Euro's and pounds vs. credit cards

ls,

I'm not sure where you read that certain countries are "cash only societies", but in terms of the three countries you mentioned that's a lot of rubbish! Whichever publication said that needs to go into the bin!

I've used credit cards in all those countries on numerous occasions, with no problems at all. It's common especially in Italy for smaller businesses to only accept cash, but larger hotels, restaurants, etc. will accept credit cards. I had no problem with credit cards in Croatia either (haven't been to Japan, so can't comment on that).

I'm normally prepared to spend cash for any smaller transaction, much different from my usual pattern in the USA. If a small B&B takes cash only, you'll know it in time to hit the ATM. It's a good idea to have your bank raise your daily cash withdrawal limit before traveling. See also https://www.ricksteves.com/travel-tips/money/pay-credit-cards-vs-cash.

I've spent some time in Germany, and I have a few observations.

1. I've never paid with anything but cash at restaurants, and I don't think most places I've eaten at take credit cards. Big places in big cities probably do, particularly in very touristy areas.

2. I think lots of mon 'n pop pensions and guesthouses don't take credit cards. When I see accommodations that take credit cards, they are usually the more expensive ones, so if you want to save money, take cash.

Over the last 10 trips, 21 weeks, I've probably averaged using my CC once per trip, mostly for train tickets. One my last trip, I used it twice, at shops in Oberstdorf and Munich, all touristy areas.

On trips I use my credit card only for hotels. I still have to encounter a hotel in Europe which doesn't accept it. Last time in Italy even simple B&B's turned out to prefer payment by credit card.
Restaurants and the like I do cash. Every few days I go to an ATM to fill up my wallet again. Done in five minutes. It's also practical for the odd situation in which the credit card machinery doesn't work. I had it once at the check-out of a hotel, while I had to a train to catch. I'm glad I had enough cash with me to pay the bill.

We've used credit cards in all three of the countries to which you'll be traveling. Can't really remember any places that didn't take cards at all, although there have probably been some. At any rate, we do use cash for smaller purchases and it's always a good idea to have cash in case there are problems with the card readers.

I haven't come across a hotel anywhere that doesn't take credit cards, but I haven't been to Japan.

Here in England, I think it's gone the other way and there is talk of supermarkets ceasing to accept cash. People in the south tend to pay by credit card (even if only buying a sandwich or Starbucks) more often than northerns who tend to pay cash, unless buying a larger ticket item. All national chains accept credit cards as do most local shops. My hairdresser is cash only. Petrol stations take both and most pay on credit or debit card. Places such as local, independent tea shops are often cash only. Buses in some areas are cash only, whereas London buses don't accept cash these days.

In Germany, supermarkets Aldi and Lidl only started accepting credit cards last year. Cash is king in Germany.

In Croatia, you will need a mix if cash and credit. About half the restaurants I have eaten in are cash only. Ferries take credit as do petrol stations and supermarkets. Local markets are cash only as are coffee shops. France and Italy are similar.

I went to the free Reykjavik travel lecture in Edmonds on Saturday. It was a very informative and interesting presentation. One thing the presenter stressed is that in Iceland, they don't want your cash. In almost all places, they prefer it if you pay by card. He doesn't know why, just that he found it to be true.

I do know the apartment owner in Paris where we are going to stay is giving us a discount for paying in cash. He didn't even ask for a cc for a confirmation. It's the only place that didn't.

I personally find cash to be a PITA anywhere so I'm always happy to use my debit card (in the U.S.) but that's just me. I lived in Japan for many years and always used cash for everything and when I visit, I still do (although that might be more habit than anything else!). Japan is odd in so many ways and that's one. Credit cards are obviously becoming more common but many places will still prefer (or only accept) cash. ATMs are everywhere and Japanese people use them to withdraw cash and make payments and withdrawals so you can get cash as long as you use the machines with the right logos.

Have you read RS articles on "Cash and Currency Tips > Pay with Plastic or Cash". They can be found elsewhere via the Travel Forum (check out the listings on the right hand side of that screen). These pretty much say what I have found to be true in traveling thru Europe in 13 of the last 14 years. I may or may not have used a credit card once every year.

