Does the Simplicity Card Charge Foreign Transaction Fees?
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Written by
Angela Mae
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Co-Author
Jasmin Baron, CCC™
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Edited by
Emily Gadd, CCC™
Foreign transaction fees (or currency conversion fees) are charged by credit card issuers when you make a purchase outside the U.S. in a foreign currency, whether you’re traveling abroad or buying from a merchant overseas. These fees are typically a percentage of the purchase amount and can add up if you frequently use your card for international transactions.
Not all credit cards have a foreign transaction fee, but the Citi Simplicity® Card, an advertising partner, does — so it’s not an ideal card for international travel.
Learn more about why the Citi Simplicity Card could still be worth it, as well as its fees and some alternative travel credit cards that don’t charge extra for foreign transactions.
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Does the Citi Simplicity Card Charge a Foreign Transaction Fee?
The Simplicity Card adds a 3% foreign transaction fee to all international purchases. However, it doesn’t charge late fees, an annual fee or a penalty annual percentage rate (APR).
Its biggest selling point is its introductory APR offer: 0% Intro APR on purchases and balance transfers for 18 months, then 17.49% - 28.24% (Variable) APR. That puts it on our lists of the best low-APR credit cards and top balance transfer credit cards. However, it doesn’t earn rewards, putting it at a disadvantage compared to other cards.
Although the Simplicity Card charges foreign transaction fees, several Citi credit cards (an advertising partner) do not, including:
- Citi Strata Premier® Card ($95 annual fee)
- Citi Strata Elite℠ Card ($595 annual fee)
- Citi® / AAdvantage® Platinum Select® World Elite Mastercard® (annual fee of $99, waived for first 12 months)
- Citi® / AAdvantage® Globe™ Mastercard® ($350 annual fee)
- Citi® / AAdvantage® Executive World Elite Mastercard® ($595 annual fee)
- Costco Anywhere Visa® Card by Citi ($0 annual fee with a Costco membership)
Note that even though these credit cards don’t have a currency conversion fee, they may have other fees that the Simplicity Card doesn’t, such as high annual fees or APRs. Be sure to compare your options carefully to save as much money as possible while traveling.
Read our guide to the best credit cards with no foreign transaction fees for all the top options.
How the Simplicity Card Stands Out in the Market
Many major credit cards incur a foreign transaction fee for international purchases, so the Simplicity Card doesn’t stand alone here. The actual fee varies by credit card, but it’s typically between 1% and 3% of the total purchase amount (in U.S. dollars).
The advantage of having no foreign transaction fee is that international purchases are cheaper. But even though the Simplicity Card has one, it could still be worth using for travel.
As the name suggests, this credit card is easy to use. It has no annual fee, meaning you won’t have to pay each year just to have it. The 0% Intro APR on purchases and balance transfers for 18 months, then 17.49% - 28.24% (Variable) makes the card a solid option for those who want to do one of the following:
- Transfer a balance from a different high-interest credit card to save money on interest, then pay off the balance within the 18 month window (interest-free)
- Make one or multiple major purchases during the intro APR period and pay them off before the offer expires to avoid interest charges
While you’ll still incur the 3% foreign transaction fee on international purchases, the introductory APR can be a major money-saver. Depending on what you’re using the card for, and your travel timeline, you could potentially save hundreds or thousands in interest alone (provided you pay off the balance before the 18 months are over).
If the Simplicity Card doesn’t quite fit your needs, another credit card with similar benefits is the Citi® Diamond Preferred® Card, an advertising partner. This no-annual-fee card also charges a 3% foreign transaction fee and doesn’t earn rewards. But it offers a 0% intro APR for 12 months on Purchases and 21 months on Balance Transfers then 16.49% - 27.24% (Variable) APR.
How To Avoid Foreign Transaction Fees With Your Credit Card
Whether or not you already have the Simplicity Card, it’s worth knowing that there are ways to avoid foreign transaction fees with this — and any other — credit card. Here are some practical tips on using credit cards internationally:
1. Carry Multiple Credit Cards
Having several credit cards in your wallet lets you swap them out based on what you need. For example, you could use a credit card with no foreign transaction fees to buy event tickets, meals and accommodations when you’re traveling abroad. At the same time, you could take advantage of a no introductory APR card (like Simplicity Card) to save on interest charges when you book your flights through a domestic website or prepay for tours and activities in U.S. dollars.
2. Buy From Domestic Merchants
You can avoid foreign transaction fees by making purchases from U.S. merchants. Some U.S. travel booking platforms, like Kayak, don’t charge this fee, but its partners might. Review the terms and conditions of the site you’re using so you’re prepared — or just stick with domestic vendors.
3. Bring Cash
Having some local currency can save you money on credit card fees. It’s also helpful if you come across a merchant that doesn’t accept your particular credit card. For example, American Express and Discover credit cards aren’t as widely accepted in some countries as Visa or Mastercard.
4. Take Advantage of Other Perks or Benefits
Key credit card perks such as an intro APR, travel rewards and welcome bonuses can all save you money. Some cards also offer travel insurance, give you access to airport lounges and more, which can help justify any fees.
See if your credit card (or cards) offer any of these types of benefits and take advantage of them while abroad.
Should You Use the Simplicity Card for International Purchases?
