Best ways to spend travel money in the USA: Debit & prepaid cards

Learn more about the best card to use, if you should use a UK debit card and other ways to take spending money to the USA.

The United States of America is a society of credit. If you’re travelling to the States, you can use your Visa, Mastercard and American Express cards everywhere. Banks are common and ATMs are inside most corner stores as well.

What is the best way to take and spend money in the USA?

You’ll find most Americans rely on their credit card or debit card to make purchases as much as cash. There are times when you’ll need to pay cash. For example paying for a drink at a small bar or buying a hotdog from a food truck might require cash. However, you will see that most merchants in American cities are set up with the infrastructure for card, contactless and mobile payments. Visa, Mastercard, American Express and Diners Club cards are widely accepted.

Travel money options for the United States

Can I use a UK debit card in the USA?

You can use any Mastercard or Visa branded debit card in the United States, though you should be weary of using it abroad as there may be fees attached. Barclays will charge a 2.75% non-sterling transaction fee, Lloyd’s will charge a 2.99% non-sterling fee on cash withdrawals and purchases, and NatWest/RBS will charge a fee of 3% (minimum £3). In the case that you find yourself needing to use a debit card abroad, it’s worth checking if your bank is part of the Global Alliance, a group of banks with an agreement to give customers a cheaper way to withdraw money abroad.

Using prepaid travel cards

All UK travel money card issuers allow you to load and spend in United States Dollars. The main advantage of these cards is you can lock in an exchange rate when you convert GBP to USD and spend without paying the extra 3% for currency conversion. Although Visa, Mastercard and American Express are accepted everywhere (if the merchant can accept a credit card they can also accept a travel card), not all of them have your name printed on the front, which may cause the merchant to reject them. These instances may be limited to smaller shops. Compare these cards by the fees. For example, some travel cards waive the international ATM withdrawal fee. The local ATM fee is unavoidable unless your travel money provider has a pre-arranged deal with a US bank. There’s also the initial load fee, the reload fee and inactivity fees to think about too.

Using credit cards

The US is a society of credit, and credit cards, there are no issues with Visa, Mastercard, American Express and Diners Club card acceptance. Contactless payment terminals are common at places like Walmart, Target, Kmart and other major retailers. The currency conversion fee is the main charge to avoid when you’re looking at travel friendly credit cards. The international ATM fee is the other main fee; however, due to the extra charges which come with a cash advance, you should avoid using your credit card to make cash withdrawals. Depending on your card provider, you can avoid some cash advance fees by loading your credit card with your own money (keeping a positive balance), but you forego anti-fraud guarantees when you spend your own money on your credit card.

Credit cards in the US

Using traveller’s cheques

Traveller’s cheques were once a staple for any overseas trip. In recent times, card acceptance and security have made these travel money products a burden.

Starling Bank - Current Account - Age 18 and over

Current Account - Age 18 and over
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★★★★★
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£0

Min. opening balance

£0

Account fees

0.05% AER

Interest (AER)

No fees overseas.
With the Starling Bank debit card, you can make payments and withdraw cash wherever you are in the world, including the USA, without being charged a fee for doing so. Starling Bank passes on Mastercard’s real exchange rate, with no additional charges, so you’ll get more for your money. You’ll get instant alerts on the app whenever you spend, in both USD and GBP, so you’ll know exactly what you’ve spent. Plus, should you lose your card while you’re away, you can simply lock it on the app or order a new one to be sent out to you, wherever you are.
Representative example: If you use an arranged overdraft of £1,200 you'll be charged interest at 15% EAR variable .
  • Free ATM withdrawals and spending anywhere abroad
  • Can deposit both cash and cheques for free
  • Spending insights and saving tools
  • 'Settle up' feature to split joint bills
  • Pays interest on current account balance
  • Overdrafts and loans available
  • Lower ATM withdrawal limit than some other digital challengers
  • No group savings feature
  • Doesn't have a specific monthly budgeting tool
  • No rewards program
Interest rate 0.05% AER
Minimum opening balance £0
Minimum operating balance £0.01
Switch service guarantee Yes
Account fee £0
Overseas card transactions £0
Overseas cash withdrawals £0

