Discover it® - Cashback Match™
Bonuses & Rewards
- match all the rewards at the end of first year
- $240 for everyday spend.
Nobody likes fees. Thankfully there are many choices when it comes to avoiding them. A credit card with no foreign transaction fees can be a very valuable tool for an avid traveler. Even if you do not travel, this is a great perk. Did you know it is possible to be charged this fee without ever leaving the country if you make online purchases from a merchant based outside the U.S.?
Not only can you avoid paying the fee by using the right credit card, but if you make most of your purchases with that card you will not have to exchange as much cash either. This can save money because you can skip he horrible rates offered at those exchange bureaus located in airports. Not to mention that you would have to pay again to change it back if you have some cash leftover at the end of your trip.
Some banks have affiliations with overseas financial institutions, but for the most part if you withdraw cash from an ATM without global partners you can end up paying a foreign transaction fee, whatever exchange rate they’re offering and ATM fees. The best way to avoid these fees (which can rack up fast) and get the best exchange rate is by using a no foreign transaction fee credit card when traveling overseas.
Ever come back from a vacation abroad and review your statement only to find out that among all your expected charges there was a significant amount of money that was wasted on fees? Every time you withdraw money from the ATM or make a purchase with a card that charges a foreign transaction fee you’re essentially throwing away money. How you ask? Because you don’t have to pay these fees.
What is a foreign transaction fee? It is a charge by the card issuing bank which is basically unnecessary. They are not paying anything extra on these transactions, so why should you? These fees are especially unnecessary due to the number of credit cards available that do not charge them. If you travel often and are looking for a credit card that can help you add to your bottom line, it is a must to have a credit card with no foreign transaction fees.
Unlimited 1.5x rewards on every purchase offer
The Discover it Miles card is wonderful for two types of people. The first, and most obvious, is for someone looking for a single credit card that’s easy to use and that can do it all. The Discover it Miles card is a great option because it earns 1.5 miles per dollar spent on all purchases and redemptions areone cent per mile toward any purchase. Plus thereare a couple of other nice benefits, like $30 in annual Wi-Fi credits and no foreign transaction fees. As a no-fee card, all of that is essentially free.
The second type of person that the Discover it Miles card is a great option for is someone who is looking to truly maximize rewards. The Discover it is basically a no-brainer for the first year because all miles are doubled , meaning that it effectively earns 3 miles per dollar spent (1.5 when you purchase and 1.5 at the end of the year). After the first year it deserves a spot in the wallet of someone who wants to maximize rewards for purchases not included in the bonus earning categories of their other rewards credit cards.
If you’re looking for a no-fee rewards card that offers a solid sign-up bonus and hassle-free redemptions, than the the VentureOne card from Capital One is a great option. You’ll get 20,000 miles worth $200 for spending just $1,000 in 90 days, plus you’ll earn a generous 1.25 miles per dollar for every purchase.
Getting the card is a risk-free proposition because it won’t cost you a penny. Whatever miles you earn with the card are pure profit because there aren’t any fees. You can even use the card while traveling internationally, since there are no foreign transaction fees either.
Up to 5% cash back offer
Discover it is a solid credit card that should be in just about everybody’s wallet. The card offers a great five percent return on categories that rotate quarterly, and one percent back on all other purchases. The first year as a cardholder can be really good for your bank account because all the rewards you earn will be doubled by Discover, with no limit!
In addition to being a great everyday earner, the Discover it card doesn’t have an annual fee and doesn’t charge foreign transaction fees if you want to use the card abroad. Redeeming cash back is super simple with no minimum redemption amount and no restrictions about what you can use the cash back for.
The Premier Dining Rewards card might be a good option for some people, especially those who eat out often. The ability to earn three percent cash back at restaurants with a no annual fee card is pretty solid. And the fact that it also comes with a decent sign-up bonus makes the deal even sweeter! The card also offers two percent back at grocery stores and one percent back on all other purchases.
The benefit that really puts this cashback card ahead of others is the fact that there is no minimum for your redemptions and you don’t need to redeem for specific purchases. Additionally, no foreign transaction fees are charged on purchases made abroad, which makes this a good card for your wallet while traveling.
