Credit Cards Plus

Credit cards are very useful because they can be used in millions of locations abroad, but they are very often seen as an emergency measure.  However if the card is used correctly and chosen carefully it can often be cheaper to use the credit card abroad than it can be to withdraw money abroad.

As well as being potentially cheaper credit cards have other advantages.  Firstly it is easier to get a replacement credit card than it is to get replacement cash.  The zero liability guarantees on credit cards also guarantee that any unauthorized amounts that are spent on a credit card are not charged to the card holder as long as the transaction is reported to the card provider in good time.  Credit cards are also more convenient in that they can be used without interruption if going through a number of countries in quick succession.

Some credit cards offer free travel insurance if the tickets are bought with the card.  This often includes some free medical insurance.

However there are some charges that credit cards can incur.  Firstly if they are used abroad they can often invoke a credit card charge for overseas use.  If the cards are used in overseas ATMs then it will often be the case that these are treated as cash advances which in many cases will mean higher interest that is charged from the time of withdrawal without any grace period and that is paid off after all other forms of spending are paid off so lasting longer.

There are some credit cards that will advertise themselves as being specialist overseas travel credit cards and that offer many features that are attractive to credit card users who travel abroad frequently.
The areas that these credit card users should check are whether there are overseas transaction fees, as these can add up for a frequent traveler.  ATM fees are more important than cash advance interest rates as these will tend to add up for a number of withdrawals.

There are some features that should be looked for.  Travel insurance is useful, but if the tickets are all going to be bought within America then they can be bought on a domestic credit card.  Purchase insurance is quite useful if it is worldwide.  Most rewards programs work worldwide, but there are also some that will operate accelerated or instant rewards even outside America.