Most Canadians don’t realize they’re paying foreign transaction fees when traveling abroad with their domestic credit cards. Most times, you have to pay an additional 2.5% to 3% when you buy something in a non-Canadian currency.
Fortunately, there are some credit cards in Canada that offer no foreign transaction fee.
Here are some of the best credit cards in Canada that have no foreign transaction fee. Check them out.
1. Scotiabank Passport Visa Infinite
- $139 Annual fee (no annual fee in the first year, including on supplementary cards)
- Priority Pass membership with six free lounge visits per year
- No foreign transaction fee
- Minimum income: $60,000 personal or $100,000 household
- There is no annual fee in the first year, including supplementary cards. Offer ends Feb 28, 2022.
- Earn 2 points per dollar on groceries, restaurants, entertainment, and transit
- Earn 1 point per dollar on all other eligible purchases
The Scotiabank Passport Visa Infinite is great for those looking for a travel card with no foreign transaction fee.
Combined with its welcome bonus of 30,000 points, the Scotiabank Passport Visa Infinite is an excellent travel card for those who travel often.
Moreover, this card comes with a free Priority Pass membership and six free visits to participating airport lounges and restaurants each year. Scotia perks are flexible and can be used for flights on any airline with no blackout dates. In context, one Scotia point equals $0.01, or 1% in travel rewards. Additionally, Scotiabank credit cardholders can receive 25% off car rentals at participating Avis locations.
2. KOHO Premium Visa
- $84 Annual fee
- No foreign transaction fees
- One free withdrawal each month at ATMs outside Canada.
- 2% cashback on groceries, restaurants, and daily transit
- Earn 2% cashback on three main spending categories: restaurants, transportation, and groceries
- Earn 0.5% cashback on all other purchases
The card does not charge foreign transaction fees. And you will also earn cash back on your daily purchases, including groceries, transit, and dining, with up to 2% cash back.
KOHO Premium Visa holders are also entitled to free withdrawals from an ATM outside of Canada once per month (additional withdrawals from international ATMs are usually $2-$3).
The KOHO Premium Visa card is a prepaid card, so you won’t have to worry about owing interest or running up credit card debt.
3. HSBC World Elite Mastercard
- $149 annual fee (no annual fee in the first year)
- Earn up to 100,000 HSBC Rewards points
- No foreign transaction fees
- Earn 3% points on eligible travel purchases; 1.5% in points on everyday purchases.
- Income requirement: At least $80,000 per individual or $150,000 household income
- Offer valid for non-Quebec residents only. Quebec residents are eligible for a different offer.
Cardholders earn 1.5% back on all purchases. Additionally, it earns 3% on travel purchases. For instance, if you’re booking a hotel abroad in a foreign currency, you’ll earn lots of points without having to worry about extra fees.
There is an annual fee on the card. However, HSBC waives it for the primary cardholder for the first year, and you receive emergency travel medical insurance for trips up to 31 days.
If you travel often, then applying for one of these no foreign transaction fee cards is a must. With these cards, you not only save on foreign transaction fees, but you’ll often get additional rewards like cashback, points/miles, and travel insurance, etc.