Seven years after it began changing the rules of the game in the Israeli tourism industry, Secret Flights is making another move — this time in the Israeli credit card market. The company, which has amassed over one million users, is launching an exclusive credit card for its seventh anniversary with a significant advantage: 0% foreign currency fees on all purchases in the tourism sector. The company joins PassportCard, which announced the launch of a credit card that eliminates conversion fees.
The new Mastercard, issued by CAL (Israel Credit Cards), offers its holders a full and permanent exemption from conversion fees on flights, hotels, cruises, and car rentals abroad. Unlike the vast majority of credit cards in Israel that charge conversion fees, Secret Flights’ card promises: “No refunds, no limited time, zero fees always.”
Premium Subscription and Early Access
Cardholders will receive a free premium subscription on the Secret Flights website, which includes additional discounts on flights and early access to price drop alerts. Additionally, they will enjoy a variety of other benefits for vacations. The card will also offer a 1% fee on all other foreign currency purchases unrelated to tourism, which is still considered relatively competitive in the Israeli market.
The launch comes at a time when foreign currency fees have become a particularly sensitive issue for Israelis traveling abroad. Most credit cards in Israel charge conversion fees ranging from 1.75% to 2.5% on foreign currency transactions, adding a significant cost to travel.
The company, which began in 2018 with a model of offering heavily discounted flights for a limited time, succeeded in building a loyal customer base and becoming a central player in the Israeli tourism field. Today, with over one million users, it is trying to leverage its market power to offer a financial service that complements the travel experience.
Competition Intensifies
Secret Flights’ move comes at a time when the credit card market for travelers is becoming more competitive. After other companies started offering solutions for foreign currency fees, Secret Flights is trying to differentiate itself with an offer that looks especially attractive to its existing customers.
The question is whether the business model can sustain itself in the long term, and what the accompanying conditions for the card will be. In the credit card field, such benefits are usually accompanied by minimum income requirements, annual fees, or additional conditions.
For Israeli consumers, especially those who travel frequently abroad, the new card may represent an interesting alternative to existing cards on the market — provided the overall terms prove competitive.