most banks charge both fees…you will see on their disclosure notes…$5 plus 3% of the amount for example. $5 is usage fee and 3% is currency conversion fees.
Ah, ok thank you for that!
I have called my bank & got the rates of everything! Good stuff to know!!
I wouldn’t have thought of it before reading your articles!
Thank you so much for all this information!
Trying to get a pin number for my US Bank card and they are wanting me to pay for the pin.
Jeanette…Who wants you to pay for the pin number? Your bank? All debit cards come with a pin number. If you’re talking about getting a debit card with a chip, then your bank is really small. Most US banks issue debit cards with chips now.
I am leaving for Finland tomorrow. I have a American Heritage Federal Credit Bank card MasterCard/Debit card. I notified them I was going on vacation to Finland. Will ATM in Finland and/or shops etc accept this card?
Thank You!
Barbara…you should be able to use this card without any problems. I would take an extra credit card just in case there are problems with your main one.
Hello, I just read your article about using debit cards in Europe and I am also a wells Fargo customer. All the info provided was great, I also checked with my bank before traveling to ensure any details. My question for you is, today I tried to use my debit card at a Atm outside a bank today, in Lyon France, but the card was denied. Do you know what banks work best for wells Fargo customers? Or did I just get the one bad ATM? Also should I have gone inside the bank?
Evan…it looks like you have done everything prior to leaving on your trip…your pin is four digits and you created a travel plan with Wells Fargo so they know you will be in France during this time.
Then you can try these steps next: first, try another ATM machine from another bank. If it still doesn’t work the only thing you can do is call your Wells Fargo number on the back of your card and ask them. Sometimes their security algorithms lock the card and only them can unlock it. Going inside the foreign bank does not help since they do not have access to your account.
It has happened to me once as well. I have never had a problem in France though.