A guide to using credit cards in Spain

Quick insights

• Credit cards are accepted by many businesses throughout Spain
• There are fees you may be charged when using credit cards abroad, such as foreign transaction fees, though there are ways to avoid depending on which card you have. Refer to your credit card’s account terms for specific information.
• It’s generally advisable to carry euros for smaller purchases.

Savoring paella in Valencia, admiring the architecture in Barcelona, enjoying wine in the La Rioja region—no matter what you’ve got planned for your upcoming trip to Spain, you’ll likely need an accepted payment method to fully experience all the country has to offer.

Credit cards usage in Spain is fairly widespread, as it can be a convenient way to pay for your adventures. However, it may be helpful to know how to navigate the potential fees that come with using credit cards abroad. Additionally, cash can come in handy for certain purchases, such as buying churros for a few euros at a shop that has a minimum purchase requirement for credit cards.

Read on to learn more about using credit cards in Spain, including when cash may be necessary and strategies to help minimize the fees associated with foreign transactions.

Using credit cards in Spain

Credit cards and other electronic payment methods (including contactless payments via digital wallets) are generally accepted throughout Spain, particularly in major, tourist-friendly destinations and by large chains. Many businesses accept Visa and Mastercard, and some accept Discover and American Express.

While credit cards are widely accepted, it may be a good idea to bring multiple forms of payment, including euros, to make purchases in Spain. Additionally, familiarizing yourself with the terms of any payment method you plan may make your transactions smoother.  

If you intend to use your credit card in Spain, be aware that credit card issuers, including Chase, don’t require you to notify them before an international trip. Travel notices are no longer required thanks to advancements in fraud detection technology.

Euros may be necessary for purchases in small towns or rural areas, for tipping staff or when shopping at some small businesses like tapas bars, cafes and local markets. Converting currency with your bank or credit union before your trip often provides a competitive exchange rate. During your trip, using an in-network ATM may also offer a favorable exchange rate. 

Potential credit card fees while traveling in Spain

If you’ve ever used a credit card abroad, you might be aware that fees could be charged on international purchases. Here are some things to know about potential fees when using credit cards in Spain:

Foreign transaction fees

Many credit cards charge foreign transaction fees on international purchases, usually ranging from 1% to 3% of the transaction amount. These fees help banks cover the cost of processing international transactions and mitigate risks associated with fluctuating exchange rates.

You may be able to avoid foreign transaction fees with certain credit cards, including some travel rewards credit cards. Some of these cards don’t charge foreign transaction fees and may come with rewards and benefits designed with travelers in mind. Note that travel credit cards typically come with an annual fee.

Currency conversion fees

Banks might charge you a currency conversion fee—usually around 1%—when you use a credit or debit card or withdraw euros from an ATM in Spain. This fee is sometimes included as part of the foreign transaction fee.

Dynamic Currency Conversion (DCC) fees

When paying with your credit card at a payment terminal, you might be given the option to pay in your home currency. This convenience usually comes with fees and an unfavorable exchange rate.

By choosing to pay in euros, you can avoid DCC fees. If you’re not given the option to pay in euros, you can request it from the merchant.

While selecting this option helps you avoid DCC fees, you’ll still be subject to any fees and exchange rates associated with your credit card. However, your credit card’s terms may be more competitive than those offered by DCC services.

Pros and cons of using credit cards in Spain

Whether you’re planning to make purchases at the tapas bars of Seville or the Spanish fashion houses in Madrid, credit cards can be a convenient option. However, this payment method has potential drawbacks.

Here are some of the pros and cons of using credit cards in Spain:

Pros

• Credit cards are widely accepted by many Spanish businesses.
• They may offer you tools you can use for fraud protection.
• Credit cards allow you to make major purchases without carrying large sums of cash.
• Travel rewards credit cards often allow you to earn points on trip expenses, including flights, hotels and dining out.
• Some credit cards provide travel protection benefits, such as coverage for lost luggage or trip cancellations.
• Credit card statements and digital banking tools can help you track your expenses.

Cons

• There’s a risk of overspending if you don’t budget and track your spending carefully.
• Some credit cards charge foreign transaction fees for purchases made in Spain.
• Monitoring your credit card account for unauthorized charges during your vacation can be burdensome.
• Choosing to pay in U.S. dollars may result in DCC fees charged by the merchant.

In summary

Credit cards and other electronic payment methods are accepted by many businesses in Spain. However, you may incur foreign transaction, currency conversion and DCC fees when using your credit card abroad. Refer to your credit card’s account terms for specific information.