Question about credit cards, money, euros, etc.

Megan, As this is your first trip to Europe, I suspect it was mentioned in one of your Threads that it would be a really good idea to read Europe Through The Back Door prior to your trip. As I recall, the questions about "money" are addressed in the book. I'm not going to reiterate the suggestions about taking cash advances, as that's been well covered. ATM cards are about the easiest way to get cash in Europe. Note that your travel funds must usually be in a chequing account with a four-number PIN. FWIW, this is what I'd suggest (based on my travel methods): > Obtain €50-100 from your local Bank or whatever, as that works well for getting meals, Taxi fare, etc. until you get settled in your first stop. DON'T obtain this from the Travelex Exchange bureau's at the airports if at all possible, as their rates are usually not that good. > Take two ATM cards, preferably on different accounts. I've had my primary card fail, so it's a really good idea to have a backup. > At least one credit card is also a good idea. > Be sure to call EACH of your financial institutions to tell them you'll be travelling in Europe, so they don't "freeze" your cards. You likely won't be able to use your credit card for all purchases, as many small businesses in Europe will ONLY accept cash. IT IS a good idea to wear a Money Belt, as thieves in Europe are very proficient. Happy travels!

To clarify what Ed said, when you use an ATM in Europe you won't be charged any fee by the European bank that owns the ATM, but you'll still get hit with whatever fees your own bank charges.

Since you're new, I'll give you my anti-view on identity protection. I've had my credit card dope hijacked four times that I can remember: One time was in Spain - - ten grand of crap went on it - - all starting on the next to last day of the trip, the bill came about a week after I got home, I spotted it. The problem was gone after a quick phone call. All I had to do was sign a statement that showed up within a few days with a new card. Twice was at home. The credit card company spotted it, called me, and shut the card down. All I had to do was . . . The last was a couple of months ago on a small island off a big island off Scotland. I was refused on a gas purchase - - the first time I'd tried to use the card since leaving home. The balance was zero the day I left - - it had magically climbed to thirty-some grand from places all over the world. The problem was gone after a quick phone call. They offered to get a replacement to me quickly, but I had others. The new card and the statement to sign were waiting for me when I got home.

'Any advice?' Live with the devil you know if you're only going to travel once - - it's not going to break you. Restructure your banking / card system if you can stand it, have time, or suspect you might travel again. You have two of the worst deals possible. The only way you could move these two down to the number two and three spots would be to include a pre-loaded card.

I see no reason to worry more about ID theft while traveling that I do while at home. It's probably more of a risk at home since I'm here more than away. Just be careful in handling your credit/debit cards and your ID documents including your passport. Don't hand your credit or debit card over to a waiter or clerk and let them disappear with it into a back room, for instance. Ed's right. The prepaid cards are a bad deal, and as far as I know, a preloaded credit card you buy at Walmart, loaded with US$? May not be accepted in Europe anyway. The "ID protection service" sounds like a ripoff. You will need to carry Euro in cash with you. If you are going to stay in hostels and visit smaller towns, etc., they are not as likely to accept credit cards.

Ed's right, although there is an additional way it could be made worse: by accepting the identity theft plan. A good start is that you have a CapOne card, which has no foreign transaction fee as a credit card, so use it to charge as often as you can. Take the bank debit card too, although the fee is quite high. It would be best if you started an account elsewhere, like a credit union, but it's hardly worth it for a one-time trip.

I know as a first-time traveler you're worried about this stuff, but I'd suggest you break out of your comfort zone. It will stand you in good stead for any more trips out of the country. I'm confused by your first statement - is your Platinum card debit or credit, or both? NEVER WITHDRAW MONEY FROM AN ATM WITH A CREDIT CARD UNLESS IT'S AN EMERGENCY. The credit card company considers this withdrawal a cash advance and will charge you a huge interest rate per transaction. I have a Capital One Visa and my company charges around a 25% interest rate for cash advances (I think - haven't look at the fine print in a while). But, having said that, it's a good idea to get the PIN for your credit card, JUST IN CASE something happens to your debit card and you need cash immediately. Remember to call your bank and credit card company and tell them the dates of your trip and countries where you'll be, so they don't flag your accounts for unknown activity. I also like to buy some local currency before I arrive in a country. I pay a fee at my bank, sure, but I don't have to worry about finding an ATM on the first day after I arrive.

My Capitol One is only a credit card. But I can withdrawal a certain amount of money if I desire.

We only carry credit cards in case of a big emergency and we only use the ATM's....never had a problem. Any use money belts. Be sure to notify your bank,,,your departure and return dates and the countries you intend to use your cards.

If I got some euros in France, would the euros still be good to use in Italy? Are euros good everywhere in Europe?

Hi Megan. See the "Travel Tips" section in this website -there is a whole section on Money Matters, and other sections on other topics. Better yet, get Rick Steves book "Europe Thru the Back Door" at library of bookstore. It will make your trip planning and trip hugely more enjoyable. Enjoy your trip!

Megan - your euros are good in any country that is "on the euro" - which includes France & Italy. If you Google "eurozone" you'll get a list of all these countries. You definitely should take your debit card. Use it at local ATM's whenever you need cash in the countries you're visiting. Even with the fees your current bank charges, using the debit card will be a much cheaper way to obtain cash than using a credit card, for the reasons Sarah outlined. What bank is your debit card with? Depending on your bank, there may be ways for you to avoid some ATM fees by using their "partner bank" ATM's in Europe.

