Using your debit card abroad at an international ATM is one of the quickest ways to access cash. It’s convenient to use when you’re traveling around your host country because you can get your money at any place where an ATM is located.
Even though your international debit card is great to have during your semester or summer abroad, you also need to be cautious about how and where you use it. Some foreign ATMs operate differently from American ATMs, and some small cities that you visit may not have any ATMs at all, so just be prepared for what lies ahead.
What is a debit card?
A debit card is a card issued by a bank that is directly linked to your checking account. You can use it to withdraw cash from an ATM or to make purchases. Whenever you use it, the money is immediately deducted from your account.
An international debit card is a versatile debit card that can be used at almost any ATM around the world. You can use it to withdraw money directly from your account or to make a purchase at an overseas store.
Do I have to pay any extra fees when I use my debit card abroad?
There are two types of charges to be aware of when you use your debit card at an ATM:
- Cash Conversion Charge – Small interest fee, usually from 1% to 2.75%, that is charged to convert your money into your host country’s currency.
- Cash Transaction Charge – Additional fee of up to $5 that is charged for withdrawing cash from an international ATM.
There are also two types of charges you can acquire while making purchases in retail shops abroad:
- Retail Conversion Charge – Small charge of up to 2.75% that is charged by international retailers to convert your currency when you use your debit card.
- Retail Transaction Charge – Fee of around $2 that is applied to your debit card whenever you make a transaction in a store.
If the ATMs in your host country all have some sort of fee attached to them, then the best way to avoid them is to limit your spending. Don’t make too many sporadic purchases. Take time to find what you like and then go back and make a single purchase.
Also, you may find it easier to use a credit card while abroad if you don’t think that you have enough funds in your bank account. You can always make payments later when you receive the bill.
Tips for using your debit card abroad
Using your debit card at international ATMS is a convenient way to get the money that you need for your study abroad trip.
Here are some tips you can follow to safely use your debit card abroad:
- Research your host country and locate where ATMS are located on and around your campus
- When you first get off the plane, use the airport’s ATM to see how the transaction works
- Know your ATM password and make sure that it has only 4 numbers (because most countries don’t allow more than 4 numbers)
- If you can check your debit card purchases online, check them whenever you make a purchase to see that the transaction is correct
- Be careful not to withdraw too much money from an ATM (some foreign ATMs have limits on how much one customer can access)
Your international debit card is the perfect way to access the cash that you need for your study abroad trip. There are always fees to be aware of, so just be careful about how much you spend and where you’re spending it!