I think as most have stated, you will be able to use a credit card for many transactions. Most hotels, except the smaller ones will take credit cards, some medium size ones may have a surcharge to use a credit card or offer a discount for cash. Any shop in a touristed area will take credit card as will most name brand or chain stores, though some may balk at a card for small amounts. Of the countries you mention, figure the more Urban areas will take cards, the further afield you go or the smaller the shop, there may be less enthusiasm to take a card. Also, England to me, seems highly adapted to plastic, especially London. France maybe somewhere in the middle, with maybe Italy being a bit more reluctant to take plastic except in larger cities.

One thing not mentioned is the need for a card with an EMV chip. You likely will not be able to have full chip and pin, but if your card has a chip, it will help with transactions and may work in automated kiosks for small amounts (topping up your Oyster card in London). Your Mag strip card will still work though in nearly every place.

Rick Steves article https://www.ricksteves.com/travel-tips/money/pay-credit-cards-vs-cash is probably the worst piece of advice on this entire site. It's so overly generalizing that it's hard to take serious. As the different replies in this thread shows, it's very much different from country to country. In the Scandinavian countries cards are king and some places (most noteworthy the ABBA Museaum in Stockholm) only accept cards. Germany is wierdly enough the exact opposite, most restaurants, even major chains, don't accept cards, though you can use cards in supermarkets. The list could go on.
Basicly it makes no sense to discuss this on a European level, since it is very different from country to country.

There are a couple of oddities about using cc's in Italy. One is the " my machine for cc's is broken" ploy. I don't mind paying cash when a business is up front about it; but to display the cc logo, and tell that ridiculous lie, seems basically dishonest.
Another problem you may encounter is the rejection of American cc's by automated kiosks on autostrade, ticket machines, and filling stations. Get familiar with the ins and outs of chip-and-pin (well covered on this site), and ALWAYS have a backup supply of cash.
We have traveled in Croatia recently, and had no problem using cc's. Also don't recall any problems in France or England, but see above on chip and pin.
Btw, for all you out there, we successfully used our unchipped debit card to buy tickets from a Vienna Ubahn machine. Of course, that card does have a pin.

Many small B & B's take cash only, but they will tell you this upfront so you can be prepared.

Going the other way, having a chip-and-signature card saved us last week in France where the GPS directed us onto a toll road and we were able to exit using the card (non-cash lane -- toll was about €0.80) so it's very handy to have. Also RER station at CDG airport where machines did not take bills and there was a linexpensive at ticket counter. No signature required on these smaller purchases.

I found the Netherlands to be very cash-only
There is almost no shop to be found in the Netherlands without the possibility of paying by debit card. Indeed shops prefer it that way, even for small amounts, because it's much safer than having cash around.
It's still usual to pay cash in restaurants and cafes though, if only because it allows for a friendly way to leave a tip.

Hi,

If you stay in Germany, where most of my experience has been, with France in second place, you can pay with a credit card at 3 and 4 star hotels, train stations, DB ticket machines, retailers such as book stores, (say, you buy magazines and newspapers totaling 20 Euro, I've paid with a credit card, other times with cash), restaurants, credit card or cash, depending on the amount, obviously. At Pensionen mostly with cash.

Germany seems to be more of cash society, much more so than France. I've used the credit card to buy groceries, etc at Monoprix, paid the hotel bill even for one /two nights with a credit card. Certain restaurants always took a credit card in Germany, whether it was 14 Euro or 24 Euro as the final bill. These were the Chinese restaurants. I would surprised if you ate at Karstadt, dept store café/restaurant, the credit card would not be accepted.

In England when using a credit card to pay at a B&B, you could be charged a surcharge of 2-3% for that luxury, maybe more. They'll tell you what the price is in cash, likewise what it's with a credit card., sometimes at a pub too when ordering a meal. Bottom line...no problems with the credit card in France at hotels and restaurants.

