How to withdraw cash abroad using a credit card

When you travel abroad, you must have prepared some cash for emergencies. However, there's no harm in being prepared by bringing a credit card that can be used to withdraw money from an ATM. The question is, how do you withdraw cash abroad? Follow the steps below!

1. Ensure your credit card is active for international transactions

To be able to withdraw cash abroad, make sure your credit card is active for international transactions. If you haven't done so, you only need to check through the app or contact customer service (CS) to process its activation.

2. Find an ATM with the same international network logo as on your card

Besides activating your card for international transactions, you must also ensure that the ATM used has the same international network logo as your card. Every ATM abroad usually has network logos such as Mastercard, Visa/Plus, or Cirrus.

Among many Mastercard credit cards, one of the most worth it to bring is Honest credit card. Besides being able to be used for cash withdrawals abroad without fuss, Honest also has many travel promos that make holiday costs much lighter.

Aside from its travel promos, Honest also has a No FX Fee feature, meaning 0% foreign transaction fees. Usually, if you use another credit card to pay in a foreign currency, there will be an additional fee of about 2.5% to 3.25%. But with Honest, that fee is completely eliminated, so the price you pay will remain the same as listed, without extra hidden fees. For those who like traveling or saving money when shopping abroad using a credit card, this feature is very beneficial because it can keep expenses more controlled without having to change shopping habits.

Honest also has a savings service called Honest Savings. By saving in Honest Savings through the Honest App, you can get 4% annual interest, unlimited free transfers, and absolutely no monthly or admin fees. Interestingly, this savings account can help increase your Honest credit card limit. The more often you save and the more stable your balance is, the greater the chance your limit will increase because, in the Honest ecosystem, savings balance and limit can grow together. Honest Savings itself was created in collaboration with Bina Digital from Bank INA, part of the Salim Group, and is licensed and supervised by OJK and Bank Indonesia, so you don't need to worry about security.

Besides these features, the Honest credit card application process is also known to be easy, with an approval rate of up to 90%. Every transaction you make will also collect Honest Points which can be exchanged for various other benefits. So there's no loss in using an Honest Card!

3. Insert the card and select the language

As a note, if you are still wondering whether a credit card can be used for cash withdrawal, the answer is absolutely yes. However, almost all credit cards usually charge an additional fee every time you withdraw cash. The amount varies depending on the bank, but generally ranges from 4%–6% of the withdrawal amount.

Well, the next step after finding an ATM with the corresponding logo on your card, simply insert the credit card in the correct position and then select English.

4. Select the menu ‘cash withdrawal’/’credit card advance’

Immediately look for the ‘cash withdrawal’ or ‘credit card advance’ menu. This menu is used to withdraw cash from the credit card limit, not from the savings balance, so make sure the cash advance limit is still available.

5. Enter your credit card PIN

Next, enter your credit card PIN. This PIN maintains transaction security so that only the card owner can withdraw cash. Make sure no one is watching when you type the PIN, to keep the transaction safe.

6. Enter the desired amount of money

After the PIN is accepted, the ATM will ask you to enter the amount of money you want to withdraw. Enter the nominal amount that fits the available cash advance limit and your needs. The ATM will usually display quick nominal options or allow you to type the nominal amount yourself.

7. Take the money and the receipt

Once the nominal amount is confirmed, the ATM will dispense the cash and the transaction receipt. Take both immediately. You can keep the receipt as proof of the transaction, as well as to monitor how much additional fee or interest is charged.

8. Check the transaction in the credit card application

After the transaction is complete, don't forget to check your credit card application. Make sure the dispensed amount is correct and pay attention to the cash advance fee or interest applied. By checking the app, you can monitor your limit usage and ensure everything is recorded correctly.

Well, those are the steps on how to withdraw cash abroad using a credit card. Try to do it only in urgent conditions so you don't incur too much loss. Good luck trying!

Frequently Asked Questions

1. Can an ATM card be used abroad?

Yes. Both ATM and credit cards can be used abroad as long as they have the Visa, Mastercard, Plus, or Cirrus logo.

2. How to activate a credit card for international transactions?

The way to activate a credit card so it can be used for international use is by contacting the relevant bank specifically. Besides offline, some banks allow activation online through an application or SMS.

3. Is it better to exchange money before going abroad, or after arriving abroad?

Exchanging currency before going abroad can help reduce withdrawal fees and maximize the exchange rate. However, this can be managed according to need.