What card should I use when travelling overseas?

Picking the Perfect Travel Card for Your Overseas Adventure: Beyond the Chase Sapphire Preferred®

Choosing the right credit card for international travel can feel like navigating a foreign airport without a map. While the Chase Sapphire Preferred® Card is a strong contender, and rightfully receives praise for its generous travel rewards and welcome bonus, it’s not a one-size-fits-all solution. The “best” card depends entirely on your spending habits, travel style, and financial priorities. This article helps you navigate the decision-making process, going beyond just highlighting the Sapphire Preferred to consider what’s truly right for you.

The Chase Sapphire Preferred® Card, with its 5x points on travel booked through Chase Ultimate Rewards and 2x on other travel purchases, is undeniably attractive. The $95 annual fee might seem steep upfront, but the potential return on investment through points redemption can quickly outweigh this cost for frequent travelers. The welcome bonus, usually a significant number of points, further enhances its appeal for those planning multiple trips. However, consider these points:

• Your Travel Style: Are you a budget backpacker or a luxury traveler? The Sapphire Preferred excels for those who book flights and hotels directly through the Chase portal. If you prefer using third-party booking sites like Expedia or Booking.com, the 2x points on other travel purchases might not be enough to justify the annual fee. Consider cards that offer broader travel benefits or higher earning rates on specific categories.

• Spending Habits: Do you primarily spend on travel, or do you have other significant spending categories like dining or groceries? A card specializing in those areas might offer a better overall return. For instance, if you frequently dine out, a card with elevated dining rewards could be more beneficial than the Sapphire Preferred, even if it offers fewer travel perks.

• Foreign Transaction Fees: Crucially, ensure any card you choose waives foreign transaction fees. These fees, typically 3% of every purchase, can quickly eat into your savings. Many travel cards, including the Sapphire Preferred, thankfully waive these fees.

• Travel Insurance and Protections: Beyond rewards, consider the built-in travel protections. Some cards offer travel insurance, trip cancellation insurance, or baggage delay coverage. These perks can be invaluable during unexpected travel hiccups. Evaluate if these benefits are more important to you than a higher rewards rate.

Alternatives to Consider:

The best card for you might not be the most advertised. Consider researching cards like:

• Capital One Venture X Rewards Credit Card: Often compared to the Sapphire Preferred, it boasts a compelling rewards program and various travel benefits.
• Citi Premier® Card: Provides valuable points on travel and other purchases, potentially offering a competitive return.
• Amex Platinum Card: Ideal for luxury travelers, this card offers significant benefits but comes with a higher annual fee.

Conclusion:

The Chase Sapphire Preferred® Card is a robust choice for many travelers, especially those who frequently utilize Chase’s travel portal. However, it’s crucial to perform your own research and consider your specific travel patterns and spending habits before committing. Don’t let the allure of a single card blind you to potentially better options tailored to your individual needs. Choosing the right credit card for your overseas adventure is a crucial step in ensuring a smooth and rewarding trip.