Discover does not charge foreign transaction fees on any of its credit cards

Discover cards do not charge a foreign transaction fee when you use them outside the United States. This applies to all Discover credit cards — whether you're using the Discover it card, Discover it Miles, Discover it Business, or any other Discover credit card product. You pay no extra percentage on top of your purchase when you swipe or insert your card abroad.

This is one of the clearest differences between Discover and many other major card issuers. Visa and Mastercard cards often charge 1% to 3% on top of every purchase made in a foreign currency or outside the U.S., but Discover does not.

Key Takeaways

  • Discover credit cards have zero foreign transaction fees on purchases made anywhere outside the United States.
  • The lack of foreign transaction fees applies to all Discover card products, including business cards and rewards variants.
  • You still pay the standard exchange rate that Discover applies, which is set by Visa or Mastercard networks — the fee is what you avoid.
  • Not all merchants abroad accept Discover, so check with your card issuer about acceptance in your destination before traveling.

How the exchange rate works when you use Discover abroad

When you make a purchase in a foreign currency, Discover converts that amount to U.S. dollars using an exchange rate. That rate is not set by Discover itself — it comes from the Visa or Mastercard network that processes the transaction, depending on which network your specific Discover card runs on. You pay whatever that conversion costs, which is the real market rate plus a small markup that the network applies.

The foreign transaction fee is separate from the exchange rate. A foreign transaction fee is an extra percentage charge that some card issuers add on top of the conversion. Discover does not add this extra charge. So you get the network's exchange rate without a surcharge from Discover.

Where Discover cards may not work outside the U.S.

The bigger practical issue when traveling with Discover is not fees — it is acceptance. Discover is not accepted everywhere internationally the way Visa and Mastercard are. In many countries, especially outside North America and Western Europe, merchants may not recognize Discover or may not have the technology to process it.

Before you travel, contact Discover to ask about acceptance in your specific destination. You can call the number on the back of your card or check Discover's website for a merchant locator. It is also wise to bring a backup card on a different network (Visa or Mastercard) in case you run into a merchant that does not take Discover.

ATM withdrawals and cash advances with Discover abroad

Discover does not charge a foreign transaction fee when you withdraw cash from an ATM outside the U.S. either. However, the ATM operator may charge you a fee for using their machine — this is separate from Discover and comes from the bank or network that owns the ATM. That fee is not something Discover controls.

If you use your Discover card to get a cash advance (borrowing money against your credit line rather than withdrawing from a checking account), Discover charges a cash advance fee. This fee applies whether you are in the U.S. or abroad. The cash advance fee is typically a flat dollar amount or a percentage of the amount withdrawn, whichever is greater. Check your card's terms for the exact percentage or dollar amount.

Comparing Discover's no-fee policy to other card networks

Most Visa and Mastercard credit cards charge between 1% and 3% as a foreign transaction fee. American Express cards also typically charge a foreign transaction fee, usually around 2.7%. Discover's zero foreign transaction fee puts it ahead on this specific cost, assuming the merchant accepts Discover.

However, acceptance is where Discover falls behind. Visa and Mastercard are accepted at far more merchants worldwide, especially in developing countries and rural areas. So while Discover saves you money on fees when it works, you may end up using a different card more often straightforward because it is accepted more places.

What to do if a merchant charges you a foreign transaction fee on Discover

Occasionally a merchant outside the U.S. may add their own fee when you use a credit card. This is different from Discover's fee — it is the merchant's choice to charge it. Some restaurants, hotels, or tour operators add a surcharge for card payments, especially for foreign cards. This fee comes from the merchant, not from Discover, and Discover cannot remove it.

If you believe Discover charged you a foreign transaction fee in error, you can contact Discover's customer service using the number on your statement or through your online account. Explain the transaction and ask them to review it. Discover will tell you whether the charge came from them or from the merchant or network.

Frequently Asked Questions

Do I pay a different exchange rate with Discover than with other cards?

The exchange rate itself comes from the Visa or Mastercard network, not from Discover. Different card networks may use slightly different rates, but the difference is usually small. Discover's advantage is that it does not add a foreign transaction fee on top of whatever rate the network provides.

Will Discover work at ATMs in other countries?

Discover is accepted at many ATMs worldwide, but not all. Before traveling, ask Discover which ATM networks accept Discover in your destination. The ATM operator may charge a fee for the withdrawal, which is separate from Discover's policy.

What if I need cash and Discover is not accepted?

Bring a backup credit card on the Visa or Mastercard network. You can also exchange currency at your bank before you travel, or use a travel money card if your bank offers one. Check what your bank charges for these options before you leave.

Does the no foreign transaction fee explore to online purchases from foreign websites?

Yes. If you buy something online from a merchant outside the U.S., Discover does not charge a foreign transaction fee. The merchant's location does not matter — only whether the transaction is processed in a foreign currency.

Can I use Discover in Europe?

Discover is accepted at many merchants and ATMs in Europe, but less widely than Visa or Mastercard. Acceptance varies by country and city. Contact Discover before your trip to confirm acceptance in the specific countries you plan to visit.