If you’re an American living in Israel, an oleh, or spending significant time abroad, choosing the right US-issued credit card is critical. Using the wrong card can cost you 2-3% extra on every purchase due to foreign transaction fees and you can miss out on valuable cash back, points, or miles and other benefits. Over a year, that adds up quickly.
This guide shows the best US credit cards for use in Israel that:
- Have no foreign transaction fees
- Charge no annual fee
- Earn rewards, points, or miles
Plus, we’ll explain what works, what doesn’t, and how to maximize your rewards while minimizing costs.
What Is a Foreign Transaction Fee (And Why It Matters in Israel)
A foreign transaction fee is an extra charge banks add when you make purchases in a foreign currency or on international websites. Most US credit cards charge as much as 3% per transaction.
If you’re using a card abroad that has one, the fees can add up quickly.
Example:
- Spending $2,000 a month on a US card in Israel
- Foreign transaction fee: 3%
- Money lost: $720 annually
Even simple purchases like groceries and transportation can add up.
Why Using the Right US Credit Card Matters in Israel
Beyond foreign transaction fees, there are good reasons Americans spending US dollars would want to use a US credit card.
- You can accrue cash back, credit card points, airline miles, and hotel points
- US credit cards offer valuable benefits such as purchase protection, extended warranties, and rental car insurance.
- Maintaining a US credit history keeps opportunities open for future credit cards and loans.
Using a credit card with no foreign transaction fee and rewards ensures you keep more money while still earning benefits.
How to Choose the Best US Credit Card in Israel
Here’s what to look for in a US credit card to use abroad:
- No foreign transaction fees: Unless you’re getting extraordinary benefits from using a card with a foreign transaction fee, choose a card that avoids costing an extra 2-3% on every transaction abroad
- No annual fee: Again, unless you’re getting benefits that outweigh the cost of the annual fee, avoid cards that charge you for the privilege of having them
- Reward type: Decide if you want cash back, credit card points, airline miles, or hotel points
The Best US Credit Cards for Use in Israel
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| Card | Rewards | Benefits | Opening Bonus | Learn / Apply Link |
| Fidelity Rewards Visa Signature Credit Card | 2% Cash Back | Secondary Collision Damage Waiver, and Global Entry / TSA PreCheck credit | none | Fidelity Rewards Visa Signature Credit Card |
| Navy Federal cashRewards Plus | 2% Cash Back | Secondary Collision Damage Waiver | $250 when you spend $2,500 within 3 months | Navy Federal cashRewards Plus |
| Capital One Quicksilver Cash Rewards | 1.5% Cash Back | Extended Warranty Protection | $200 when you spend $500 within 3 months | Capital One Quicksilver Cash Rewards |
| Capital One VentureOne Rewards | 1.25 Miles | 20,000 bonus miles when you spend $500 within 3 months | Capital One VentureOne Rewards | |
| American Express Hilton Honors Card | 3 points on everyday purchases; 5 points on US gas, groceries, or dining; 7 points on Hilton purchases | Purchase Protection, Secondary Car Loss & Damage Insurance, and Hilton Honors Silver status | 80,000 bonus points when you spend $2,000 within 6 months | American Express Hilton Honors Card |
| Delta SkyMiles Blue American Express | 1 mile on everyday purchases, and 2 miles on Delta purchases or US dining | Purchase Protection, Extended Warranty, and Secondary Car Loss and Damage Insurance | 10,000 bonus miles when you spend $1,000 within 6 months | Delta SkyMiles Blue American Express |
Fidelity Rewards Visa Signature Credit Card
- Unlimited 2% cash back
- No annual fee
- Secondary collision damage waiver
- $100 credit for Global Entry or TSA PreCheck
- From time to time, they offer bonuses for card use
Navy Federal cashRewards Plus
- For eligible members, it offers 2% cash back
- No annual fee
- Secondary collision damage waiver
- Opening bonus: as high as $250 when you spend $2,500 within 90 days of account opening
Capital One Quicksilver Cash Rewards
- Unlimited 1.5% cash back
- No annual fee
- Extended warranty protection
- Opening bonus: as high as $200 when you spend $500 within 3 months from account opening
Capital One VentureOne Rewards
- 1.25 miles on all purchases
- No annual fee
- Opening bonus: as high as 20,000 bonus miles when you spend $500 within 3 months from account opening
American Express Hilton Honors Card
- 3 points on everyday purchases; 5 points on US gas, groceries, or dining; 7 points on Hilton purchases
- No annual fee
- Purchase protection as well as secondary car loss and damage insurance
- Complimentary Hilton Honors Silver status
- Opening bonus: as high as 80,000 Hilton Honors bonus points when you spend $2,000 within 6 months of account opening
Delta SkyMiles Blue American Express
- 1 mile on everyday purchases, and 2 miles on Delta purchases or US dining
- No annual fee
- Purchase protection, extended warranty, and secondary car loss and damage insurance
- Opening bonus: as high as 10,000 Delta SkyMiles bonus miles when you pend $1,000 within 6 months from account opening
