Best cards with no foreign transaction fees? We compared debit and credit cards for 2024
Whenever you’re spending in a foreign currency – whether that’s when you travel overseas or when you shop with an online retailer based abroad – it’s useful to know your options to spend and make cash withdrawals internationally without hefty foreign transaction fees.
Australian customers can generally pick from international debit cards, prepaid cards, or credit cards which have features designed for ease of use overseas. Different options suit different preferences and needs – to help you pick, this guide walks through cards with no foreign transaction fee from well known Australian banks, and some top low cost alternatives like the Wise card and the Revolut card.
Key points: best travel cards with no foreign transaction fees
- Wise: travel debit card – spend in 150+ countries with mid-market rate currency conversion and no ongoing fees
- Revolut: travel card – pick the account that suits your spending, and get no fee currency conversion to plan limits
- Latitude: credit card – no foreign transaction fee to pay – charges apply if you use an ATM, but the card also offers benefits if your flights are delayed
- Westpac: credit card – low interest rate card with no foreign transaction fee – ATM withdrawals not available
- HSBC: credit card – 99 AUD annual fee, with no foreign transaction fees and some travel perks
Best debit and credit cards with no foreign transaction fees in Australia
We’ve picked a selection of no foreign transaction fee cards, including international debit cards from specialist services Wise and Revolut, and travel credit cards from major Australian banks.
Although all of these cards have no foreign transaction fee to pay, that doesn’t mean they’re completely free to use. Here’s a quick summary of some of the key costs you’ll want to know about – we’ll look at some of the other common travel card fees a little later, too.
| Bank or provider | Type of Card | International transaction fee | Exchange Rates | Withdrawal fee |
|---|---|---|---|---|
| Wise | Travel Debit Card | No international transaction fee | Mid-market exchange rate | 350 AUD free, 1.75% + 1.5 AUD after that |
| Revolut | Travel Debit Card | No international transaction fee | Markup of 0.5% applies on weekends | Some no fee withdrawals, 2% after plan limit is exceeded |
| Latitude | Credit Card | No international transaction fee | Mastercard exchange rate | 3.5% or 4 AUD, whichever is greater + interest |
| Westpac | Credit Card | No international transaction fee | Mastercard rate | ATM withdrawals not available |
| HSBC | Credit Card | No international transaction fee | Visa rate | 3% or 4 AUD, whichever is greater + interest |
Travel cards can be debit or credit. Travel debit cards tend to have a quite different fee structure to travel credit cards – and different options suit different customer needs. It’s helpful to compare a few different card types as well as different banks and providers, to make sure you’re getting the best fit for your needs. Here’s a quick summary of the fees you’ll pay to use the cards we’ve picked out above:
- Wise Debit Card: 10 AUD charge to get your card, with no ongoing fees. Currency exchange uses the mid-market rate, and you’ll get 2 free ATM withdrawals every month with low fees after that
- Revolut Debit Card: There’s no fee to get a card, but you might decide to pay a monthly account fee to get more features and no fee transactions compared with the Standard account option. All accounts including the Standard plans have some no fee ATM withdrawals and currency conversion – but fair usage fees apply once you exhaust your plan limits
- Latitude 28 Degrees Global Credit Card: 8 AUD monthly charge, with a 3.5% fee to make cash withdrawals. As with any credit card, you’ll need to pay a variable interest rate if you don’t clear your bill in time every month, and penalties may apply for late or missed payments
- Westpac Lite Credit Card: Low interest rate card, with a representative rate of just 9.9% p.a. at the time of research (5th October 2024). However, there’s a monthly fee of 9 AUD, and you won’t be able to make any cash withdrawals at home or abroad
- HSBC Low Interest Rate Credit Card: 99 AUD annual fee, with a 3% charge when you make cash withdrawals. You’ll also need to check the variable interest rate you’re offered to see what the overall costs may be – rates are relatively low compared to other card options, but the exact rate you get will depend on your credit score
What is a foreign transaction fee?
A foreign transaction fee is an extra percentage charge that’s added to your overall bill whenever you spend with your credit or debit in a foreign currency. These charges are added when you spend with a merchant overseas, when you’re on a foreign holiday and make an ATM withdrawal, or when you spend with a card online, and pay in a currency other than dollars.
Not all credit and debit cards use foreign transaction fees – but they’re pretty common, and they can push up the costs of spending overseas without you even realising it.
Which Australian debit cards have no foreign transaction fees?
