Do MasterCard have the best exchange rate?
Does this mean that you should always use a MasterCard card when you're overseas? All else being equal (leaving aside card fees/rebates/benefits), MasterCard does generally provide the best exchange rates for the cardholder.
| Card | Exchange rate | APR |
|---|---|---|
| NatWest Credit Card | Mastercard rate | 12.9% |
| Santander All in One Credit Card | Mastercard rate | 21.9% |
| Bip Cardless Credit | Mastercard rate | 29.9% |
| Zopa Credit Card | Visa rate | From 24.9% |
Network fee (or currency conversion fee): This part of the FX fee is charged by the credit card network (Visa or Mastercard, for example). Visa and Mastercard both charge a fee of 1%.
Local banks and credit unions usually offer the best rates. Major banks, such as Chase or Bank of America, often offer the added benefit of having ATMs overseas.
- State Bank of India (SBI) SBI, India's largest bank, provides forex services with competitive rates. ...
- HDFC Bank. ...
- ICICI Bank. ...
- Axis Bank. ...
- Standard Chartered Bank. ...
- Kotak Mahindra Bank. ...
- Exchange Rates. ...
- Service Charges and Fees.
Mastercard is better for international travel than Visa because Mastercard is accepted in more countries and territories (over 210) than Visa (200). Both are widely accepted nearly everywhere you're likely to travel, though, and each network supports credit cards that are excellent for traveling abroad.
So if you're on holiday or traveling for work, our advice is to decline the option of paying in your home currency and instead opt for the more reasonable conversion fees charged by your bank. Your travel experience could end up much cheaper if you do.
- Discover it® Balance Transfer: Best feature: 0% Introductory APR.
- Discover it® Cash Back: Best feature: Cash back on everyday purchases.
- Hilton Honors American Express Card: Best feature: Hilton hotel rewards.
Head to your bank or credit union before you leave to avoid paying ATM transaction costs. You may even receive a better exchange rate. Credit unions and banks will exchange your dollars into a foreign currency before and after your trip when you have a checking or savings account with them.
Every day, everywhere, we use our technology and expertise to make payments safe, simple and smart. This currency converter tool provides foreign exchange rates by Mastercard to convert from the transaction currency to your card's currency for cross border purchases and ATM transactions.
What is the cheapest way to convert currency?
- Stop by Your Local Bank.
- Visit an ATM.
- Consider Getting Traveler's Checks.
- Buy Currency at Your Foreign Bank Branch.
- Order Currency Online.
- Bottom Line.
- Tips for Money Management.
With time at your disposal, you'll be able to see exactly what the fee and rate is, and how many euros you'll get for your dollars. It's possible of course that you might get a better deal when you land in Europe. It may well be the case that fees are lower and exchange rates better.
| Bank/travel aggregator | Buy forex | |
|---|---|---|
| IndusInd Bank | 85.47 | 85.77 |
| Kotak Bank | 85.00 | 85.57 |
| HDFC | 84.72 | 85.29 |
| ICICI | 84.73 | 86.31 |
Currently, the Iranian Rial is considered the world's least valuable currency.
| Credit Card | Foreign transaction Mark-up Fee |
|---|---|
| HDFC Bank Diners ClubMiles Credit Card | 3.00% |
| Axis Bank Burgundy Private Credit Card | 0.00% |
| Axis Bank Magnus Credit Card | 2.00% |
| RBL Bank World Safari Credit Card | 0.00% |
Visa and Mastercard are the most widely accepted credit card issuers worldwide. While American Express and Discover can come in handy, you'll want to bring a backup Visa or Mastercard just in case.
Overall, you should have no problem paying with your Mastercard abroad. It's likely, however, that there will be additional fees to pay when you use your card overseas. Wherever you go, you'll come across places that don't accept cards in any form, such as small local stores or some taxis.
Benefits comparison: Visa vs. Mastercard. On entry level cards, there is very little difference between Visa and Mastercard, as both provide a similar suite of basic features. However, Mastercard includes impressive special luxury offers on its World and World Elite level cards, which can be attractive for big spenders ...
- Get a no-foreign-transaction-fee credit card. Though most credit cards do charge foreign transaction fees, there are a number that don't. ...
- Use a debit/checking account with no foreign transaction fees. ...
- Pay in the local currency.
The Mastercard foreign transaction fee is usually 0% or 3%, depending on which card you have and the bank or credit union that issued it.
What currency do I use when using my credit card abroad?
Research shows that in most cases you can save by opting to spend in the local currency. For example, that would mean choosing euros in Spain or dollars in the US. When you choose to pay in the currency of the region or country you're visiting, Visa or Mastercard will set the exchange rate.
- Scapia Federal Bank Credit Card.
- Niyo Global International Travel Card.
- RBL Bank's World Safari Credit Card.
- IDFC Wow Credit Card.
- Bankwest – Easy Transaction Account.
- Great Southern Bank – Everyday Edge Account.
- HSBC – EverydayGlobal Account.
- ING – Orange Everyday.
- Macquarie Bank – Transaction Account.
- ME – SpendME Transaction Account.
- Suncorp Bank – Carbon Insights Account.
American credit cards work throughout Europe (at hotels, larger shops and restaurants, travel agencies, car-rental agencies, and so on); Visa and MasterCard are the most widely accepted. American Express is less common, and the Discover card is unknown in Europe.
Exchange at a Financial Institution or AAA: Usually, banks and credit unions and your local AAA have more reasonable fees and exchange rates than companies that are solely dedicated to foreign currency exchange.
