Travelers should be wary of more than just credit card debt

10.06.09
By Timothy Green

People who charge a lot of items while traveling overseas may have more than just high credit card debt to pay attention to.

A recent New York Times article notes that differences in technology make some American credit cards unusable in certain places in Europe.

The newspaper told the story of a couple who vacationed in Paris and were unable to use their card at various locations because many European cards now contain a chip that requires a PIN number and serves as a further deterrent against identity and data theft.

The Times also noted that this trend will only continue for U.S. travelers since 22 countries now use the technology, including Canada, while about 50 other nations plan to adopt it in the fairly near future.

Still, one trend to watch for when it comes to U.S.-based credit cards could be the growing popularity of technology that allows people to pay for meals and other services, especially at restaurants, without having to let somebody else handle their card. Still, this falls somewhat short of the technology being used elsewhere in the world.

For those who do manage to have their cards accepted in these countries, travel writer Rick Steves offered another perspective in a recent article for the Atlanta Journal Constitution.

According to Steves, many card companies have substantially increased fees for overseas transactions in recent years. Steves also advises against using dynamic currency conversion to pay in dollars because of what is usually an unfavorable exchange rate, and he warns people to protect their PIN number and other personal information when overseas.

With these things in mind, doing some advance research can go a long way toward preventing high fees that will add to one's credit card debt.

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Overseas travelers have a number of things to watch for when it comes to credit cards.