If you’re thinking of getting a debit card with no foreign transaction fee you’ll find you have a few options from major banks. HSBC Australia offers the Everyday Global account for example, which has no foreign transaction fee and allows you to hold 10 currencies. Suncorp also waives international transaction fees on the Everyday account series, and Ubank has a no foreign transaction fee debit card which comes with the transaction account. Before you pick an international debit card with no fees, read through the full terms and conditions document carefully. The chances are that there are some costs involved in some transaction types – using an ATM for example. Weigh up the fees for the type of transaction you make often and decide if the benefit of avoiding foreign transaction fees is worthwhile.
There are also non-bank options for a debit card with no foreign transaction fee – such as Wise or Revolut. We’ll look at these options more carefully later – but it’s good to know that both offer low cost accounts which can hold dozens of currencies, making them flexible choices for overseas use.
How do debit cards with no foreign transaction fees work?
If you have a debit card with no foreign transaction fee and spend overseas, your purchase will be converted back to AUD using either the bank’s exchange rate or the card issuer’s rate. This AUD value is then debited from your account.
Generally, the exchange rate set by card networks like Visa and Mastercard is pretty fair, although it’s still a good idea to compare the rates available with the mid-market rate which you can see on Google, to check if any fees are involved here.
Benefits of using a debit card with no foreign transaction fees
- Cut the costs of spending when you travel
- Make it cheaper to shop online with retailers based overseas
- Reduce ATM fees when you’re abroad
- Some debit cards with no foreign transaction fees also let you hold foreign currencies
Benefits of using a credit card with no foreign transaction fees
- Lower costs for spending in foreign currencies online or in person
- Some travel credit cards also offer extra perks like insurance or lounge access
- Credit cards can be used as a payment guarantee in some situations, like hiring a car
- Usually no card issue fee to pay
How do debit cards compare to credit cards for travel?
Different cards have their own features, fees, benefits and drawbacks.If you pick no foreign transaction fee credit card, you are still likely to run into some costs including cash advance fees, annual or monthly charges and more. However, you might find you can get some great perks like airport lounge access or complimentary travel insurance. Using a credit card also means you can spread the costs of your travel out over a few months if you can’t pay for everything at once – although this will cost more in the end thanks to interest fees.
Using a debit card for travel can often be cheaper than using a credit card, with no interest or late payment penalties to worry about. You’ll need to have the money for your trip upfront, but you can then use your international debit card to spend and withdraw with low or no costs. Some debit cards also offer some benefits like the option to hold foreign currencies in your account, and to receive payments from others in foreign currencies. If you’re interested in a multi-currency account you can use at home and abroad, check out non-bank providers like Wise and Revout for some good options with low fees. More on that in a moment.
How do foreign transaction fees work?
Foreign transaction fees are percentage fees added to the amount you pay when you spend in a foreign currency. If you’re spending with a debit card, the amount you spend when you’re abroad will be converted back to dollars, and then this, plus the foreign transaction fee, will be deducted from your account. If you’re using a credit card, the foreign transaction fee is added when switching your overseas spending back to dollars, and then the total is shown on your monthly card bill.
How much are foreign transaction fees?
Where foreign transaction fees apply, they’ll often be around 3% of the total transaction value. That doesn’t sound too bad, but it quickly adds up if you’re making a big ticket purchase or if you’re on a longer holiday with your family, for example.
The good news is that some banks and specialist providers don’t charge foreign transaction fees. In this article, we’ll cover non bank providers that do not have foreign transaction fees such as Wise and Revolut, as well as some Australian banks that offer cards with no foreign transaction fees.
Credit and debit cards with no foreign transaction fee explained
Depending on your card provider, the foreign transaction fee may be shown as a separate line on your statement or card bill, or it may simply be rolled into the sterling amount shown for the purchase or withdrawal. Below we’ve put together a list of the best credit and debit cards that don’t have a foreing transaction fee and are also good for travel.
Wise Debit Card
Key point: Hold and spend 40+ currencies, with mid-market exchange rates and low, transparent fees. 
Open a Wise account online or in the Wise app, and order your Wise card – an international debit card with no fees for overseas spending – for a one time 10 AUD fee. You can add money in dollars or any of around 20 supported top up currencies, and convert to 40+ different currencies for spending with the mid-market rate and low fees from 0.33%. If you don’t have the currency you need in your account balance, the card can automatically convert for you with the mid-market rate and the lowest possible fee every time. No annual, monthly or ongoing charges.
