💶 Best credit cards in the UAE for spending abroad (July 2025)
- Kacper Duda
- Jul 16
- 4 min read
Wait, why was I charged AED 450 for something that cost €100? Shouldn't it be AED 430?
It’s a question many of us have asked after a holiday — usually while staring blankly at a credit card statement (the same goes for all other currencies, not just EUR). And unless you’ve picked your card carefully, that difference isn’t the exchange rate. It’s foreign transaction fees.
With many of you choosing to escape the heat/humidity and go back home for at least part of the summer months you should ask yourself if you're well equipped for your travel.
In this article, we break down:
Where the hidden charges come from
Our top picks for credit cards to use abroad
In the (travel) news: Wizz Air to exit Abu Dhabi operations end of August. What to do if you have flights booked and how to look for replacements.
Where does the extra cost come from?
There are two main types of fees when you spend abroad on a UAE credit card:
Bank FX fees: Most local banks add a 2–4% markup when you use your card internationally. Some cards waive this completely but most don’t.
Network processing fees: Visa and Mastercard charge around 1.15% on top. This is harder to avoid — but a few cards absorb it for you.
So even if you’re careful, a 3–5% fee on every transaction isn’t unusual. On AED 5,000 of holiday spend, that’s up to AED 250 in unnecessary charges.
💡 Quick tip: Always pay in the local currency. When a card terminal asks: “Would you like to pay in AED or EUR/USD/etc?” — always choose the local currency.
Choosing AED triggers something called dynamic currency conversion (DCC), which gives you a terrible exchange rate and adds more hidden fees instead of the ones above.
Not sure what your card is charging?
You can find out in under 2 minutes:
1. Check your statement for a recent international transaction. You should see something like:
USD 50 @ 3.71571 = AED 185.792. Look up the market rate for that date via the UAE Central Bank.
3. Plug the numbers into this formula:
[(transaction rate – market rate) / market rate] × 100If it’s above 2%, your card might be costing you.
Best UAE cards for spending abroad
Here are some of the best options on the market right now if you’re looking to save on fees and some even provide additional rewards!
If you use other cards that come with attractive FX rates, do let us know. We’d love to hear.
Bonus tips before you go
Don’t use credit cards for cash withdrawals abroad. FX + ATM fees stack up fast.
If your card gives cashback on foreign spend, it may offset FX fees (e.g. Citi).
Always double-check the annual fee vs benefits, especially for travel perks (and how much you will actually be using them).
IN THE NEWS - Wizz Air to exit Abu Dhabi operations end of August
Just 5 years after launching operations in Abu Dhabi via a joint venture with ADQ, Wizz Air is closing up shop, citing geo-political, regulatory and operational efficiency. Long story short, operating so far away from their European hubs has become too expensive without realising the growth ambitions they had.
If you've booked a flight with Wizz Air beyond August this year, you'll be entitled to a refund, and Wizz Air will be in touch. If you booked through a third-party agent, you may have to contact them directly. Read more on the reasons behind Wizz Air's move and what to do next in this KT article.
What's next for cheap flights out of the UAE? We always recommend you check at least two comparison sites (e.g. skyscanner.net and Google Flights) to find your cheapest options. Check all UAE airports, as travelling to Sharjah, Abu Dhabi or Dubai may land you with a cheaper total cost!
Disclaimer: Please bear in mind that this email does not constitute financial advice. Any choices you make you are solely responsible for. We always aim to provide highest quality, independent views but do your own research to ensure you’re comfortable with any changes you make to your personal finances.
