International travel can be expensive. Food, outings, transport and accommodation could end up costing thousands. It therefore makes sense to save, be frugal and to triple-check your travel budget before heading for your destination.
Once there, accommodation, food and transport will make up most of your travel budget. A less obvious expense that can catch you completely unaware are the bank fees you may face when using your card for international purchases and withdrawals. Unless you have the best credit card to travel with.
Most banks charge a currency conversion fee every time you use your card abroad. What may be free swipes in South Africa can quickly add up when you’re paying a percentage of every international swipe in transaction fees. A R2 000 swipe, as an example, could cost you upwards of R40.
These seemingly insignificant costs can run into hundreds, even thousands, of rands and an unpleasant surprise when you get your bank statement after you’ve returned home. How can you ensure these hidden costs don’t make you go over budget?
Choose the best card to use abroad
You shouldn’t have to compromise on the quality of your travel experience because of bank fees. It is already expensive to travel, there is no reason you should be paying the bank to spend your money in another country.
The Capitec credit card has no currency conversion fee, worldwide. And it’s easy to use wherever you see the Mastercard® sign. Simply choose to pay in the local currency, and you won’t be charged a conversion fee. This goes for cash withdrawals, too.
The Capitec credit card benefits also include free basic international travel insurance, which will save you an extra few hundred rands, as well as special travel offers.
With the Capitec credit card, you can also earn 4.75% per year interest on a positive balance and pay zero interest if you settle the outstanding balance before the end of the 55-day interest-free period.
What’s more, the Capitec credit card’s interest rate is personalised according to your credit profile and starts at prime (10%).
Looking for more inspiration to simplify your life? Follow us on Instagram or sign up to receive our new, weekly newsletter.
This post was sponsored, paid for and provided by Capitec.