Traveling abroad should feel exciting, not stressful. But nothing kills the mood faster than unexpected banking fees. A few dollars here and there might not seem like much when you first swipe your card, yet by the time you’re heading home, those charges have quietly piled up.
Think of it like airline baggage fees. Some airlines tell you upfront what it costs to check a bag. Others make you hunt through the fine print just to figure out why your total suddenly jumped by $75. Your bank works the same way. Many keep foreign transaction fees tucked away in the details, and unless you’ve done your research, those surprise charges tend to show up right when you’re least expecting them.
The reality is simple: As soon as you’re traveling with one of the world’s 180 currencies, you’re stepping into a system where banks and exchange services expect you to pay them for the privilege. And while currency exchange kiosks are obvious about it, your bank back home can be even more influential in how much your trip ultimately costs.
At home, you probably know where your bank’s nearest ATM is. Abroad, that convenience disappears. Every withdrawal from an unfamiliar machine turns into a small gamble. Out-of-network ATM fees are annoying enough in the U.S., but internationally? They often double, or worse.
That’s why choosing the right bank matters. Some institutions keep international fees low and predictable. Others treat foreign transactions like a luxury service worth charging heavily for. To save you time (and quite possibly a lot of money), here’s an updated look at the best and worst U.S. banks for foreign transactions in 2025, especially if you rely on a debit card.
Which Banks Offer the Lowest Foreign Transaction Fees?
Capital One 360
- Capital One was once a popular pick for travelers because its debit cards didn’t charge foreign transaction fees.
- However, Capital One debit cards have now shifted to the Discover network, which creates acceptance issues abroad.
- Many international ATMs and merchants do not support Discover, which makes the card unreliable for travelers.
- While there may still be no foreign transaction fees, the bigger concern is access. Limited ATM compatibility and restricted merchant acceptance can make withdrawing cash or completing purchases difficult in many countries.
- If you already bank with Capital One, it may still work for everyday U.S. use, but it’s no longer a strong option for international travel. You’ll want a debit card on a globally accepted network instead, especially if you rely on ATMs while abroad.
Charles Schwab Bank
- Charles Schwab’s checking account consistently ranks as a top pick for travelers.
- Its Investor Checking account charges no foreign transaction fees and reimburses ATM operator fees worldwide.
- If you travel often, this account easily pays for itself in savings alone.
TD Bank
- Most TD Bank debit cards currently charge a 3% foreign transaction fee on purchases and ATM withdrawals abroad, unless customers have premium-tier accounts with waived fees. TD Bank no longer qualifies as a low-fee bank for foreign use.
Wells Fargo
- Wells Fargo remains predictable in its fee structure, but it’s not among the cheapest options.
- Wells Fargo currently charges a 3% foreign transaction fee on debit card purchases, with a $5 international ATM withdrawal fee. These charges are typical for large banks but far from competitive.
Which Banks Offer the Highest Foreign Transaction Fees?
U.S. Bank
- U.S. Bank still sits on the higher end of international fees for standard checking customers.
- Expect a 3% foreign transaction fee, plus around $2.50 for out-of-network ATM withdrawals made overseas.
HSBC
- Despite operating globally, HSBC charges its U.S. customers notable foreign usage fees.
- Most HSBC debit cards include a 3% foreign transaction fee, plus an international ATM fee of about $2.50.
Citibank
- Citi has a worldwide presence, but the fees remain far from traveler-friendly.
- Citibank debit cards typically carry a 3% foreign transaction fee, along with a $2.50 foreign ATM fee.
Chase
- As the largest U.S. bank, Chase maintains some of the highest international fees.
- Chase debit cards usually charge a $5 foreign ATM fee plus a 3% foreign transaction fee.
Comerica
- Comerica customers face a $5 international ATM fee, a 3% foreign transaction fee, and any additional charges added by the ATM operator.
Bank of America
- Bank of America aligns closely with other large U.S. banks. Look for a $5 international ATM charge and a 3% foreign transaction fee.
Regions Bank
- Regions Bank also charges significant fees.
- International ATM withdrawals cost around $5 and foreign transactions add another 3%.
Santander
- Santander’s U.S. operations are among the most expensive for foreign use.
- Fees can reach $6 per international ATM withdrawal, with a foreign transaction fee as high as 4%.
