A few months ago, I too finally got fed up with paying a 3% foreign transation fee on our primary card. After extensive research, including a very informative thread here on TTOL, I settled on CapitalOne's Venture card with the 2% cash back feature (note: they also offer a 1.5% rewards card, with slightly different cost and benefit structure). Bottom line: I am a happy customer so far, after receiving a substantial signing bonus and running my first island charge through (a hotel reservation) with no problems and prompt credit to my points account.
Week 5051 provided an excellent summary of the CapOne card. I would only add that you have a couple options for using your points: 1) call them, and ask for a monetary credit against any travel related charges on your statement, or 2) receive periodic rebate checks directly from CapOne.