You can get excellent value out of ThankYou points, particularly if you transfer them to airlines and redeem for expensive premium cabin tickets. If you are a traveler that often books the cheapest economy class ticket, then there can also be strong value in redeeming points through the ThankYou program’s travel portal thanks to the 25 percent discount offered by this card.
If you are interested in domestic award travel or simple award redemptions, this card may prove to be too complex. Instead, consider cards with more domestic transfer partners. You may not get quite the same value for your points, but there will be more availability and easier redemptions.
Although British Airways Avios aren’t hard to come by, this credit card is a great way to earn even more with the extremely generous sign-up bonus. And because British Airways Executive Club offers some great redemption opportunities on its own metal and with oneworld carriers, you don’t need to be a frequent British Airways customer to get a lot of value out of the card.
With only a 95 annual fee, the sign-up bonus more than outweighs the cost of the card. Plus, if you spend $30,000 or more each year, the Travel Together Ticket carries some serious value that completely offsets the annual fee.
If you’re looking for a card that waives the annual fee for the first year, offers rewards multipliers for select categories of purchases and earns flexible points, then the Gold Card from American Express is a decent choice. Card members who mostly travel domestically and frequently eat out at U.S. restaurants will benefit most from the card.
The rewards are flexible. They can be redeemed through American Express Travel and with Amex’s airline and hotel partners. Merchant gift cards and statement credits are also an option, though they aren’t as valuable. Having access to different redemption options means your rewards are safe when individual loyalty programs devalue their currencies.
The short answer is absolutely. Depending on your travel and spending habits, this card may or not make sense for you after the first year when you start paying the annual fee, but earning 50,000 miles after meeting the minimum spend and earning 2X miles on all purchases are tremendous benefits. Not only that, but if this becomes your go-to card, miles will rack up fast, and with the 5 percent redemption bonus, that’s like earning 2.1 percent back on every purchase, every day. This card is just as good as any other cashback card currently on the market.
Compare all credit cards by RE® Value, which is an estimate of how much you will earn during first year of credit card use minus annual fees.
If you are looking for a card with no foreign transaction fees you are probably planning some international travel. In that case, I recommend getting a card with a chip because it’s necessary to complete some types of transactions overseas. I also suggest having several credit cards on you when traveling in case one is declined. It is good to have cards from several issuers, too (like Visa, MasterCard and Amex). However, it is not recommended to apply for more than one card at a time.
When comparing cards, there are factors to consider that are subjective and will be based on your spending habits and things that are unique to you. But here are some general things to consider:
Not only is it possible to avoid credit card fees altogether, but it is possible to earn money from them. That’s right, cold hard cash in your hands. And you can make those rewards even more valuable if you redeem them for travel. But don’t negate the awards you’ve earned by paying unnecessary fees.
Three percent may not sound like a lot, but it can add up quick. This fee is easily avoidable because so many cards don’t charge it. There is just no reason to pay to make purchases abroad. A penny saved is a penny earned.
Most of the major issuers, including Chase, Citibank and American Express, offer credit cards that have no foreign transaction fees. None of the cards offered by Capital One and Discover have foreign transaction fees, either. However, if you are traveling outside of the Caribbean or Mexico, a Discover card may not be useful as they are not as widely accepted abroad. Therefore, it is highly recommended that everyone have at least one card that uses a well-known network, like Visa or MasterCard, that does not charge a foreign transaction fee.
If purchasing goods or services internationally, always use a credit card and pay in the local currency when possible. In some cases you may be given an option to pay in U.S. dollars. If you choose to pay in U.S. dollars, you may be charged a high exchange rate. This is different from a foreign transaction fee and is charged when the money is converted. The payment network, such as Visa or MasterCard, sets the exchange rates for card transactions in foreign currencies, and they can change on a daily basis.
Most banks also offer cards that do not charge an annual fee. It’s not hard to find a fee-free rewards card that has a promotional interest rate and a welcome bonus. However, I am not against paying an annual fee if the benefits, or even the sign-up bonus alone, make it worth the extra cost. Keep in mind that in many cases banks will waive the annual fee for the first year.
Pay your bills on time and do not carry a balance. That is the best way to avoid paying interest. Most credit cards offer a grace period, which usually expires within 21 days of the issuance of the billing statement. So, if you pay your bill in its entirety within that timeframe, you will not be charged any interest. However, if you are already carrying a balance, try a balance transfer to a card with a 0% promotional interest rate.