Revolut - Revolut Metal

Revolut Metal
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£0

Min. opening balance

£12.99 per month

Account fees

0% AER

Interest (AER)

Get 3 months of Premium for free. For new customers only, T&Cs apply.
There’s a whole host of travel benefits with the Revolut Metal account which costs £12.99 a month. You can spend on the card globally fee-free on weekdays at the interbank exchange rate (you’ll be charged a mark-up on weekends), and you can withdraw up to £800 each month fee-free. All purchases are protected up to £10,000 for a year, you can get 10% instant cashback on selected accommodation and you can take advantage of delayed flights and baggage insurance, plus worldwide emergency medical and dental cover. You’ll also earn up to 1.2% cashback on card spending in any of Revolut’s 30+ supported currencies.
  • Fee-free withdrawals abroad
  • Purchase protection
  • Discounts on holiday accommodation
  • Travel insurance and airport lounge access
  • Monthly fee applies
  • No overdraft available
  • App-based account
Interest rate 0% AER
Minimum opening balance £0
Account fee £12.99 per month
Overseas card transactions 0% Mon-Fri
Overseas cash withdrawals 0% Mon-Fri

Chase - Chase Current Account - Current Account

Chase Current Account - Current Account
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£0

Min. opening balance

£0

Account fees

0% AER

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Receive 1% cashback on everyday purchases for 12 months from account opening.
Open the Chase bank account and you’ll benefit from fee-free spending and cash withdrawals on your debit card abroad. Although some ATM providers charge a fee, if you’re travelling to the USA, you can make free withdrawals at any Chase Bank ATM (maximum limit of £1,500 a month). Chase uses Mastercard’s exchange rate with no additional fees or mark-ups on your spending. As well as earning 1% cashback on all your debit card purchases at home, you’ll also earn 1% cashback when you book flights using your debit card and 1% cashback on your spending while you’re away too (in the first 12 months).
  • No monthly account charge
  • No fees for spending or making cash withdrawals abroad
  • 1% cashback on a wide range of purchases
  • 5% interest on savings generated by the “round ups” feature
  • 1.5% interest on balances in the linked Chase saver account
  • 24/7 in-app customer support
  • 1% cashback and 5% interest offers only run for 12 months
  • No branches if you prefer face-to-face banking
  • Can’t deposit cash or cheques into the account
  • Overdrafts not available yet
Interest rate 0% AER
Minimum opening balance £0
Minimum operating balance £0
Switch service guarantee No
Account fee £0
Overseas card transactions 0%
Overseas cash withdrawals 0%

Virgin Money - Virgin Money Current Account - Age 18 and over

Virgin Money Current Account - Age 18 and over
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£0.01

Min. opening balance

£0

Account fees

2.02% AER

Interest (AER)

Comes with linked M Plus Saver Account and access to exclusive ISA products.
The Virgin Money M Plus current account comes with a Mastercard debit card that can be used globally, wherever Mastercard is accepted. What’s more, you won’t be charged for spending on your card or making cash withdrawals wherever you are in the world, including the USA. The Virgin Money app will help you track what you’re spending where and help you budget, plus you can use it to report your card as lost or stolen and order a new one. The account also pays interest on your balance and you can earn cashback at selected retailers.
Representative example: If you use an arranged overdraft of £1,200 you'll be charged interest at 19.9% EAR variable .
  • No monthly fee
  • Pays interest on in-credit balances
  • Fee-free foreign transactions
  • Easy to apply for and manage account online or via the ap
  • High interest charged on overdrafts
  • Interest only payable on small balances
  • You’ll need a good credit score to apply
Interest rate 2.02% AER
Minimum opening balance £0.01
Minimum operating balance £0.01
Switch service guarantee Yes
Account fee £0
Overseas card transactions £0
Overseas cash withdrawals £0

How much sterling do I need to bring to the US?

