During spoken word processing, native (L1) listeners use allophonic variation to predictively rule out word competitors and speed up word recognition. There is some evidence that second language (L2) learners develop an awareness of allophonic distributions in their L2, but whether they use their knowledge to facilitate word recognition online, like native listeners do, is largely unknown. In an offline gating experiment and an online eye-tracking experiment in the visual world paradigm, we compare advanced French learners of English and a control group of L1 English listeners on their processing of English vowel nasalization during spoken word recognition. In the gating task, the French listeners' performance did not differ from that of the English ones. The eye-tracking results show that French listeners used the allophonic distribution in the same way as English listeners, although they were not as fast. Together, these results reveal that L2 learners can develop novel processing strategies using sounds in allophonic distribution to facilitate spoken word recognition.