Best way to spend money abroad when living in the UK 2026

Once you’ve settled in the UK you’ll likely manage the bulk of your finances in pounds. But what about when you travel? Heading to your home country, popping off for a weekend in Paris, or taking a longer trip somewhere exotic can mean running up expensive international transaction fees. Picking the best way to spend money abroad when living in the UK is essential to make sure you limit your costs, and can do more with your money when you travel.

Spending overseas may mean using an international debit card, prepaid travel card, credit card or cash. This guide works though a comprehensive comparison of each option – and money-saving tips, whichever you choose. Here’s what we’ll cover:

Quick answer: what’s the best way to pay abroad?

• An international debit card offers flexibility and low fees. Providers like Wise let you hold a foreign currency balance, or keep your funds in pounds and convert when you pay – a great all round option for frequent travel.
• Prepaid travel money cards from places like the Post Office let you load a foreign currency to set your travel budget before you leave – a smart back up plan, or handy for budget travellers with a fixed spend in mind.
• Credit cards optimised for international travel can have some unavoidable costs but offer secure spending and ways to pay back your bills over time – common choice for business travel and points hackers looking to maximise rewards.
• Cash is still king in some destinations, but carrying a lot when you travel is a risk – taking a small amount of foreign currency cash or making an ATM withdrawal on arrival is a good choice for anyone who wants to keep all their payment options open

Key takeaway: For many travellers, having several different payment methods is a good way to minimise risk and allow for flexible spending. You might consider packing a low cost international debit card like the Wise card for daily spending, with a small amount of cash for tips and small purchases, and a credit card for high ticket items, for example. Look out for low cost spending methods which allow you to keep control of your money, no matter what currency you’re spending.

Understanding your international payment options

Let’s walk through the most common international payment options for people travelling overseas from the UK, so you can decide which suits your needs.

Best international debit cards

International debit cards are usually linked to a digital account which lets you hold a balance in GBP and a selection of other currencies. You’ll be able to add money from your UK bank or using a debit or credit card, and then convert to the currency you need for spending abroad. This can be particularly handy if you’re saving for a trip, or if you spot a great exchange rate and want to convert while the market looks good.

If you’d prefer to keep things flexible you can also leave your money in GBP and allow the international debit card to convert for you when you pay or make a withdrawal. Cards often have low or no ongoing fees, and may also offer perks like fast, secure international payments and lifestyle benefits.

Here are a couple of great international debit cards you may want to consider if you’re off on a trip overseas from the UK:

Provider	Spending fees abroad	ATM withdrawal fees abroad	Features
Wise	No fee to spend a currency you hold Currency conversion uses the mid-market rate, with fees from 0.33	Free withdrawals up to 250 GBP/month. A 2.69% fee applies to any amount in excess of the monthly 250 GBP free withdrawal allowance.	Wise accounts hold 40 + currencies, and support card spending and withdrawals in 150+ countries
Revolut	No fee to spend a currency you hold Plans offer weekday conversion with the Revolut rate to a fixed limit. Fair usage and out of hours fees may apply	Plans offer withdrawals with no Revolut fee to a fixed limit (200 GBP for standard plans), then charge 2% of the withdrawal value	Choose from several different plans which all support multiple currencies and come with linked debit cards – monthly fees apply to unlock top tier benefits

International debit cards offer a solid all round option for travellers, allowing them to spend, withdraw, and manage their money on the move. As an example, you can use a Wise card with no fee to spend a currency you hold, and low conversion fees when you need to switch from one currency to another. Exchange uses the mid-market rate with no markup or hidden costs, and you can see your transactions, top ups and spending in the app instantly – with ways to freeze your card in a few taps if you ever need to.

Pros and cons of using debit cards abroad

Pros	Cons
✅Accounts can usually support dozens of currencies for holding ✅Cards are issued on global networks with broad reach ✅Many options have no or low monthly fees ✅Top up from your UK bank to spend securely when you travel ✅Manage your account and spending with just your phone	❌You’ll need to order a card in advance of travel, leaving time for delivery ❌No branch services to deposit cash ❌Transaction fees are likely to apply based on how you spend

How to apply for a Wise Multi-Currency Card

To show how the process works, here’s how to apply for a Wise Multi-Currency Card:

1. Register a Wise account online or in the Wise app using your email, Apple, Google, or Facebook ID
2. Complete a verification step by uploading an image of your ID and address document
3. Once approved, go to the “Cards” tab in the app and, select “Order a card”
4. You’ll be prompted to pay the one-time fee and confirm your address

Your card is dispatched by mail – and you’ll be able to activate a digital Wise card immediately to use with mobile wallets like Apple Pay or Google Pay with no need to wait for your physical card to arrive.

