Cash or card in Iceland: Which is the best way to pay?
Should you pay with cash or card in Iceland? A handy guide including cash etiquette, Icelandic ATMs and using your UK card.
Have a holiday planned? If you’re jetting off abroad soon, you’ll need to work through your pre-travel checklist. This includes packing your suitcase, buying sun cream and checking that your UK debit card works abroad - or sorting out travel money.
Another important thing to do is check whether you can use your phone abroad, without racking up high roaming charges.
We’ll cover everything you need to know right here in this handy guide. We’ll look at how roaming works, which providers offer it and any charges you need to be aware of.
And while you’re making your holiday preparations, make sure you check out the Wise card from the money services provider Wise. It could save you money on holiday spending, letting you pay and withdraw cash like a local in 150+ countries - and all for low fees* and great mid-market exchange rates.
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You should be able to use your phone when travelling abroad. But it depends on your network provider and the destination. Most have international coverage, but there are a few gaps and exceptions.
Some destinations also have their own quirks and conditions. For example, if you want to use your phone in the USA, you’ll first need to check that your phone is compatible. The USA is currently switching off 2G and 3G networks and moving over to 4G and 5G.¹
This means that your phone will need to be compatible with something called VoLTE Roaming (also known as 4G Calling Abroad). You can check with your network provider to find out if your phone will be compatible.¹ If it isn’t, you might need to look into getting a US SIM card instead.
When you land in a foreign destination, your phone is likely to connect to a local mobile network. You should also receive a text from your UK-based provider letting you know the charges for making calls during your holiday.
Some providers have international roaming packages you can purchase. Some are data-only, but others let you use your UK allowance for calls and texts. Just make sure you know what kinds of calls are included, as anything outside your inclusive allowance is likely to have high per-minute charges.
You can potentially avoid these charges by making internet calls, if your phone is connected to Wi-Fi or you have a data roaming package.
When making a call using your smartphone on holiday, you just need to remember to replace the first digit of the number with the country code.² For example, the UK’s country calling code is +44 and the US’s country calling code is +1.
Sending texts while on holiday works similarly to calls. You’ll usually be charged per message, unless you have a roaming package which lets you access your UK allowance while you’re away. You can check the charges for texts overseas before you travel, or you should receive a text from your network when you arrive.
Want to get online while you’re away? You can use Wi-Fi in the hotel, but you might also want to use your mobile data while out and about.
Unless your provider allows free roaming (which may also be limited to certain destinations) you’ll need to buy an international data roaming package before your holiday. If you don’t, you may be charged per MB of data used and it can get expensive.
Before you travel, you may need to switch on data roaming in your phone’s settings. We’ll show you how to do that next.
📚 Read more: UK travel credit cards you can use abroad |
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Data roaming is simply when you use your phone abroad to access the internet - without using Wi-Fi. When you go online, you’ll be hopping onto a local mobile network and using its data.
Whether data roaming is free or you’ve bought a roaming package (or are happy to pay the per-MB charges), you may need to adjust your phone’s settings in order to use it.
Check with your network or phone manufacturer for specific tips on how to do it. But generally speaking, you should be able to go to your phone’s settings, find ‘Mobile networks’ or something similar and switch on the ‘Data roaming’ toggle button.
Post-Brexit, a number of mobile network providers in the UK have started charging for international roaming. This is because they’re no longer tied to EU regulations which require them to let customers ‘roam like at home’. But not all do - some providers still let you roam for free, but usually in Europe only.
Let’s take a look at some of the major mobile network providers in the UK and whether they allow roaming:³
Roaming provider | Europe | Rest of the world |
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O2 | Free roaming | £6 a day for O2 Travel pass (selected destinations) |
EE | £2.29 to £2.50 a day | Add-on package required, depending on destination |
Three | £2 a day for contracts | £5 a day for Go Roam pass (70+ destinations) |
Vodafone | £2.25 to £7 a day | £6.85 for Roam Further package (100+ destinations) |
BT Mobile | Free roaming | £6 a day for Travel Data Pass (selected destinations) |
Sky Mobile | £2 a day | £2 a day for Roaming Passport Plus (selected destination) |
VOXI | £2.25 to £15 a day | £15 to £25 for Global Roaming Extra pass (70+ countries) |
First of all, check what your current mobile network provider charges for international roaming. If you’re going to Europe, it may well be free - or you can buy a relatively affordable international roaming package.
If it’s too expensive or your destination isn’t covered, you may want to look elsewhere. When choosing a roaming provider, check the following:
If roaming isn’t free or covered under an international roaming package, you’ll likely be charged per text, per minute of calls and per MB of data used.
The charges can vary considerably depending on your network and destination.
But to give you an idea of how much it could cost, here’s a look at what two major providers - O2 and Vodafone - charge for roaming in two popular destinations outside of Europe:
Provider | Costs for roaming in USA | Costs for roaming in Australia |
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O2⁴ | Calls - £2 per min | Calls - £2 per min |
Texts - £0.50 per text | Texts - £0.50 per text | |
Data - £7.20 per MB | Data - £7.20 per MB | |
Vodafone⁵ | Calls - £0.60 per min | Calls - £0.60 per min |
Texts - £0.08 per text | Texts - £0.08 per text | |
Data - £0.12 per MB | Data - £0.12 per MB |
Fair Usage Limit is a cap on the amount of data you can use per day, and each network sets its own. If you go over this limit, you could be charged.
So, check with your network and consider setting a data cap on your phone so you don’t accidentally exceed the limit.
And that’s it - all the essentials you need to know about using your phone abroad. We’ve looked at how to make calls and texts, which providers offer international roaming and the roaming charges you need to watch out for.
So, you can check with your network, buy an add-on roaming package if needed and get ready to enjoy your trip. Wherever you’re flying off to, don’t forget to pop your Wise card in your travel wallet. It could save you a bundle when spending abroad.
Sources used for this article:
Sources checked on 10-Nov-2023.
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
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