Last year, I quit my job as a personal finance editor to travel the world. Since I’ve written about dozens of credit cards, I put my skills to the test to find the best travel credit cards for traveling. But the most useful maps I found surprised me.
I applied for different credit cards that all had generous welcome bonuses, which I used to pay for my flights and hotels. These cards offered travel protection to keep my purchases safe, and some offered perks to upgrade my experiences. But the most useful card in my wallet isn’t a credit card at all — the debit card that comes with my Charles Schwab High Yield Investor checking account is the unsung hero of my travels.
The best thing about this debit card is that you can withdraw money from any ATM without having to worry about foreign transaction fees or ATM fees. Even if you are used to a cashless lifestyle at home, you will need cash when you travel.
Yes, my credit cards financed my travels and were a big reason I was able to travel this year. But my Schwab Visa Platinum Debit Card filled a very useful and necessary gap that my credit card did not. That’s why this Dark Horse map is a must-have for international travelers.
What is the Charles Schwab Visa Platinum Debit Card?
Unlike a credit card, the Charles Schwab Visa Platinum Debit Card is not a separate card that you can apply for on your own. Instead, it is a debit card that is linked to your Charles Schwab Investor Checking Account.
As a checking account, however, this Schwab account is pretty compelling. The Investor Checking Account is a free checking account with no minimum deposit or minimum balance requirements, no monthly fees, no overdraft fees, and a 0.45% APR on your account balance—just a few of the reasons it won the CNET Editors’ Choice Award for Best Checking Account. Best of all, there are no foreign exchange transaction fees, and you get unlimited ATM fee discounts on cash withdrawals worldwide.
The card also comes with some Visa-provided benefits, such as extended warranty protection, price protection, and travel accident insurance (when you pay with the card). You can set travel alerts, lock and unlock your card, and add your card to a mobile wallet right from the app, making it easy to use while you travel.
I also found the bank’s customer service to be excellent. Most account actions, like setting up travel notifications or locking and unlocking your debit card, can be done in Schwab’s banking app. But the few times I’ve needed to call customer service, I’ve always been able to get through to someone quickly and resolve my issue without issue.
To open an investor checking account, you must also open a brokerage account with Charles Schwab. But Charles Schwab brokerage accounts are free to open and maintain, and you don’t have to actively use them to invest if you don’t want to. So while it’s an extra step, there’s really no downside.
This debit card has saved me many times traveling around the world
The best thing about this debit card is that you can withdraw money from any ATM without having to worry about foreign transaction fees or ATM fees. Even if you are used to a cashless lifestyle at home, you will need cash when you travel.
This map came in handy when I went to Oktoberfest in Munich and various Christmas markets in Vienna. In both places, most food stalls only accepted cash payments. There were usually ATMs nearby, but they were usually operated by third-party companies that charged fees.
Even if you travel to a country where credit cards are widely accepted (like much of Western Europe), many small businesses and street vendors will only accept cash, or require a minimum purchase amount to be paid by card.
It’s a similar situation in parts of Southeast Asia. At the night markets in Kuala Lumpur, for example, most food stalls only accept cash or QR code mobile wallets (unlike the mobile wallet system in the U.S.). Without a steady supply of cash, I would have missed out on many experiences while traveling.
Some countries don’t generally accept credit cards. In Morocco, I found that many restaurants, shops, museums, and even local hotels and hostels only accepted cash. Basically, I needed cash unless it was a chain store or a high-end establishment. It’s not hard to keep $20 or $50 in local currency on hand for small purchases like street food or souvenirs, but paying for a week’s stay in cash can result in high ATM withdrawal or currency exchange fees—not to mention the corresponding fees if you’re charged a percentage of the transaction.
Taxis and public transportation in some countries also only accept cash payments. It is a good idea to have some cash on hand in case your credit card is declined or you are unable to use your credit card.
Is the Schwab debit card the only way to get cash while traveling? Of course not. You can use a regular debit card at ATMs abroad – but you may have to pay a fee. You can also exchange dollar bills for the local currency of your destination at a US bank before you leave, or at a currency exchange after you arrive. But then you have to carry all your cash with you, which can be risky.
For me, being able to withdraw cash from any ATM at any time without having to worry about fees (after Schwab refunds) makes my travel experience much smoother. Specifically, this means:
- Even in airports and “tourist trap” areas, I can use the nearest ATM without having to worry about high fees.
- I don’t need to calculate how much money I need or carry large amounts of cash because I can withdraw a small amount and go back and withdraw more at no extra cost. It also means I’m less likely to leave a large amount of foreign currency behind when I leave the country.
- I never have to worry about exchanging currency or finding the best exchange rate. I always withdraw the currency I need in cash at the standard exchange rate.
How do I use my Charles Schwab Investor Checking Account?
During my eight-month backpacking trip through Europe, Morocco, and Asia, my Schwab checking account played a vital role in my financial management and travel cash management. And it wasn’t even my primary checking account.
Since I knew I wanted to use my Schwab debit card overseas, I decided to deposit the money into my primary high-yield checking account, which did not have an active debit card associated with it. As a tourist who would be on the move in unfamiliar areas all day, I wanted to be cautious in case of pickpocketing or losing my debit card. I didn’t want to risk losing hundreds of dollars if my card was compromised before I had a chance to close the account.
So I transfer a few hundred dollars into my Schwab account at a time and top it up as I use it. I put all non-cash spending on my credit card—both for the rewards and for added security. And of course, I make sure to pay my credit card charges in full every month from my primary checking account.
This system has worked well for me so far and helps me keep my money safe while traveling.
Is the Schwab Investor Checking Account Worth It If You Don’t Travel?
Even if you don’t fly around the world, the Charles Schwab Investor Checking Account is still worth considering. Its ATM fee discounts are valid in the U.S., too, and while your bank may have a domestic network of free ATMs, it’s still good to have access to the most convenient ATMs, in-network or not. While credit cards are ubiquitous in the U.S., there are times and places where you still need cash.
Cash back aside, this account is an excellent checking account in its own right, with no account fees, minimums, or overdraft fees. While its APR isn’t as high as some other high-yield checking accounts and it lacks some of the perks of newer fintech banks (like early direct deposit), it’s a great option from a large and reputable institution.
Additionally, if you’re interested in investing, linking a Charles Schwab brokerage account to your checking account will allow you to easily transfer money between the two. Charles Schwab brokerage accounts have no opening or maintenance fees, and no commissions for online stock and ETF trading.
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