The debit cards with the lowest overseas travel fees
Need to know
- Everyday bank debit cards with few or no fees are a good choice for transacting overseas and can make your money go further than most travel money cards
- Some cards waive international transaction fees immediately, while others will refund these charges once you’ve met particular conditions
- Cards with the lowest fees tend to be offered by smaller banks, while those from the big four come with high fees that won’t be waived
On this page:
- Should you use your regular debit card overseas?
- Debit cards that don't charge any overseas fees
- Debit cards that waive overseas fees if you meet their conditions
- What about cards from other banks?
Heading overseas and wondering how you’ll pay for holiday treats while you’re living it up on foreign shores?
Few things could be easier than using the same card you rely on for everyday spending in Australia to keep you in clover during your holiday.
Thanks to the fact that most debit cards issued by local banks are now running on the globally-accepted Visa or Mastercard networks, more of us can enjoy this convenient reality – instead of rushing to buy travel money cards or exchange wads of cash in preparation for time away.
But just because your humble everyday debit card can now be used for transactions all across the world, doesn’t mean it should.
As we explain below, there are a few things you should consider before you start flashing your Australian bank card overseas.
Should you use your regular debit card overseas?
Many of us rely on debit cards linked to a transaction account at our bank for daily spending in Australia.
The fact that more banks are issuing debit cards powered by Visa or Mastercard has paved the way for their increased acceptance and the ability to store these cards on our devices has made them an increasingly convenient way to spend.
And providing it runs on one of these internationally-accepted card schemes, Australian dollars held on your debit card can convert on the spot into the required currency using the Visa or Mastercard rate when you use it to spend in another country’s tender.
Note: As we explain at the end of this article, you’re unlikely to get Visa or Mastercard exchange rates (which are better than those offered by products like travel money cards) if you pay in Australian dollars while you’re overseas.
But while the convenience of instant currency conversion might encourage you to keep using your Australian debit card when you’re travelling overseas or buying online from foreign retailers, there’s a good chance your bank will sting you for doing so.
As a general rule, most Australian banks charge fees when you use a linked debit card to:
- Perform a foreign transaction – this refers to any transaction at least partially processed overseas. Examples include buying something in a shop in another country in the local currency (requiring part of your balance to be converted from Australian dollars), withdrawing cash overseas from an ATM, and buying something in Australian dollars online involving a merchant or another party processing the payment offshore.
- Use an overseas ATM – this specific charge is often applied on top of the foreign transaction fee.
But luckily several banks waive these overseas fees – some straight away, others once you’ve met particular deposit and transaction conditions, making them worthy of consideration if you’re looking for ways to spend overseas. We reveal which banks waive overseas fees below.
CHOICE tip: Even if your bank waives foreign transaction and overseas ATM withdrawal fees, the merchant or ATM you’re giving your card to may charge their own fees, which your bank will not cover.
Debit cards that don’t charge any overseas fees
The banks offering these accounts don’t charge any fees if you use the linked debit card to perform a foreign transaction or withdraw from an overseas ATM.
You also won’t have to pay any monthly account keeping or card access and purchase fees.
Cards linked to these accounts will run on either the Visa or Mastercard network, so will be widely accepted in most countries across the world for payments in most currencies.
This also means the Australian dollars on your card will be converted at the Visa or Mastercard exchange rate, which we’ve found to be better than rates offered on products targeted towards overseas spenders, such as travel money cards.
Note that even when using these cards and accounts, you might still encounter a fee added by the merchant or (more likely) the ATM operator when spending or withdrawing overseas. The bank will not cover this fee.
AMP GO – Everyday Transaction Account (exclusive to the AMP Bank GO app and not accessible via AMP’s standard online or branch banking).
Bankwest – Easy Transaction Account
HSBC – Everyday Global Account (This can also serve as a foreign currency account. Uniquely, users may also be able to avoid ATM operator fees by withdrawing from HSBC Group ATMs while overseas).
Macquarie – Transaction Account
ME – SpendME
Suncorp – Carbon Insights and Everyday Options Accounts
Ubank – Spend Account
UP – Everyday Account
Debit cards that waive overseas fees if you meet their conditions
These banks/accounts will charge you if you use your linked debit card to perform a foreign transaction or withdraw from an overseas ATM, but will then rebate these fees if you meet certain conditions.
Any percentage charges outlined below are levied against the value of the transaction you’re performing. Any dollar value charges are in AUD.
Great Southern Bank – Everyday Edge Account
- Fees: 2.95% for foreign transactions, $4.50 for ATM withdrawals overseas (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
- How to get a rebate: Make or receive deposits totalling at least $2000 from non-Great Southern accounts, make five settled purchases with the Visa debit card linked to this account in a month.
Any overseas fees are rebated on the first day of the following month once conditions have been met. ATM operator or merchant fees aren’t rebated.
ING – Orange Everyday Account
- Fees: 3% for foreign transactions, $5 for ATM withdrawals overseas (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
- How to get a rebate: Make or receive deposits totalling at least $1000 from an external source into any personal ING account in your name, make five settled purchases using an ING card in a month.
Rebates are provided on any overseas fees occurring in the month after you’ve met the rebate conditions. Rebates for overseas ATM use are limited to five withdrawals in a month. ATM operator or merchant fees aren’t rebated.
What about cards from other banks?
As long as it’s running on an internationally-accepted scheme like Visa or Mastercard, any debit card you’ve received for other accounts with Australian banks should be able to be used to spend overseas.
But you will be charged fees for foreign transactions and ATM withdrawals and won’t be given the opportunity to have them refunded.
As an example, we’ve laid out the overseas spending fees levied by the big four banks on their everyday transaction accounts below:
ANZ Plus – Everyday Account
- Overseas fees: 3% for foreign transactions, $5 for withdrawals at non-ANZ ATMs overseas (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
ANZ – Access Advantage
- Overseas fees: 3% for foreign transactions, $5 for withdrawals at non-ANZ ATMs overseas (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
Commonwealth Bank – Everyday Account Smart Access
- Overseas fees: 3.5% for foreign transactions, $2–5 for overseas ATM withdrawals, depending on the ATM operator, (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
NAB – Classic Banking Account
- Overseas fees: No foreign transaction fee for customers using NAB’s Platinum Visa debit card (which costs $10 per month), otherwise 3.5% for foreign transactions. $5 for all cardholders for overseas ATM withdrawals (all cardholders will also be charged a 3.5% foreign transaction fee on top of the international withdrawal fee). ATM operator or merchant fees may also apply.
Westpac – Choice Account
- Overseas fees: 2–3% for foreign transactions, depending on the currency and whether the merchant or processor is located overseas. No fee for overseas withdrawals at Global ATM Alliance ATMs, otherwise $5 (in addition to the foreign transaction fee). ATM operator or merchant fees may also apply.
CHOICE tip: These are only some of the fees charged on these accounts. Monthly account keeping fees may also apply.
CHOICE tip: While spending with your card overseas, a merchant might offer you the opportunity to pay in Australian dollars using dynamic currency conversion (DCC).
We suggest you avoid this: it allows the merchant to set their own exchange rate, one which could deliver them a profit margin and therefore be less competitive than what Visa or Mastercard offers.