- Foreign transaction fee: No foreign transaction fee
- Annual or monthly fee: No annual or monthly fee
- Currency conversion: Mid-market exchange rate, with low fees from 0.33%
- Benefits and rewards: Hold and exchange 40+ currencies, get paid with local and SWIFT account details for 8+ currencies, spend in 150+ countries
- Read a full Wise Review here
| Advantages of Wise Debit Card | Disadvantages of Wise Debit Card |
|---|---|
|
|
Revolut Debit Card
Key point: Choose a Standard plan with no monthly fee, or upgrade to an account with monthly fees but more features and higher no fee transaction limits.
Revolut accounts can hold and exchange 30+ currencies, and you can either pick a Standard plan with no monthly charge which has limited features and relatively low no-fee transaction limits, or upgrade to an account with monthly charges, which has more flexibility and higher no-fee transaction limits. All accounts have some no fee currency conversion, linked physical and virtual cards, and some no fee ATM withdrawals, but fair usage fees apply when you hit your account plan limits. Out of hours fees may also apply when you convert currencies, which are shown in the Revolut app.
Foreign transaction fee: No foreign transaction fee
Annual or monthly fee: 0 AUD – 24.99 AUD/month depending on the plan you pick
Currency conversion: Mid-market exchange rate to your plan limit, 0.5% fee after that. 15 out of hours fee applies on weekends
Benefits and rewards: Hold and exchange 30+ currencies, and get great saving and budgeting tools too
Read a full Revolut review here
| Advantages of Revolut Debit Card | Disadvantages of Revolut Debit Card |
|---|---|
|
|
Latitude 28 Degrees Global Credit Card
Key point: No foreign transaction fee, with travel benefits if your flights are delayed
The Latitude 28 Degrees Global Credit Card is a no foreign transaction fee credit card which has a monthly 8 dollar fee – as with any credit card, you’ll also pay interest charges if you don’t clear your bill every month, and penalty costs if you’re late settling up. If you need to make a cash withdrawal there’s a 3.5% or 4 AUD cash advance fee (whichever is higher), plus any relevant interest costs. Variable interest fees, with a representative 27.99% p.a. stated at the time of research (5th October 2024).
Foreign transaction fee: No foreign transaction fee
Annual or monthly fee: No annual fee
Currency conversion: Mastercard exchange rate
Benefits and rewards: Flight delay pass, giving entry to lounges and wifi access if your travel is delayed, Global data roaming available
| Advantages of Latitude 28 Degrees Global Credit Card | Disadvantages of Latitude 28 Degrees Global Credit Card |
|---|---|
|
|
Westpac Lite Credit Card
Key point: Westpac’s lowest interest credit card, which also offers no foreign transaction fees on overseas spending
This card may be a good pick if you’re in the market for a credit card no foreign transaction fee, from a major bank. The Westpac Lite Credit Card has a low interest rate with a representative 9.9% p.a. quoted, plus some opportunities to get shopping discounts with Westpac partners. However, there’s a 9 AUD monthly fee you’ll need to be aware of, and this card doesn’t allow you to make ATM withdrawals. Weigh up whether the monthly fee will make the saving on foreign transaction fees worthwhile.
Foreign transaction fee: No foreign transaction fee
Annual or monthly fee: 9 AUD/month fee
Currency conversion: Mastercard exchange rate
Benefits and rewards: Some shopping discounts available – main perk is relatively low interest rate
| Advantages of Westpac Lite Credit Card | Disadvantages of Westpac Lite Credit Card |
|---|---|
|
|
HSBC Low Interest Rate Credit Card
Key point: Relatively low interest, with some complimentary domestic travel insurance
HSBC’s Low Interest Rate Credit Card is a no foreign transaction fee credit card which has an annual fee of 99 AUD, but in return you’ll there’s a pretty low interest rate, set at a representative 12.99%p.a. at the time of writing (5th October 2024). There’s some domestic travel insurance that comes as part of the package, and you can apply online in minutes for instant approval if you meet the eligibility criteria.
Foreign transaction fee: No foreign transaction fee
Annual or monthly fee: 99 AUD annual fee
Currency conversion: Visa exchange rate
Benefits and rewards: Relatively low interest rate, and some local travel perks
| Advantages of HSBC Low Interest Rate Credit Card | Disadvantages of HSBC Low Interest Rate Credit Card |
|---|---|
|
|
How to get a card with no foreign transaction fees?