There’s an old saying first coined in the Reader’s Digest, once you’re finished packing your suitcase, take out half the clothes and take double the money. Ultimately, how you take your money is up to you. Someone couch-surfing in San Francisco will have a different budget to someone on a New York shopping holiday.

New York serviceBudgetMidTop
Accommodation icon
Accommodation
Hostel: $30 – $60 per nightHotel / Motel: $150 per night5 star hotel / Superior suite: $350 per night
Food icon
Food
Food truck: $5 – $10Restaurant: $20 – $405-star restaurant: $50 a plate
Camera icon
Entertainment
Free festivals year round in American citiesGuggenheim Museum: $25Broadway Musical: $200 – $300

*Prices are approximate and subject to change

Buying currency in the UK

If you’d like to have American dollars when you arrive, you have a number of choices for getting cash changed in the UK. Look at your bank and look at foreign exchange providers such as Travelex or No1 Currency.

  • Travel Money Delivered
  • Tesco
  • Covent Garden FX
There’s no restriction on the amount of foreign currency or U.S dollars you can bring into the US. You must declare your cash at customs if you’re taking more than $10,000 USD or the foreign currency equivalent
  • Tip: Make sure you’ve applied for your United States ESTA (Electronic System for Travel Authorisation) before you leave for the USA. This will cost you $14 and you can pay by a Visa, Mastercard, American Express, Diners or Discover credit card.

Why you’ll need a combination of travel money options

Use a combination of travel money products which don’t charge for currency conversion and have low or no international ATM withdrawal fees. A travel card or debit card used in conjunction with a travel-friendly credit card will give you a cost-effective way to make both over the counter purchases and ATM withdrawals in the USA.

It’s important to have more than one way to access your money when you’re abroad. Travel to the United States is exciting, don’t make it stressful by limiting your options. By doing a little research before you go, you can save on fees which can easily add up to the cost of a night out or souvenir for a loved one.

You’ll find card payments are the norm in the USA, the currency conversion fee may not seem like much, but giving almost £10 for every $300 you spend or withdraw to your bank isn’t just unnecessary, it’s criminal. Compare travel money options and apply for a card you can use to spend for less in America to avoid throwing money at your bank while you’re visiting the United States of America.

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4 Responses

    Default Gravatar
    AlexMarch 9, 2019

    I am traveling to the USA and I want to buy a pre-paid SIM card before my trip. But there are not so many options who would ship it internationally.
    Does anyone have experience with Arieli Mobile or other resellers?
    Thank you

      Avatarfinder Customer Care
      JoshuaMarch 11, 2019Staff

      Hi Alex,

      Thanks for getting in touch with Finder. I hope all is well with you. 😃

      Arieli has been in the business since 2015. They do have good feedback and positive testimonials. However, you would need to do your own independent research and determine whether Arieli is a good choice for you or not.

      Moreover, another option you might want to consider is using an international SIM card. On that page, you will see an international SIM card that offers worldwide delivery as well its description. You can then click on the “Apply now” green button to be redirected to their website.

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!

      Cheers,
      Joshua

    Default Gravatar
    DenluvszeppelinFebruary 18, 2019

    Hi. I am going to the USA in October. I am 64 and retired. What’s the best way to take funds with me, please. So confused which is the best way. Thanks!

      Avatarfinder Customer Care
      JoshuaFebruary 19, 2019Staff

      Hi Denluvszeppelin,

      Thanks for getting in touch with Finder. I hope all is well with you. :)

      The best way for you to bring money with you in the USA depends on your needs, preference, and budget. You need to identify first the most important for you. From there, you should be able to determine how to choose a method that perfectly meets your need.

      Most people would use travel prepaid cards, debit cards, or credit cards. Since I’m not too familiar with your whole situation, it would be best to read this page for more tips and guide on your options. Pay attention more on the table found under the subheading, “Travel money options for USA at a glance.”

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!

      Cheers,
      Joshua

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