Best prepaid travel cards

Prepaid travel cards require you to load a balance before you spend. Usually you’ll be able to add money from your bank or using a card, and then you’ll need to convert it to the foreign currency you need for travel use instantly. The card provider sets the exchange rate used for conversion which may include a fee.

Prepaid travel cards are particularly handy if you want to know exactly what you have to spend on your trip in advance. If you’re working to a strict budget you can add and convert your balance before you travel, with no need to worry about accidentally spending more than you planned or running up unexpected interest costs.

Here are two of the best prepaid travel cards you may like to look into:

Provider	Spending fees abroad	ATM withdrawal fees abroad	Features
Post Office Travel Money Card	No fee to spend a currency you hold 3% cross border fee applies if you spend in a currency not supported by the card	Variable fees based on country – 1.50 GBP per withdrawal in the UK	Get your card instantly in a Post Office branch, to hold 22 currencies, and spend conveniently anywhere Mastercard is accepted
Sainsbury’s Bank Travel Money Card	No fee to spend a currency you hold 5.75% cross border fee applies if you spend in a currency not supported by the card, or which you don’t hold in your account	No fee applied by Sainsbury’s bank	Cards support 22 currencies, and are free to get, with next day collection at a local instore bureau, or home delivery in 5 – 8 days

Prepaid travel cards support a multi-currency balance but may have costs involved in converting your pounds to the foreign currency required, or if you spend a currency you don’t hold in your account. When you add money to your card you’ll normally need to convert to a foreign currency instantly – which can make it easier to build your travel budget, and lock in the rates as you see them. Some cards also let you add GBP but you may pay extra loading fees, and then incur additional costs when you spend in a foreign currency.

Pros and cons of using prepaid travel cards abroad

Pros	Cons
✅Cards often support 20+ currencies ✅You may be able to get your card instantly in a branch location ✅Lock in exchange rates and plan your travel spending closely ✅Some cards don’t charge ATM fees when you need cash ✅Accounts and cards can be managed from your phone	❌Fairly high currency conversion and cross border fees can apply ❌Account dormancy fees may apply if you don’t use your card often ❌Limited services – you can’t send overseas payments from your account for example

Best credit cards for international travel

Using a credit card for international travel from the UK comes with some great advantages, including earning rewards and points, and being able to use your card as a guarantee of payment in a hotel or when hiring a car. However, there are also often unavoidable costs such as annual fees, and you may find there are extra charges when spending overseas.

Choosing the best credit card for international travel means finding a card which has no foreign transaction fee to keep your foreign currency spending costs as low as possible. Repay bills on time every time to avoid interest and penalty fees.

Here’s a summary of a couple of very popular travel credit cards in the UK which offer good perks with no foreign transaction fees:

Provider	Spending fees abroad	ATM withdrawal fees abroad	Features
Barclaycard Rewards Card	No foreign transaction fee	No Barclays cash advance fee – but interest may apply immediately	Earn cash back as you spend, with a free additional cardholder, purchase protections and lifestyle perks and discounts
NatWest Travel Reward credit card	No foreign transaction fee	3% money advance fee, plus immediate interest on your withdrawal	Earn rewards at variable rates, which you can trade for cash or vouchers, no annual fees to pay

Travel credit cards in the UK often have great perks like cash back on spending, but you’ll need to weigh up the costs associated with them to make sure they represent a good deal for your needs. Look out for cards with no foreign transaction fee if you’ll use your card for overseas spending – or keep your credit card as a back up plan for emergencies, or in case you ever need extra funds when you travel.

Pros and cons of using credit cards abroad

Pros	Cons
✅Spend now and pay later option ✅Some cards for international use offer no foreign transaction fee ✅Earn rewards or cash back as you spend ✅Good range of card options based on customer needs ✅Cards may offer purchase protections	❌Annual and foreign transaction fees may apply ❌Interest costs may apply instantly if you use your card for a cash withdrawal ❌Cards are subject to eligibility requirements and approval processes

Cash: when and how much to carry

Many people in the UK prefer to transact cash-free, but when you travel having some cash on you can offer peace of mind in case your card isn’t accepted or for making smaller payments and paying tips. In some countries, including popular tourist destinations like Japan and Germany, cash is often preferred – but carrying too much at any one time can be a security risk.

