Travelers cheques

[cccole]

Does the front desk cash travelers cheques without charging a fee?

 

We used to get travelers cheques in pounds for travel to England. But the last time we did that, the banks were charging a fee for cashing them--even though they were already in "local" currency. The fee to cash the travelers cheques was more than the fee for the ATM.

 

I don't think travelers cheques are the most economic way to get local currency but work for us when needed. I would definitely use an ATM before cashing a travelers cheque. I believe that even when cashing them at an AmEx office there is a fee. Their website would verify that. However, on a tour in South Africa our guide was thrilled to have us sign over travelers cheques as payment. Cherie

[rkacruiser]

I don't think travelers cheques are the most economic way to get local currency but work for us when needed. I would definitely use an ATM before cashing a travelers cheque. I believe that even when cashing them at an AmEx office there is a fee. Their website would verify that. However, on a tour in South Africa our guide was thrilled to have us sign over travelers cheques as payment. Cherie

 

It's been a long time ago, but I was very surprised cashing an AmEx traveler's check at Copenhagen's AmEx office that I was charged a fee for doing so.

[Underwatr]

American Express issues them with a AAA logo at the top of the T.C. At least, that was what I experienced when I last purchased any through AAA.

How long ago was that?

[cccole]

I don't think AAA issues American Express Travelers Checks now. They offer Visa Travel Money Cards for purchase. Of course there was always a charge for travelers checks also. We have a separate travel credit card with our bank that we can reload when necessary. American Express Travelers Checks purchased from Am Ex or an associated bank will not have AAA on them but there will be the normal charge. They do not expire. Cherie

[Hlitner]

I don't think travelers cheques are the most economic way to get local currency but work for us when needed. I would definitely use an ATM before cashing a travelers cheque. I believe that even when cashing them at an AmEx office there is a fee. Their website would verify that. However, on a tour in South Africa our guide was thrilled to have us sign over travelers cheques as payment. Cherie

 

And where would you find an AMEX Office? All the USA offices were closed by 2013 and I cannot recall the last time I have even seen an AMEX office outside the USA. They do still have some authorized agencies, but these are private and work typical private office hours.

 

Hank

[sppunk]

I had no idea what these were and googled. They were ATM cards before ATMs existed apparently. Seems crazy to me to go out of the way to get something when I can use any ATM in any county and get money in 15 seconds. To each their own!

[Caribbean Chris]

I still use Travelers Cheques, and can't imagine cruising without them. I love being able to get US currency at the Front Desk in order to have enough cash to get home. I have money to tip the wheelchair pushers, and pay the cab driver, and don't have pressure to get to a bank so I have money for daily expenses.

I absolutely don't want to carry excess cash with me when there is a safe alternative. Travelers Cheques do the trick.

 

Another safe alternative suggestion: contact HAL before sailing to purchase onboard credit for your shipboard account. (Can be done online under Shipboard Indulgences.) Then the day before leaving the ship, you could stop by the front desk and receive it back in cash for your trip home.

[Hlitner]

Another safe alternative suggestion: contact HAL before sailing to purchase onboard credit for your shipboard account. (Can be done online under Shipboard Indulgences.) Then the day before leaving the ship, you could stop by the front desk and receive it back in cash for your trip home.

 

And how does that work when you have 20+ ports on a long cruise? Or perhaps if you decide to spend a few weeks or months in Europe or Asia before or after the cruise?

 

Hank

[RuthC]

Another safe alternative suggestion: contact HAL before sailing to purchase onboard credit for your shipboard account. (Can be done online under Shipboard Indulgences.) Then the day before leaving the ship, you could stop by the front desk and receive it back in cash for your trip home.

Wouldn't the ship apply the OBC I purchased to my bill before refunding any balance? (ha! as if there would be a balance!)

[3rdGenCunarder]

My bank in Australia doesn't sell travelers checks anymore, but instead sells Travel Money cards. I can pre-load it with up to 4 different currencies when it's convenient for me and the exchange rates are as favorable as possible. When I use the cards, either like a credit card or at an ATM for a cash advance, I do not pay an exchange rate because the cards are loaded in the local currency.

 

I think it's the best possible solution right now. And since the card is a separate account, it's not connected to any of my other accounts so if it gets stolen all I have to do is cancel it and the thieves don't have access to anything else.

 

This sounds intriguing. I like the convenience of multiple currencies on one card. So when you use it, does the machine default to its native currency and know to deduct from that balance?

[sail7seas]

It's been a long time ago, but I was very surprised cashing an AmEx traveler's check at Copenhagen's AmEx office that I was charged a fee for doing so.

 

That is not good. I remember when they used to provide the TC's free to card holders and certainly did not charge to cash them.

