Using Credit Cards Abroad

Student Credit Card Overseas

Hotel rewards. Gas discounts. Cash back rewards. Quick and convenient payments. These are just some of the advantages of using a student credit card overseas.

A student credit card is also one of the easiest ways to pay for purchases because you don't have to worry about carrying around cash and exchanging it for foreign currency.

If you want to stick to your college budget plan and still enjoy the benefits of using a credit card overseas, you need to be aware of certain international fees and procedures.

What should I be aware of when I use my credit card overseas?

What is a foreign currency conversion fee?

This is a fee that credit card companies charge for converting your foreign currency purchase into U.S. dollars. Sometimes it can be up to 3% extra with your purchase, so keep track of your spending habits because you may end up in credit card debt.

How do I avoid foreign currency conversion fees?

The best way to avoid this fee is to see if your credit card issuer applies this fee to overseas purchases. You can use Bankrate.com's currency conversion chart to check out your credit card issuer. If you don't want to be charged, then don't use your credit card.

You should also limit yourself to how many purchases you make, and try not to buy things that are too expensive to avoid being charged this additional interest fee.

Tips for using your credit card abroad

Your credit card can be a huge savior when you're in an emergency while traveling abroad, but it can also cause you a lot of unwanted stress if it gets stolen or abused. Here are some good overseas credit card management tips to keep your credit card safe and spending at a minimum:

• Always make photo copies of your credit cards (and all other documents) so you can cancel them immediately if they get lost or stolen.
• Take time to visit different stores and compare and contrast what you like, and don't make impulse purchases that may leave you broke later.
• Always check your statement online as soon as you make a purchase to be sure that the purchase went through and it is the correct amount.
• Shred any receipts that may have your account number on them because they may be used by foreign fraudsters.
• Don't charge too many items on your card because they may not even fit into your luggage!
• Watch out for credit card deactivation, which is when credit card companies deactivate your card if it looks like you're making too many purchases in one day. Companies do this because it is a flag that someone may have stolen your card.

Using your credit cards abroad can be helpful because they can help you make quick and easy purchases, but they can also put you deep into debt if they get stolen or abused. Always remember to be extra cautious about how you spend your money when you're visiting another country.