Yes, you can use your debit card to exchange currency, most conveniently by withdrawing local cash from an ATM upon arrival, which usually offers better rates than exchange booths. You can also use it for direct purchases or to buy foreign currency at a bank, though you may incur foreign transaction fees (typically 1%–3%).
This is because if you choose the local currency, your bank or card provider will do the currency conversion and apply the exchange rate. Visa and Mastercard tend to use very competitive exchange rates, and you can also check them online on the day you're making the transaction.
You can exchange currency at local bank branches, especially if you need larger amounts than an ATM will dispense. You'll typically find better rates than at airport kiosks and other tourist spots this way. Make sure to bring your passport - most banks require it for currency exchange - and ask about fees upfront.
Ways to Pay
Continental offers clients an easy way to buy currency and travel money. Including; cash, debit card, bank draft, credit card (your card issuer will treat it as a cash advance), and more!
On debit cards, spending is still cheaper as while there's no interest on a cash withdrawal, there's often still a fee (as well as the non-sterling transaction fee) when you use a cash machine. Since Brexit, more and more overseas ATMs have started to charge (higher) fees, so do keep an eye out.
We don't charge any fees when you use your debit card to shop or withdraw cash abroad. So the amount you pay in pounds is just based on the Visa exchange rate conversion.
Some card providers also treat loading a prepaid card using a credit card as a cash withdrawal. So if you're buying currency or loading a prepaid card, ALWAYS use a debit card, which isn't allowed to charge this fee, or withdraw cash and pay with that instead.
Foreign exchange can be purchased from any authorised person, such as an AD Category-I bank and AD Category II. Full-Fledged Money Changers (FFMCs) are also permitted to release exchange for business and private visits.
Your bank or credit union
Banks and credit unions are often the best places to exchange currency before a trip, especially if you're an account holder. Major banks typically offer currency exchange services at lower fees than currency exchange kiosks, and some banks may even waive fees for premium account holders.
Some people may prefer to use a debit or credit card over cash for foreign transactions. Debit cards with no or minimal foreign transaction fees may be a good option. There may also be conversion fees, but you may potentially avoid these fees if the merchant allows you to select to pay in the local currency.
The 2/3/4 rule is a guideline, primarily used by Bank of America, that limits how many new credit cards you can get: no more than 2 in 30 days, 3 in 12 months, and 4 in 24 months, helping to prevent over-application and manage hard inquiries on your credit report. While not universal, it's a useful benchmark for responsible card application, though other banks have different rules (like Chase's 5/24 rule).
Exchange rates and fees
If you choose to pay with plastic abroad, watch out for hidden fees. While favourable euro exchange rates can occasionally be found via card payments, some providers charge higher rates on foreign withdrawals or purchases.
Major banks offering no foreign transaction fees on debit and/or credit cards include Capital One, Charles Schwab, Discover, and HSBC, with options like Capital One 360 Checking, Schwab Bank Investor Checking (which refunds all ATM fees), and Discover Debit providing fee-free international spending and ATM use, though some may have card acceptance limitations or require specific account types. Other banks like Ally, Fidelity, and USAA also offer accounts that waive these fees, making them great for travelers.
Key benefits of using a debit card abroad
Debit cards are a solid option for cost-aware travelers, as they offer direct access to your bank account without the potential for overspending. One of the key benefits is the ability to withdraw cash from ATMs with relatively low fees, depending on your bank.
E.g., American Express, Visa, Mastercard. Plus, the 2.5% foreign transaction fee.
It will auto convert. Depending on the card, you may also pay a foreign transaction fee. But if you aren't paying a foreign transaction fee, yeah you're not doing better at any currency exchange.
1. Lebanese Pound (LBP) The Lebanese Pound (LBP) is currently the world's weakest currency. Lebanon's financial crisis, political instability, and declining foreign reserves have contributed to the pound's decline.
Regular debit cards may charge fees when used overseas. This commonly includes international transaction and ATM fees. It is possible, however, to get specific travel debit cards that do not charge these fees.
So for 2 weeks in Europe, a budget traveler may spend around 1,120 Euros. This could be lower if you budget to the extreme. Keep in mind, a work exchange cuts your accommodation costs down to 0, and your food, transport, and activity costs may be lower as well depending on what your host offers.