[sail7seas]

And where would you find an AMEX Office? All the USA offices were closed by 2013 and I cannot recall the last time I have even seen an AMEX office outside the USA. They do still have some authorized agencies, but these are private and work typical private office hours.

 

Hank

 

You wouldn't need a n Am Ex Offcie......... think Fed EX or,,,, AAA office,

[cccole]

And where would you find an AMEX Office? All the USA offices were closed by 2013 and I cannot recall the last time I have even seen an AMEX office outside the USA. They do still have some authorized agencies, but these are private and work typical private office hours.

 

Hank

 

You are correct. Between 2009 and 2013 all their offices were closed both overseas and domestically. Travelers cheques are becoming more difficult to use and purchase. Cherie

[ellieanne]

This sounds intriguing. I like the convenience of multiple currencies on one card. So when you use it, does the machine default to its native currency and know to deduct from that balance?

 

Yes. When you load it, you load a particular amount in each currency so 100 US, 100 CDN, 100 Euro, 100 GBP and it will deduct from the balance in the local currency. But if what you're buying is over the amount in the local currency, it will deduct the difference from the next highest balance currency as if it were the local currency, with no conversion fees. There could be some local ATM fees charged in the local currency, but the Australian bank does not change ATM fees or conversion fees at the time of use.

[whogo]

Prepaid debit cards issued in the USA were a bad deal when I investigated them. Loading one with foreign currency was a worse deal than loading US dollars and letting the card company do the conversion. Here's my report from 2009:

 

 

Card Purchase Fee $ 4.95

Load fees

$100.00 - $500.00 = $10.00

$501.00 - $1,000.00 = $20.00

$1,001.00 - $1,500.00 = $30.00

 

Inactivity fee: You will be assessed an inactivity fee of $1.25 per month if your Card remains inactive for 12 consecutive months.

 

Replacement Card fee: If your Card is lost or stolen, there will be a fee of $5.95 to replace it.

 

ATM fee: The domestic ATM withdrawal fee is $1.50. The international ATM withdrawal fee is $3.00.

 

Shortage Fee: If your card does not have the necessary funds available and we authorize the transaction you will be charged a shortage fee of $15.00 payable to us.

 

Foreign currency conversion: 3% above the rate charged by Visa. [4% total]

 

The worst case scenario would be to load $100 onto the card. This costs you $114.95. With a $3.00 international withdrawal fee you could withdraw $97 worth of foreign currency. With their 4% foreign currency fee you could withdraw $93.12 worth of foreign currency. The $93.12 worth of foreign currency cost you an extra $21.83 or 23%. This assumes you can withdraw exactly $93.12 worth of foreign currency. You can not.

 

The best case scenario, making the impossible assumption that you can withdraw the exact amount in foreign cash, costs you 7.2%.

 

Forget the prepaid card. Use a regular credit card for purchases and a regular debit card for ATM withdrawals.

[Underwatr]

Thanks for looking that up, whogo. I was aware of that but didn't have a concise link.

[Hlitner]

You wouldn't need a n Am Ex Offcie......... think Fed EX or,,,, AAA office,

 

I am talking overseas (outside North America) :). There are no AAA or CAA offices. You can go to Europe or Asia with all the TCs you want....but can you cash them? Or use them? Imagine trying to cash a TC in Beijing or Bangkok. Or even in Paris you are going to have problems. There is nothing like relying on something that is not acceptable in most places. It is primarily on the HAL blog (where there are many seniors who refuse to deal with new technology) where the TC issue continues to thrive. Look on most other cruise line blogs and its no longer mentioned. Personally, I miss the safety and security of carrying TCs as a backup...when we take long trips. But our extensive international travel has forced us to change our habits. We now carry 3 different ATM/Debit cards (each is drawn on a different bank/account) and the 3 major credit cards. The HAL cruisers that do not also do land trips (we love to drive in Europe) can get away with TCs. But for travel, they are an obsolete medium...with minimum usefulness.

 

And even ATM/Debit cards have their issues. One needs to remember to notify all their issuing banks of their travel plans. And you have to work with the daily withdrawal limits (another reason to have multiple ATM cards) which can vary depending on your bank and the ATM owner. Some cruise lines will no longer even cash TCs and we are starting to see more and more ATM machines on cruise ships!

