Cheapest Prepaid travel cards FX products: 7 ways to cut the cost

Keep costs low when you pay abroad

Choosing the right travel card can slash fees, keep exchange rates fair, and protect your holiday budget. Here are the smartest UK-friendly options and precise steps to minimise charges on spending and cash withdrawals overseas.

Who benefits most

If you are a UK traveller who wants predictable costs, safer spending than cash, and simple app controls, prepaid and low-fee debit cards are for you. They suit city breaks, longer trips, and frequent flyers who want to lock in rates, avoid weekend markups, and separate travel money from day-to-day funds.

Terms that matter at the till

Understanding FX fees is about real money, not just percentages. Get familiar with:

• Mid-market rate - The real exchange rate you see on Google or Reuters. Some cards use it or close to it.
• Markup - An extra percentage added to the exchange rate by providers. Smaller is better.
• Foreign transaction fee - A surcharge on overseas card payments. Aim for zero.
• Cash withdrawal fee - A charge for taking money from ATMs abroad. Watch for both card and ATM-owner fees.
• Weekend pricing - Some providers add a small fee at weekends when markets are shut.
• Currency wallets - Holding euros or dollars in-app to spend without conversion at checkout.
• DCC - Dynamic currency conversion at merchants or ATMs that offers to charge you in pounds. Decline it to avoid poor rates.

Golden rule: always pay in the local currency and decline DCC to protect your rate.

Seven strong UK options compared

Below are UK-ready cards with clear strengths. Exact limits and fees can change, so check apps before you travel.

Shortlist logic:

1. Want the tightest rates and control - choose Wise.
2. Prefer a bank-debit feel with no FX fees - choose Chase.
3. Happy to time exchanges on weekdays - choose Revolut.
4. Want supermarket or branch convenience - Sainsbury’s or Post Office.
5. Value travel perks or mobile wallets - Caxton or Hays.

What it costs and why it matters

• Exchange rates - Wise often undercuts bank rates by a wide margin, with research indicating savings up to 87% compared with typical bank spreads [1]. Revolut can be similar midweek, but expect a weekend fee.
• ATM cash - Wise gives fee-free withdrawals up to £200 twice monthly, then a small percentage. Caxton has no Caxton-side ATM fee but requires at least £50 per withdrawal and caps at £300 daily [2]. Sainsbury’s advertises no ATM fees abroad from its side [5], but third-party ATM owner fees can still apply.
• Card spending - Chase charges no foreign transaction fee and uses Mastercard’s rate [3]. Revolut’s standard plan is fee-free for weekday currency exchange, with a 1% fee at weekends and for large volumes above £1,000 in 30 days [4].
• Hidden traps - DCC at shops and ATMs is the biggest leak. Always choose the local currency to avoid an unfavourable conversion.

Savings stack when you combine no-fee spending, sensible ATM use, and weekday currency exchanges.

Are you eligible

• Residency - These products are generally for UK residents. Chase is exclusively for UK residents aged 18+ [3]. Hays also requires UK residency and ID at purchase [7].
• Age and ID - Expect to be 18+ with photo ID and proof of address. Branch products like the Post Office card can be issued in person subject to checks [6].
• Credit checks - Prepaid cards usually do not require a full credit search. Bank debit accounts may run standard account checks.
• Access - Wise, Revolut, and Caxton can be set up via apps. Sainsbury’s and Post Office offer both online and in-branch routes.

If you have specific needs such as higher ATM limits or additional perks like lounge deals, review each issuer’s plan tiers.

Step-by-step to pay less

1. Pick a primary card that fits your travel pattern.
2. Order early and complete in-app verification.
3. Add a backup card from a different provider.
4. Load funds and set currency wallets if needed.
5. Exchange on weekdays to avoid weekend fees.
6. At checkout, pay in local currency and decline DCC.
7. Use fee-free ATM allowances sparingly and plan withdrawals.
8. Track spend with instant notifications and budgeting tools.

Upsides and trade-offs

Prepaid cards separate holiday money from your main account, improving security and budgeting. Wise and Revolut deliver competitive rates, with the ability to hold currencies and lock in prices before you fly. Cards like Chase remove foreign transaction fees on spending and feel familiar if you prefer a bank-issued debit card.

Trade-offs include weekend fees on some app accounts, ATM minimums or caps, and potential third-party ATM charges. Some travel cards do not pay cashback on overseas spending. Always check plan allowances to avoid monthly exchange limits or out-of-plan fees.

Watch-outs before you choose

• Weekend FX - Revolut adds around 1% at weekends. Exchange midweek where possible [4].
• ATM limits - Caxton has a £50 minimum and £300 daily limit [2]. Chase caps ATM withdrawals at £500 per day and £1,500 per month [3].
• Exchange thresholds - Revolut adds an extra 1% after £1,000 in 30 days on standard plans [4].
• Third-party ATM fees - The machine owner may charge regardless of your card policy.
• Hold or convert - With multi-currency wallets, pre-buy when rates are favourable, but avoid overfunding a currency you might not need.

A two-card setup reduces risk and keeps you trading at the best available rate if one provider is down.

If none of these fit

• Credit cards with 0% FX fees - Strong for purchases and Section 75 protection, but watch cash withdrawal interest.
• Bank accounts with travel perks - Some packaged accounts include fee-free withdrawals or insurance for a monthly fee.
• Cash plus a backup card - Carry a small amount of local cash for tips or small merchants, backed by a low-fee card.
• Comparison sites - Use Money.co.uk for low admin-fee prepaid options [10] and MoneySavingExpert for up-to-date FX tactics [4, 9].

FAQs

• Which card is cheapest overall for rates? Wise typically tracks the mid-market rate with transparent, low conversion fees, which can be significantly cheaper than bank rates [1].

• Can I avoid fees entirely with Revolut? You can avoid exchange fees on weekdays for most currencies on the standard plan, but weekend and high-volume surcharges apply [4].

• Is Chase good for cash withdrawals abroad? Chase uses Mastercard’s rate and has no foreign spend fee, but cash withdrawals are limited to £500 per day and £1,500 per month [3].

• Do supermarket or Post Office cards work everywhere? They run on Mastercard and are accepted widely. The Post Office card cites reach at over 36 million locations [6]. Always decline DCC.

• Are ATM withdrawals free with travel cards? Some offer fee-free allowances. Wise gives free withdrawals up to £200 twice a month, then a small fee [1]. Sainsbury’s has no issuer ATM fee abroad [5], but machine owners may still charge.

• How do I keep my budget on track? Use app notifications, set spend limits, preload only what you plan to use, and separate travel funds from your main account.

What to do now

• Choose a primary and backup card aligned to your trip type.
• Order and verify both this week.
• Set weekday calendar reminders to exchange currency.
• Plan ATM use within free or low-fee allowances.
• Add cards to Apple Pay or Google Pay for extra security.

Switching to a low-fee setup now can save you more than you think on your next trip.

Important information

This guide is for general information only and does not constitute financial advice. Fees, limits, and eligibility change. Always check the latest terms in each provider’s app or website before applying and travelling.