Dearest Megan, You have opened a can of worms from which everybody will tell you what they have and include all the admonitions in the world including that you have to have a money belt, atm guards, etc. If you want to change things:
1 - if you're eligible, go down to the State Emplyees Credit union 2 - if you're not, go down to Members Credit Union if they're still around - - their membership requirement is essentially that you have to have seen the Yadkin Valley at some time in your life

People are already raising nutty alarms including your bank: 1 - no european atm charges a fee for using a debit card 2 - I've never been in an airport that didn't have an ATM (maybe a crappy Travelex job that snags you for a couple of exta bucks on a small transaction, but it's enough to get you going). I've never been in the central core of a city where I couldn't see at least three at once. I've never been in a village with more than a store and gas station that did not have at least one. Getting euro is never a problem 3 - If, for some strange reason, you have to get a cash advance on a credit card look at the reality. I've no idea how to uncompound twenty-five percent but it's notionally two percent - - withdraw a thousand, pay it back within a month, and it cost you twenty bucks - - not bad for an emergency bail out. I've never done it, but sure would if I had to. 4. FTFs are unconsequential and their absence is almost an advertising gimmick (for which you probably get stiffed elsewhere). Sample situation: gone for a month, three hundred plus a day, half in cash, half in charges. You spent ten grand. You lost about one percent on the atm exchange rate and two percent on FTFs - - a one percent difference or fifty bucks. It will probably be less - - I spend nine months a year subject to FTFs and charge a lot - - once in my life has the FTF fee topped three hundred dollars. Euro are euro are euro. The coins have a common side and a varying national side, they're all good everywhere.

I bank with Wells Fargo. I am new to all of this, so I hate sounding ignorant. I just want to make sure I don't get stuck in another country having no idea what I'm doing.

What about travelers checks? How do they work and where do you get them? Is it worth it to bring some along on my trip to Europe?

Absolutely not. No. Never. Forget about it. They seldom work, but you can maybe get them at a bank. Nobody hardly will take them. You get screwed on the exchange rate. You're giving somebody else your money until you're ready to use it. You pay a fee for them. They died the day ATMs were invented. The last time I had any was maybe twenty years ago. As a historical note, they're what almost sent Ollie North to the jug.

About the identity protection at $12.97 a month. Wow. I'm sure the bank does want to sell you that. They'll get more than $150 a year for doing what they have to do anyway. If your card is compromised through no fault of your own, they cover any transactions. True identity theft involves someone opening accounts in your name, or getting a driver's license, etc. Stealing your card number is not truly identity theft, it's just theft. And that can happen anywhere you use your card. In person, online, USA or abroad. You have worries, not invalid, that your debit card will be compromised and all your money will disappear from your account. It would be restored by the bank, but it can cause some inconvenience while traveling. I suggest that you open a separate travel account, and only put in what you want to use. Essentially you create your own pre-loaded card but with fewer fees. And don't bank with fee-heavy Wells Fargo.

After twice having my credit card number stolen in Europe with attempted use by thieves, I have switched to CASH ONLY transactions in Europe. I've never had a problem with security at ATMs. I carry a Capitol One credit card, but have not used it in the past few trips. When the number was stolen, the credit card company called me (I had returned home and the period of travel had expired as far as Capitol One was concerned), and the charges were reversed. A new card was issued, so I suffered no loss and my identity was not stolen. I think the hotels where I used the card were the points of the thefts. One of my hotels requests a credit card number by email. I have sent it in two separate emails. They claim they've never had a problem using email, but it makes me nervous. I think it is better when a credit card number is part of an application form. It's probably best to check the security of the site.

I asked the bank and I also keep reading that the ATMs over in Europe do charge you a fee to withdrawal money. So, who is corret and who is false? :)

If you withdraw money at a bank-owned ATM in Europe, that bank will not charge you any fees (like you would get for using an out-of-network ATM here at home). Your own bank will be the one who charges fees for foreign transactions, whether those foreign ATMs are in another country or just out of your bank's network. My credit union does not charge any fees for foreign transactions, so I have no fees at all when I withdraw money in Europe. Personnel at banks here sometimes don't know that European banks don't charge, which might be why you get mixed messages.

"Personnel at banks here sometimes don't know that European banks don't charge, which might be why you get mixed messages." So true. Regular readers of this forum will know that it's not unusual for bank personnel here in the US to be misinformed about how things work in Europe with regard to ATM's, credit card transactions, etc., even with regard to their own products. You'll invariably get more accurate information from the many seasoned travelers here on the Helpline.

NO Travelers Checks. If you are coming to Germany, even the banks won't take them. The money exchanges will though and they give you and awful rate, plus charge a hefty fee. They are only located in airports and large train stations. If you have a Bank of American account, use the Deutsche Bank ATM's, or Barclays if you are in the UK. They have an alliance and charge no fees. Make sure you use the ATM's from a bank, as there are ATM's from the various money exchanges and they charge a higher fee.

Thank you everyone for helping me out on all my questions. I am firm believer in asking questions. I was never trying to start a riot or cause any harm. I guess you could say that I am a real young person who's just starting out, and I never had any guidance on major events such as this. My parents never had the money or opportunity to do something like this, and so they can't help me. I like how every single one of you are positive and wise! I appreciate the advice, I really do. I guess I just have to quit over thinking everything and live life. It's just that when I think of the world I feel so small compared to it. And, If I can't ever manage to go beyond the limits of my own home town, then I'll never go anywhere or do anything with my life, and I don't want that. I want to be brave, strong, and experience the world. I will stop posting from now on and just go with the flow. Thank you all for being so kind. You have really made this easier. I wish you all luck and joy for years to come!! Farewell.