 

And consider this. In many cities if you could find a FEDex office it is likely to be some distance from your position. Looking for a cambio or bank that would cash a TC might take you hours (not to mention using taxis) and would not be helpful if you were in that place on a bank holiday or after hours. ATM machines are darn near everywhere. It is hard to walk a block in most countries and not see at least one ATM. They work 24/7 and generally get you the best exchange rates (generally the wholesale rate of exchange minus 1%). I just looked at what a few US based outfits that will sell currency (via mail) charge. In most cases it seems to be 6-10%...and some even add on shipping charges! Most US banks do not even handle foreign currency (Wells Fargo is one major exception). Consider that Travelex will give you about 740€ for $1000 (today's rate). But the real exchange rate would be 810€ which means most European ATMs would give you about 800€. That is a pretty big difference.

 

As to ATM fees, 2 of my 3 ATM cards charge zero foreign exchange fees (other then the 1% discount assessed by Visa International who handles nearly all ATM transactions). There are some folks here in the USA that have ATM/Debit cards that do charge all kinds of extra fees....but those folks get what they deserve because they do not shop around for a bank or credit union that does not charge ridiculous fees (charged by most large commercial banks).

 

Hank

Edited March 21, 2018 by Hlitner

[cccole]

Nice lecture Hiltner, congratulations on all your credit and ATM cards, and your imagined superior knowledge of travel than others expressing their opinion.

 

I'm just going to address your presumption that cashing travelers checks in Beijing and Bangkok would be ridiculous and futile... in Bangkok there are four locations of the Krungthai Bank, and in Beijing there are 6 locations where travelers checks can be exchanged including 4 locations of the Bank of China.

 

It pays to do your homework before traveling and what works for you may not work for others. I just don't see the need to assume superiority in travel and adventure because you have a different opinion. Your opinion as well as others is valid and important, unfortunately you felt the need to include insults in your opinion. "...those folks get what they deserve." Because they have an ATM card that does not waive the service charge worldwide? Really? Happy travels to you, Cherie

Edited March 22, 2018 by cccole

[Hlitner]

Nice lecture Hiltner, congratulations on all your credit and ATM cards, and your imagined superior knowledge of travel than others expressing their opinion.

 

I'm just going to address your presumption that cashing travelers checks in Beijing and Bangkok would be ridiculous and futile... in Bangkok there are four locations of the Krungthai Bank, and in Beijing there are 6 locations where travelers checks can be exchanged including 4 locations of the Bank of China.

 

It pays to do your homework before traveling and what works for you may not work for others. I just don't see the need to assume superiority in travel and adventure because you have a different opinion. Your opinion as well as others is valid and important, unfortunately you felt the need to include insults in your opinion. "...those folks get what they deserve." Because they have an ATM card that does not waive the service charge worldwide? Really? Happy travels to you, Cherie

 

 

So, when you are in a huge city like Beijing (with a population in excess of 21 million) , you would have to get yourself to one of 4-6 locations..during normal banking hours....and then wait in a queue just to cash a TC? And in Bangkok, given the situation with traffic (where it can take an hour to go a few blocks if you need to use a taxi) you are going to spend your time getting yourself to one of 4 locations (in another huge city) during normal banking hours just to cash a TC? Why? You can simple walk no more then a block or two, where you will find multiple ATMs which work 24/7. China does present its own challenges some ATMs will not work with foreign cards. In such cases the best back-up is cash as any hotel or money changing place will exchange cash (no problem with US Dollars or Euros). Most of those places have signs saying "no travelers checks" or they don't have a sign because they have no clue as to what a TC is.

 

And yes, many ATM cards do not charge any extra charges for use. If you do not have a local bank you could simply set up an account (online) with Capital One, Andrews FCU, or many other establishments that have fee-free ATM cards. Not sure why you are attacking the messenger (we see too much of this here on CC)...but I am simply posting the same information you would get from nearly every travel expert such as Rick Steves, Fodors, etc. In fact, I would challenge you to find a single reputable travel expert that has recommended using TCs. Even most (if not all) AAA offices have stopped selling TCs...and now sell pre-loaded travel cards (these are like prepaid Visa cards that work in ATMs. My goal here is not to lecture "experts" such as yourself who always know what is best....but rather to help those who are seeking help.

 

Hank

Edited March 22, 2018 by Hlitner

[bennybear]

Thanks Hank for the reality check. Not cheque ;)😉

 

 

I like the idea of more than one ATM card, we have at times found they wouldn’t work. Once in Deep South Italy we had the machine abort a transaction but our bank thought it had gone through, Well that was an adventure with carabinieri, and months to get our funds back but we did get it back! But all the other times those machines quickly spit out the money.

 

 

I agree that travellers Cheques were good in the good old days but today they are pretty much useless.

[sail7seas]

I still have some left over AmEx T checks and next time I am at my bank, i ill casht hem. I liked keepinge TC's elft over from travel in my purse for emergency cash if I ever wanted it. So few places accept them now, it no lneger serves that purpose but is still 'real money' and i"ll convert it to greenbacks. :)