Using a business credit card internationally can be a convenient and efficient way to manage expenses while traveling abroad. Credit card usage abroad works much the same way as using your card at home.
It’s important to pay attention to the payment network your business credit card operates on. Visa and Mastercard are widely accepted worldwide, making them a reliable choice for international transactions. American Express is still widely accepted throughout the world, but is often accepted in fewer countries and at fewer merchants. Discover offers more limited acceptance in certain regions.
While American Express and Discover are widely accepted in some countries, you should check the acceptance rates in your specific destination before relying solely on these cards. It’s always a good idea to bring a backup payment option, such as a Visa or Mastercard, to ensure you can easily make payments wherever you go.
In addition to foreign transaction fees, it’s important to be aware of the currency conversion fees that may apply when making purchases in a foreign currency. These fees can vary depending on the credit card issuer and the specific card you are using. However, these fees are easily avoidable by choosing to make your credit card purchase in the local currency.
Before using your business credit card internationally, it’s a good idea to familiarize yourself with the specific terms and conditions of your card. Understanding any foreign transaction fees, currency conversion rates, and other potential charges can help you make informed decisions and avoid any surprises on your billing statement.
Can I Avoid Foreign Transaction Fees on Business Transactions?
While many credit cards charge foreign transaction fees, there are options available that don’t—like the cards on this list. Business credit cards that waive foreign transaction fees can help you save money when traveling or making purchases.
When it comes to international business transactions, foreign transaction fees can quickly add up. These fees are typically a percentage of the transaction amount and are often around 3%. For businesses that frequently engage in cross-border commerce, these fees can become a significant expense.