Credit/Debit/ATM fees

In the situation your described it would be more economical to use your credit card. Many of us have debits cards, primarily through credit unions, that do not charge any fees thus cash has advantages. Cash also decreases the risk of having your credit card compromised during your trip. The risk is low but still a possibility. Second, especially with hotels, you can often get a discount for cash payment in the range of 5%. So even if you pay 2% for your cash but get 5% you are still ahead.

You are already dealing with Capital One. You have time if you start now (30 day hold or such transfer on new accounts) to open their online Hi-Yield Money market Account, which you can then deposit to directly from any account of yours elsewhere. And get the free ATM cards. Reason: No fee from them for using any ATM, and as you probably know, no ATM fees are charged by ATMs that are bank-owned in Europe. Their limit is now $600 US per day, and the interbank rates cost you less than 1/2% in conversions.
Then you have the best of both worlds. You get to use cash as much as possible and still have a credit card for something large where cash is too much to carry or does not get you any discount. And, you don't have to worry about any of the various scammers copying your credit card (see the Graffiti Wall). Note that you will be in Switzerland, and this will give you an easy way to get their currency, and manage this for simply what you will need. The euros elsewhere can always be stockpiled.

Using cash can be an advantage, too, in places that won't take a credit card (small shops, street vendors, small purchases). Do check your local credit unions for cheaper ATM cards. Ally Bank online has an ATM card that charges only 1%, and refunds any out-of-network ATM charges you might encounter (though in Europe you aren't likely to be charged one).

There is nothing wrong with using your CC for as many purchases as possible. But you will need some cash and for that, using an ATM to withdraw from a checking or no-fee money market account is the best approach. The main discussions are for people that want to buy all their cash ahead of time (bad idea) or take dollars with them and exchange in Europe (horrible idea).

Larry has said it best.

You should always have some cash on you. Some hotels won't accept credit cards and others charge a fee if you pay with a credit card. And as other posters have said, some stores are cash-only. Things might be changing now, but Europe has been more of a cash society than the U.S.

Schwab also does not charge fees. We opened an account specifically to use their ATM card, plus Capital One for our credit card. We stay at small B & B's who only take cash for payment, so we go ahead and pay cash for everything. Our credit card is basically just a back up in case we need it. It is nice knowing that we have no fees on top of the already high price of the Euro!

I've averaged just over €30/nt staying in 21 places in 52 nights over the last 7 years. Outside of major cities it was €28/nt. Only one of those 21 places took credit cards. Does anyone see the connection? It's not whether your ATM card has fees. Places that take credit cards are more expensive. If you want to save money, use cash.

Thanks everyone, for your advice! I'm looking into opening the Capital One High Yield Money Market account, so that we have access to both cash and credit with minimal fees.