Point Hacks Credit Card Guide

No overseas transaction fees credit cards

Credit cards with no overseas (or foreign) transaction fees can provide substantial savings for those who frequently transact in foreign currencies, such as when travelling overseas and interacting with the overseas versions of websites such as Amazon, eBay and Macy’s.

The going overseas transaction fee for most credit cards in Australia is 2-4% of the converted amount, meaning that a $100 USD transaction will convert to ~$130 AUD plus add on an average ~$4 AUD fee (as of early December 2017).

Using a card that doesn’t charge overseas transaction fees will reduce the cost of eating out at this restaurant in Singapore

If you travel overseas for three weeks a year and spend the equivalent of $120 AUD/day not using a card that waives overseas transaction fees, the charges would rack up to over $75, which is almost the annual fee of some cards that earn you a solid points rate.

We have received this question a number of times—here, here, here and here—so below is a round-up of some of the cards on the Australian market that offer no overseas transaction fees.


ANZ Rewards Travel Adventures Visa - No overseas transaction fee on purchases

ANZ are offering 40,000 bonus Velocity Points when you spend $500 on eligible purchases within the first 3 months of approval with the Rewards Travel Adventures card. Also included is a Virgin Australia domestic return flight, two single entry Virgin Australia domestic lounge passes plus no overseas transaction fee on purchases. Eligibility criteria, T&Cs, fees, charges, flight restrictions and lounge conditions apply.

  • 40,000 bonus Velocity Points when you spend $500 on eligible purchases within the first 3 months of approval
  • One complimentary return domestic flight each year with Virgin Australia until the card is cancelled
  • Two complimentary single entry Virgin Australia lounge passes each year until the card is cancelled
  • No overseas transaction fee on purchases
  • Earn 1.5 Reward Points per $1 spent on eligible purchases up to $2,000 per statement period, then 0.5 Reward Points per $1 spent on eligible purchases above $2,000 per statement period 
  • Annual Fee: $225 p.a.
  • Spend $500 on eligible purchases in first 3 months of approval to receive bonus
  • Eligibility criteria, T&Cs, fees and charges apply. Velocity member Terms and Conditions apply.

Find out more or apply →

Point Hacks earn up to $150 per applicant for this card. More about this →

Aside from no overseas transaction fee on purchases, the ANZ Rewards Travel Adventures Card provides good travel benefits on Virgin Australia.


Coles Rewards Mastercard - $100 off a single Coles Supermarket shop

The Coles Rewards Mastercard has $100 off a single Coles Supermarket shop on offer for new cardholders. Earns flybuys points which are transferrable to Etihad Guest, Velocity Frequent Flyer or redeemable at Coles supermarket checkouts. With a $99 annual fee, the card also offers no international transaction fees on purchases when shopping online or overseas.

  • $100 off a single Coles Supermarket shop for new customers until 31st December 2017 (terms apply)
  • Earn 2 flybuys points per dollar spent
  • Equivalent earn rate of 0.87 Velocity points or 0.8 Etihad Guest Miles per $1 spent, if transferred
  • No international transaction fees on purchases, when shopping online or overseas
  • Combined flybuys and credit card - includes Coles Pay Tag for convenience
  • $99 p.a. annual fee
  • $100 off a single Coles Supermarket shop is activated on your flybuys account and available for use within 2 weeks of your first eligible purchase
  • To redeem the $100 off, you must scan your flybuys barcode on the back of your new Coles Mastercard and spend a minimum of $100.05 after savings and discounts in one transaction at Coles Supermarkets or BI-LO, excluding smoking/tobacco purchases and all gift cards
  • $100 off can only be used once and expires on 31st March 2018, and can't be used at Coles Express or Coles Online
  • Offer available to new customers only and excludes cash advances and cash equivalents
  • Offer ends: 31 December 2017

Find out more or apply →

Point Hacks receives up to $135 per applicant for this card. More about this →

The Coles Rewards Mastercard earns an uncapped 2 flybuys points per $ on eligible purchases, with points transferable to Velocity and Etihad Guest.

Note that the no annual fee version of this card charges a 1.5% international transaction fee + 0.2% currency conversion assessment fee on overseas purchases.


28 Degrees Platinum MasterCard - no foreign exchange or annual fees

The 28 degrees Mastercard offers fee-free international transactions and currency conversion. This is a favourite of savvy overseas traveller to help minimise payment fees abroad.

  • $0 annual fee
  • Free international transactions and currency conversion
  • Complimentary worldwide concierge service, 24 hours a day
  • Insurance package including Price protection, Merchandise protection, Stolen Card Protection, Repayment Cover and Life Cover (PDS)

Find out more or apply →

I earn a maximum of $50 per applicant for this card. More about this →

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The 28 Degrees Platinum Mastercard does not earn rewards points but offers no annual fee.


The Bankwest Qantas World Mastercard earns 0.66 Qantas Point per $1 on eligible spend with no cap.


CommBank offers no overseas transaction fees on American Express variants of both the Platinum Awards and Diamond Awards cards.


Finally, the Westpac Lite card has a $9 monthly fee but won’t earn you any points, and the ING Orange One card will waive the overseas transaction fee if you deposit a specified amount in an ING account and use your card a certain number of times.

Tip

When travelling overseas and a card terminal prompts you to choose whether to charge the transaction in the local currency (say, USD or EUR) or in your home currency (AUD), you’ll get a better currency conversion rate by paying in the local currency.

Summing up

By adding a credit card with no overseas transaction fees to your wallet, you can minimise costs when travelling and spending in non-AUD currencies and use another card/s that earn higher rates for spend within Australia.

No overseas transaction fees credit cards was last modified: December 9th, 2017 by Matt Moffitt

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Point Hacks Credit Card Information

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Comments Expand Comments

  1. Harold Scruby

    It’s very important to analyse the Exchange Rate each Credit Card is using. They can vary a lot and mean the non-charging of the Overseas Transaction Fees are not as attractive as they may appear.

    It’s worth making a few “equal” transactions (at the same time) to see what actually ends up on your statement

    https://www.mastercard.us/en-us/consumers/get-support/convert-currency.html

    I understand Amex uses Reuters.

    Does anyone have any further information

  2. Anna

    Thanks MM for your reply re the Coles M/C, but you mention the $99 pa card and associated perks. I have the free one what is fewer FBs points etc. so, I still wonder if the freebie is also good for OS spend?

  3. Arvind

    Has anyone compared which of these cards provide better exchange rate? I have compared few times in the past with Bankwest, ANZ and 28 degrees and found Bankwest offered better rates compared to the rest.

  4. Michael Hudson

    what about Citibank Plus debit card – the only card that I know of that still offers fee free foreign cash withdrawals, after 28 Degrees started charging for it. I keep both and use 28 Degrees mostly for hotel & eating etc expenses. Hard to compare which offers better rates on purchases, possibly 28 Degrees a little better. Yes, I know Citibank really – put onto it by a friend who was working for an NGO who recommended it.

    • Matt Moffitt Author

      That’s a good option too. I use my Citibank Plus debit card for ATM withdrawals overseas. The reason we didn’t include it in this article is because we were focussing exclusively on credit cards in order to find the ones you can earn points on.

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