If you decide to use cash when you travel it’s best to take money from ATMs as and when you need it, to avoid issues. Tourists are often targets of opportunist thieves and pickpockets – and becoming a victim is a sure way to ruin your trip.

You’ll also have the option of converting some cash in the UK before you travel, although you’ll need to shop around for the best available rates if you do so. Generally changing your money at the airport is a costly route – so look out for money changing services in town centers instead if you can.

Pros and cons of using cash abroad

Pros	Cons
✅Cash can be reassuring and is useful for tips and small payments ✅Culturally cash is still important in some popular tourist destinations ✅You can convert cash at home or use ATMs on arrival ✅Using cash makes splitting bills with friends straightforward ✅Cash can be a good back up in case your card is out of action for any reason	❌Carrying a lot of cash can make you a target for thieves ❌Curency exchange bureaus may have high fees built into the exchange rate you get for converting cash ❌Some merchants prefer card transactions

How Wise makes international spending easier

Many people travelling abroad from the UK choose to take a mixture of payment methods, with an international debit card like the Wise card as a top choice for day to day spending and withdrawals. Your Wise card is linked to a multi-currency account which supports 40+ currencies, and all conversions use the mid-market exchange rate with low, transparent fees from 0.33.

• Spend with a Wise card in 150+ countries
• Get the mid-market exchange rate with low fees from 0.33
• Hold your balance as pounds and let the card auto convert feature manage conversions when you pay
• Convert to any of the 40+ supported currencies in advance of spending if you prefer, locking in the rate

Common mistakes to avoid when spending money abroad

Before you head on a trip abroad from the UK, check out these common mistakes which are worth avoiding:

• Dynamic currency conversion trap: If you’re asked if you would prefer to pay for an overseas purchase or withdrawal in GBP, say no. This is dynamic currency conversion (DCC) and almost always means you get a worse rate – and higher costs overall
• Airport exchange bureau pitfall: If you’ve left it late to get cash, the airport can be an appealing option for currency exchange – but the convenience will cost you. Look carefully at the rates offered, as you’re often better off waiting until you arrive in your destination and using an ATM instead
• Overreliance on single payment method: Travel with a selection of payment methods such as an international Wise card, some cash in the local currency, and a credit card as a back up and for large purchases. Then if anything goes wrong with one payment method you have a Plan B
• Not understanding foreign transaction fees: Check if your bank card has a foreign transaction fee. If it does this may mean you pay about 3% for every purchase and withdrawal you make in a foreign currency
• Ignoring daily spending limits: Running out of money can be stressful – change your daily spending limits before you travel if you think you’ll need to spend or withdraw more than normal during your trip
• Forgetting to notify banks of travel plans: Fingally, make sure your bank knows you’re going to be outside of the UK in case anti fraud mechanisms flag payments as suspicious and block your cards when you’re overseas

Conclusion

Travelling from the UK means working out how to manage your money with low fees and reliable payment methods.

If you’re looking for an all round option for regular travel, an international debit card can be a good fit. For budget travel a travel money card can make it easier to manage your spending closely. Credit cards are good for emergencies and business travel, while cash has its place in most countries – as long as you’re mindful of security.

For most people, having several different means of payment when you’re abroad is a smart balance which hedges risk. Consider taking an international debit card, credit card and some cash so you’ll know you’re covered whatever happens.

While you’re deciding on your best options for overseas spending from the UK, check out the Wise card for spending in 150+ countries with the mid-market exchange rate and low fees from 0.33. You’ll be able to add money as pounds and let the card auto convert when you pay, or switch to any of the 40+ supported currencies in advance of spending if you prefer, locking in the rate.

Useful resources

• Wise – landing page for Wise account and card in the UK
• Revolut – landing page for Revolut plans and pricing in the UK
• Post Office Travel Money Card – learn about the Post Office Travel Money Card and how to order in the UK
• Sainsbury’s Bank Travel Money Card – full details of the Sainsbury’s Bank Travel Money Card including order page
• Barclaycard Rewards Card – reward earning card popular with UK travelers
• NatWest Travel Reward credit card – landing page for travel reward card including details of cash back and offers