Chase Freedom Unlimited: Foreign Transaction Fee

Chase Freedom Unlimited® may not be a good travel partner. Here's what you need to know about its foreign transaction fees.

Chase Freedom Unlimited foreign transaction fee is 3% of each transaction in U.S. dollars. That is like a $3 fee for every $100 you spend in a foreign country.

If you use the Chase Freedom Unlimited, it's probably your go-to card for everyday spending. But will this card still be as useful while you're abroad?

In this article, we'll break down how the Chase Freedom Unlimited foreign transaction fee works. We'll also offer some alternatives for what you can do to avoid this fee while abroad.

Chase Freedom Unlimited Overview

Although the Freedom Unlimited isn't one of Chase's dedicated travel rewards cards, it does come with some nice rewards. Here's how it works:

• Intro Offer: Earn an additional 1.5% cash back on everything you buy (on up to $20,000 spent in the first year) - worth up to $300 cash back!
• Enjoy 6.5% cash back on travel purchased through Chase Travel℠, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 4.5% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 3% on all other purchases (on up to $20,000 spent in the first year).
• After your first year or $20,000 spent, enjoy 5% cash back on travel purchased through Chase Travel℠, 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and unlimited 1.5% cash back on all other purchases.
• No minimum to redeem for cash back. You can choose to receive a statement credit or direct deposit into most U.S. checking and savings accounts. Cash Back rewards do not expire as long as your account is open!
• Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 19.99% - 28.74%.
• No annual fee - You won't have to pay an annual fee for all the great features that come with your Freedom Unlimited® card
• Keep tabs on your credit health, Chase Credit Journey helps you monitor your credit with free access to your latest score, alerts, and more.
• Member FDIC

Chase Freedom Unlimited can be a great card for your regular everyday spending. But you probably won't want to make it your go-to for spending abroad. If you do, this card's foreign transaction fee might make a sizeable dent in your vacation savings.

If you plan to travel abroad, you may want to consider the Chase Sapphire Preferred® instead. Chase Sapphire Preferred has no foreign transaction fees.

What Is a Foreign Transaction Fee?

Foreign transaction fees (FTFs) are, in a sense, exactly what they sound like. If your card comes with this fee, you'll have to pay extra to the bank for every transaction you make with outside of the United States.

That means that your meals, hotels, transportations, and shopping abroad can all come with an extra fee. In fact, you don't even have to be abroad to accrue foreign transaction fees. Even making online purchases with non-U.S. based retailers - like some foreign airlines - can come with a FTF.

Banks will typically charge as much as 3%. That's small enough that it might not deter you from making a few minor purchases, but high enough that it can quickly become frustrating. For example, between hotels, bus rides, tours, and eating out, most of us could easily charge $1,000 during a trip. That could rack up an additional $30 in fees.

FTFs show up as separate charges on your credit card statement. So when you get home, it'll be easy (and depressing) to calculate exactly how much you wasted on fees.

Chase Freedom Unlimited Foreign Transaction Fee

While it might be the perfect everyday card, the Freedom Unlimited does come with a foreign transaction fee: 3% of each transaction in U.S. dollars. That might not exactly break the bank. Still, no one wants to spend their vacation savings on bank fees.

In short, this everyday spending card might need to take a week (or two) off during your next international trip.

Not to worry - there are plenty of international travel-friendly credit cards out there. If you carry multiple credit cards, it could be worth taking a few minutes to see if you have any cards with no foreign transaction fee.

Chase Sapphire Preferred

No foreign transaction fees

Learn More

Other Chase Cards with No FTF

Or you can look into applying for a new Chase card. The bank offers several cards that earn travel rewards and have no foreign transaction fee. Here's how they stack up:

1. Chase Sapphire Preferred®: The Sapphire Preferred is one of the most popular midrange travel reward cards out there, and for good reason. It offers a huge sign-up bonus, and you can earn extra points on travel and dining purchases.

   Chase Sapphire Preferred lets you earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. Enjoy benefits such as 5x on travel purchased through Chase Travel℠, 3x on dining, select streaming services and online groceries, 2x on all other travel purchases, 1x on all other purchases, $50 Annual Chase Travel Hotel Credit, plus more.

   Points can be transferred 1:1 to leading frequent travel programs including airline transfer partners. The card has no foreign transaction fees. The card also comes with premium travel and purchase protection benefits (including trip cancellation/trip interruption insurance and auto rental collision damage waiver). There is a $95 annual fee.
   See more benefits.

   
   

2. Chase Sapphire Reserve®: The Sapphire Reserve is the luxury equivalent of the Sapphire Preferred. This card is geared toward frequent and/or luxury travelers, with a high annual fee and a long, long list of top-tier travel perks and benefits.

   Chase Sapphire Reserve lets you earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. This card offers a $300 Annual Travel Credit as reimbursement for travel purchases charged to your card each account anniversary year.

   This card earns 5x total points on flights and 10x total points on hotels and car rentals when you purchase travel through Chase Travel℠ immediately after the first $300 is spent on travel purchases annually. Earn 3x points on other travel and dining & 1 point per $1 spent on all other purchases. The points can be transferred 1:1 to leading frequent travel programs including airline transfer partners. The card has $0 foreign transaction fees. The card comes with access to 1,300+ airport lounges worldwide after an easy, one-time enrollment in Priority Pass™ Select. There is a $550 annual fee. See more benefits.

   
   

3. Chase Ink Business Preferred®: If you're looking for a business credit card, the Ink Preferred is for you. It earns extra points on travel - among (many) other spending categories - and offers a valuable sign-up bonus.

   Ink Business Preferred lets you earn 90k bonus points after you spend $8,000 on purchases in the first 3 months from account opening. That's $900 cash back or $1,125 toward travel when redeemed through Chase Travel℠. Earn 3 points per $1 on the first $150,000 spent in combined purchases on travel, shipping purchases, Internet, cable and phone services, advertising purchases made with social media sites and search engines each account anniversary year. Earn 1 point per $1 on all other purchases. There are no foreign transaction fees. There is a $95 annual fee.

Avoid Foreign Transaction Fees with These Cards

If you're looking for a cashback card you can take abroad, there are some other comparable cards with no FTF. These cards have no annual fees either:

• Capital One Quicksilver Cash Rewards Credit Card offers $200 cash back if you spend $500 on purchases within three months of account opening. This card earns 1.5% cash back on all purchases. There is a 0% intro APR on purchases and balance transfers for 15 months. After that, a variable APR, currently 19.99% to 29.99%. There is no annual fee.

• Discover It will match all the cash back you've earned at the end of your first year. This offer is only for new customers. This card earns 5% cash back in bonus categories that change each quarter (up to the quarterly maximum; requires free activation each quarter). All other purchases earn 1% cash back.

Bottom Line

The Chase Freedom Unlimited can be a handy card for earning rewards on your regular spending. But in the travel arena, it doesn't shine. There are a couple of other options for cashback cards with no foreign transaction fee. Chase also offers some travel rewards cards that not only have no FTFs, but make great companions for the Freedom Unlimited.

Next Step: View the issuer's official application, terms, and details