Best Overseas Spending Credit Cards

Foreign Transaction Fee

Credit cardholders will be charged foreign transaction fees for transactions made in foreign countries during your travel and through online shopping. The charge ranges from 1-2%, depending on the card issuer. JCB charges 1-1.95%, American Express charges 2% while Visa/ Mastercard issued by local banks charge 1.95% for each foreign transaction.

While most of the Union Pay credit cards (excluding Hang Seng and HSBC) exempt cardholders from overseas charges, the exchange rate is usually higher than Visa/ Mastercard. Moreover, the rewards of Visa/Mastercard are often more attractive. Therefore, when deciding which credit card to use during your travel, it is not wise to only consider the transaction fee. It is best to consider all factors including transaction fee, exchange rate, card rebate, etc. to be smart with money.

Credit Card Overseas Charges- DCC Markup Fee

Credit card overseas charges do not only apply to foreign transactions made in foreign countries while travelling, and it also applies to transactions made online from your home country where the vendor is in an oversea country. Very often, merchants will provide you with the option to either pay in local currency or Hong Kong currency. If you decide to pay in Hong Kong currency, you will be charged at least a 4% DCC markup fee. To avoid that, you should always pay in local currencies wherever possible.

Credit Card Travel Promotions

From now until 31 December 2020, HSBC Credit Cardholders can enjoy offers from 'Red Hot Online and Overseas Spending Rewards' throughout the year. HSBC Cardholders can earn 2.4% RewardCash rebate for online and overseas spending. HSBC Premier MasterCard® Credit Cardholders can enjoy an extra 2% RewardCash rebate for overseas spending. Cardholders are required to register in order to enjoy the offers.

Moreover, holders of HSBC, Standard Chartered, Hang Seng, American Express, Bank of China, Bank of East Asia, Citibank and DBS card can enjoy up to 10% off when booking through Expedia. Agoda also offers up to 10% for designated DBS, HSBC and PrimeCredit cardholders.