The process you follow to get a no foreign transaction fee card will depend on the provider and card you pick. However, in most cases you can apply online and the card will be sent to you by post in a few days.
As an example, here’s how to order a Wise card in Australia:
- Open a Wise Account online in just a few minutes
- Get verified by adding images of your ID and proof of address
- Top up your Wise Account in the currency of your choice
- Tap the Cards tab and order your Wise card for a one time 10 AUD fee
- Your physical card will arrive in the post – you can also start spending with your digital card right away
Learn more about how to get a Wise card here.
Other travel card fees
In truth, you can’t get an international debit card with no fees at all – while costs may be low, and some services are free, there are usually some fees involved in transacting from time to time. Similarly, even if you pick a no foreign transaction fee credit card, there are going to be some other costs you’ll need to think about. Here are a few other travel card fees to watch out for.
| Provider | Fall below fees | Annual fees | Late payment fee | Replacement fee |
|---|---|---|---|---|
| Wise | No fee | No fee | Not applicable | 6 AUD |
| Revolut | No fee | No annual fee – monthly charges apply to some account tiers | Not applicable | 8.99 AUD for Standard plan |
| Latitude | No fee | 8 AUD/month, equivalent to 96 AUD/year | 45 AUD | No fee |
| Westpac | No fee | 9 AUD/month, equivalent to 108 AUD/year | 15 AUD | No fee |
| HSBC | No fee | 99 AUD | 30 AUD | No fee |
Different cards have their own features and fees – but in general, debit cards have fewer overall costs as you won’t need to worry about interest charges and late payment penalties, which can all mount up rapidly. Compare a few cards to find the right one for you.
How to use debit and credit cards internationally
Using an international card to pay when you travel or shop online with overseas retailers is convenient and easy. Here are a few things to remember if you’re using your card overseas:
- Make sure your card will be accepted by the merchant or ATM – look for your card’s network logo (Visa or Mastercard for example)
- Check if your bank or card provider charges foreign transaction fees
- Always pay in the local currency to avoid extra fees incurred through dynamic currency conversion
- Check if you have to let your bank or card provider know of your travel plans in advance for security reasons
- Clear your credit card bill as soon as possible to avoid interest and late payment fees
Conclusion: Best cards for overseas spending (Australia)?
Australian customers have a good range of travel cards to choose from, including travel debit and credit cards. Whether you’re looking to hold a foreign currency balance and get the mid-market rate when you spend, or want a credit card to spread the costs of your payment across several months, there’s something for you.
Compare a few options, including regular credit cards and alternatives like the Wise debit card for convenient spending with the mid-market rate and low fees from 0.33%, and the Revolut debit card which lets you pick the account tier to suit your spending.
Related:
Best cards with no foreign transaction fees [Australia] FAQs
How do I avoid foreign transaction fees?
To avoid foreign transaction fees you may need to get a specific card for travel use. Options include travel credit cards, and travel debit cards from providers like Wise and Revolut. Credit cards can be handy if you want to spread the costs of your travel and don’t mind paying interest to do so – while debit cards can be flexible with low overall fees.
Which banks charge no foreign transaction fees?
Many banks offer credit cards with no foreign transaction fees, including the HSBC Low Interest Rate Credit Card and the Westpac Lite Credit Card for example. Or as an alternative, check out a non-bank provider like Wise or Revolut for a no foreign transaction fee card with low overall fees.
Is it better to pay in local or foreign currency with my card when travelling?
If you’re offered the alternative to pay in your home currency or the local currency wherever you are, always pick the local currency in your location. This avoids extra fees which can be applied when you choose to pay in your home currency instead.
What is the most cost effective way to exchange currency?
If you’re planning your travel spending you’ll want to check out a few currency exchange options, including specialist travel debit cards you can use to convert dollars to the currency you need, and to withdraw cash from ATMs in your destination. Travel debit cards generally present good value – as well as being convenient and safe.
Is it better to buy currency for the country you are visiting?
Buying currency in advance of travel gives peace of mind, but you won’t automatically get the best exchange rate if you’re switching dollars for local currency in cash at a money changing service. Another option is to get a no foreign transaction fee travel debit card from a provider like Wise or Revolut and use it to make cash withdrawals on arrival – this can mean you get a better rate compared to switching at home.
How do you avoid exchange rate fees?
Cut down on the fees involved in exchanging currencies by shopping around for a travel account and card with no foreign transaction fees and good exchange rates. Providers like Wise and Revolut can be a good place to start your research.