While it’s a no-frills credit card, the Citi Simplicity Card offers a handful of benefits, including:
- 0% Intro APR on purchases and balance transfers for 18 months, then 17.49% - 28.24% (Variable)
- $0 liability for unauthorized charges
- Identity theft protection
- No late fees or penalty APR fees
- No annual fee
- Flexible payment due dates
- 24/7 customer service (useful when dealing with different time zones)
- Accepted anywhere Mastercard is (domestically and overseas)
You can also set account alerts for when a payment is due or a transaction goes through. It can also help keep you on track with spending. Plus, you can lock your card from the app if it’s stolen or misplaced, or if you want to limit spending.
That said, because of its foreign transaction fee, the Citi Simplicity Card isn’t a good option for international travel in most cases.
Alternatives to the Simplicity Card for International Travelers
If you’re looking for a no-foreign-transaction-fee credit card, here are a few alternatives to consider:
1. Citi Strata Premier Card
The Citi Strata Premier Card is a mid-tier travel credit card that earns valuable Citi ThankYou® points. You can redeem your rewards for flights, hotels, rental cars and attractions booked through Citi’s travel portal, or convert them to airline miles or hotel points with over a dozen Citi transfer partners.
Annual fee: $95
Welcome offer: Earn 60,000 bonus ThankYou® Points after spending $4,000 in the first 3 months of account opening, redeemable for $600 in gift cards or travel rewards at thankyou.com.
APR: 19.49% - 27.49% (Variable)
Rewards: 10x on Hotels, Car Rentals, and Attractions booked through CitiTravel.com. Earn 3 Points per $1 spent on Air Travel and Other Hotel Purchases. Earn 3 Points per $1 spent on Restaurants. Earn 3 Points per $1 spent on Supermarkets. Earn 3 Points per $1 spent on Gas and EV Charging Stations. Earn 1 Point per $1 spent on All Other Purchases $100 Annual Hotel Benefit: Once per calendar year, enjoy $100 off a single hotel stay of $500 or more (excluding taxes and fees) when booked through CitiTravel.com. Benefit applied instantly at time of booking. Travel insurance protection: Trip Cancellation and Trip Interruption (Common Carrier), Trip Delay, Lost or Damaged Luggage, MasterRental Coverage (Car Rental).
2. Chase Sapphire Preferred Card
The Chase Sapphire Preferred® Card sets a high standard among mid-tier travel rewards credit cards, earning Chase Ultimate Rewards® points you can transfer to Chase’s airline and hotel partners, use to book travel through Chase Travel℠, redeem for cash back and more. It’s also one of the best credit cards for travel insurance, and includes valuable primary car rental insurance, trip cancellation/interruption coverage and trip delay insurance.
Annual fee: $95
Welcome offer: Earn 75,000 bonus points after you spend $5,000 on purchases in the first 3 months from account opening.
APR: 19.24% - 27.49% Variable
Rewards: 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.
3. Capital One Savor Card
The Capital One Savor Cash Rewards Credit Card is a top cash-back credit card that features high earning rates in useful bonus categories. Like the Simplicity Card, it doesn’t charge an annual fee and offers an introductory APR.
Annual fee: $0
Welcome offer: Earn a one-time $200 cash bonus once you spend $500 on purchases within the first 3 months from account opening
APR: 0% intro on purchases and balance transfers for 12 months, then 18.49% - 28.49% (Variable)
Rewards: Earn 8% cash back on Capital One Entertainment purchases.
Earn unlimited 5% cash back on hotels, vacation rentals and rental cars booked through Capital One Travel.
Earn unlimited 3% cash back at grocery stores (excluding superstores like Walmart® and Target®), on dining, entertainment and popular streaming services, plus 1% on all other purchases.
4. Other No-Annual-Fee Options
If paying an annual fee is an issue, check out our guide to the best no-annual-fee travel credit cards for alternatives (none of which charge foreign transaction fees).
These include:
- Bank of America® Travel Rewards credit card
- Capital One VentureOne Rewards Credit Card
- Discover it® Miles
- U.S. Bank Altitude® Connect Visa Signature® Card
- Wells Fargo Autograph® Card
The Best Way To Use the Citi Simplicity Card Abroad
The Simplicity Card comes with a 3% foreign transaction fee. But its introductory APR can be useful for new cardholders looking to save money on interest while also traveling. It also has no annual or late fees, unlike many no-foreign-transaction-fee cards.
It’s worth checking out the Simplicity Card’s benefits for international and domestic use. This can help you make an informed decision, even if you ultimately go with another credit card.
For Capital One products listed on this page, some of the benefits may be provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.
Frequently Asked Questions About Citi Simplicity Card Foreign Transaction Fees
How do foreign transaction fees affect credit cards?
When you make a purchase with a foreign merchant, whether you’re in another country or going through an online platform, your credit card issuer may charge a foreign transaction fee.
This is a percentage — usually between 1% and 3% — of the total purchase price. This fee can add up if you make frequent purchases abroad.
Are there Citi cards with no foreign transaction fees?
Although the Simplicity Card has a 3% foreign transaction fee, several Citi credit cards don’t add these fees. These include the Citi Strata Premier Card, Citi Strata Elite and Citi AA Platinum Select Card.
What other fees should I be aware of with the Simplicity Card?
The Simplicity Card doesn’t have any late fees or annual fees. However, it does have a $41 returned payment fee.
Cash advances come with a fee of 5% or $10 (whichever is greater). There is an intro balance transfer fee of 3% of each transfer (minimum $5) completed within the first 4 months of account opening. After that, your fee will be 5% of each transfer (minimum $5).
How can I avoid foreign transaction fees while traveling?
The best way to avoid foreign transaction fees while traveling is to use a card that doesn’t charge them. Read our guide to the best no-foreign-transaction-fee credit cards for a roundup of top options.