Surcharging cards in the UK is pretty unusual - only the travel industry seem to indulge themselves with it.

When I was told of this surcharge in London in 2009, I was surprised to hear of this practice, had never had this experience in France or Germany. I compare it to the practice here in Calif when buying gas. You pay cash, it's the cheaper price per gallon, paying with a credit card, you could pay a price a nickel higher per gallon.

the big chain supermarket is cash-only
Even the down-market Aldi has payment by card. It could be some shops don't accept credit cards, but I can use my chip-and-pin bank card even at the fish stall on the market.

It could also be a situation where the credit card Visa or Mastercard accepted is one that foreign tourists don't have. This happened once to me in Germany...in Dresden. I asked if the credit card was accepted, was told yes. Then when the cashier saw my US Mastercard, he said only the Eurocard was accepted. Fair enough.

"having a chip-and-signature card saved us last week in France where the GPS directed us onto a toll road and we were able to exit using the card (non-cash lane -- toll was about €0.80)"
You certainly were lucky, Laura B. Last week I was driving on a toll road outside Paris in horrendous traffic, and when we approached the tolls, which had about 40 gates, I got stuck in a card-only lane. I tried my Andrews chip and Pin with no luck, then a chip and signature with no luck. I had to buzz for help and eventually a person came and took my cash and opened the gate. Meanwhile, half the drivers in France were cursing at me. Otherwise, though, I used credit cards almost everywhere with no problems, as I always have in France, except when I knew I wouldn't be able to -- at one B&B. Gas stations (including unmanned ones), small hotels, restaurants, grocery stores, small wineries, etc.

I really wish I had a chip and pin debit card. I was in Scandinavia a few years ago and it was like the commercial where everything runs like clockwork until one person uses cash and holds up the entire operation.

I think over the last decade, and at an increasing rate, it's getting to be the norm to use a debit card rather than cash in many places. If anything, it may be a reason why thieves target tourists - they're the only ones carrying any cash.

Even a few years ago, I would have advised to plan to use cash at smaller retailers and cafes but credit cards are fine for planes, trains, rental cars, hotels and nicer restaurants.

Today there's a good chance a Chip and Pin debit card (when we get them) will be all you need in most circumstances except where you would prefer to use a credit card (planes, trains, rental cars, hotels and nicer restaurants).

In countries that are going cashless, is it common that people make even very small purchases with a card?

After having three debit cards and two credit cards compromised over the last few years, I am a big fan of cash.

Stan,

Yes, especially in Scandinavia. I noted people using their debit card virtually everywhere, and for very small purchases.

I have a no-fee ATM card and I find it easier to take small sums every couple of days and pay cash for most things. That way I can keep the credit card safely tucked away in my money belt or hotel safe. If I'm planning a large purchase, I would probably use the credit card. I don't recall having problems using a credit card in Italy, France or England, but I haven't tried to use it for purchases under €20 for the most part. I have occasionally gotten 5-10% discounts on hotels by paying cash in Paris and Italy.

Most Germans have debit cards. I believe it's just like the U.S., your account is debited immediately, the vendor gets paid quickly by the bank and there are no fees. Many/most stores in Germany don't want to pay the fees and/or wait for payment. It may have changed, but 4-5 years ago when I was in Berlin, even Ikea didn't take credit cards.

Bad news. We were in Austria recently, and every atm we used informed us that a fee would be charged for our transaction. Makes our no foreign transaction fee cc look like a better option than cash (until the banks figure out some new junk fees).

Some credit unions not only don't charge fees for use of ATMs, they refund any fees charged by the ATMs themselves. Perhaps there are some other card issuers with that policy. Maybe Schwab or Capital One?

Some credit unions not only don't charge fees for use of ATMs, they refund any fees charged by the ATMs themselves. Perhaps there are some other card issuers with that policy.

I think TD Bank may do that, at least for a certain level of account. But I've never had to test it, since there have never been any ATM fees in France.

Schwab's ATM has no foreign transaction fee and rebates any fees charged for withdrawals throughout the world. It's easy and free to establish and maintain the related checking account.