What is best way to handle financial transactions while touring in UK and Europe?

Putting our credit cards in Our Apple wallet has worked very well for us, as most places have those portable credit card devices, and you just tap your phone to your device. On our most recent trip, I rarely got out my wallet, so it stayed safe and secure.
Safe travels!

You need very little cash, say maybe £50, €50 and 50Fr for incidentals. Use your ATM card to obtain from a bank terminal.
Your credit cards can be used everywhere.

Thank you! My credit card doesn't charge foreign transaction fees, but do the establishments over there charge a fee to use the card, other than the exchange rate?

Generally no. The large majority of places where you'll use a credit card are not charging you more than their cash price.

One thing to know about Europe is that nobody walks away with your credit card in Europe. Generally speaking, they never touch it. The machine will be brought to you in restaurants etc.

You may be asked at an ATM or on a credit card device whether you want the transaction recorded in dollars rather than the local currency. You do not want that, because it's like handing the bank or merchant a blank check. They get to pick their own exchange rate, and you better believe it will not be in your favor.

You will need some cash but not a lot. A debit card at a bank owned ATM will get you your best exchange rate. We tend to use cash for smaller items like coffee and ice cream but other use their cc for everything.. Probably the same pattern you would follow in the US. Stick to Master and Visa cards. Discover, Am Exp, Diner, etc., are accepted but less frequent.

As long as you pay in the local currency--even on the credit card--there are no exchange fees from the merchant. The issuer of your credit card does the exchange and will bill you in dollars. There is rarely a fee to use the card.

So, to put it mildly, the price you see is the price you pay. You may be asked if you want to pay in dollars. Say no, always local currency (Pound, Franc, Euro)

I’ve come across more merchants in Germany in the last week that were “cash only” than in my 2022 trips to Spain and Scotland combined. Some merchants have a 5€ or 10€ minimums to use a card. One restaurant’s CC machine wasn’t working, so that was another cash establishment. In 6 days I’ve needed 160€ for those cash only establishments.

On a good note, the hotels, grocery stores and petrol station have all accepted cards, as have most restaurants. Most of the time contactless payment has worked and Euros is the default. When it hasn’t worked and the card needed to be inserted, that’s when the machine asked whether to charge in Euros or USD.

I’ve used an atm twice and the rates were $1.09 and $1.0837 respectively.

Edited: at one establishment the receipt showed if charged in USD the rate would be $1.13, so that’s a pretty big markup from the official rate.

Regarding the above post, Germany, more than most other places in the developed world is a cash culture. I find that you need to carry a bit more cash in the dramatic world than other parts of Europe.

Mexico too for some reason ... Mexicans tend to like a pocket full of pesos over cards.

Anyone know why the Germans tend to like cash? Or maybe are shy about cards?

Oh and regarding the choosing between paying in euros or dollars on a credit card or bank card, I came up with the acronym APE to help my family remember.

Always Pay Euros.

And don't forget to alert your banks and credit card issuers that you are taking a trip. Some will want to know and others won't.

Anyone know why the Germans tend to like cash? Or maybe are shy about cards?

I have heard a number of reasons from Germans. First, they all assure me it has nothing to do with avoiding taxes by businesses, to the point you wonder about it.

Some have told me the credit cards they have operate more like debit cards, paid/withdrawn monthly in total, and they like to track cash going out, so use cash. Others just defend liking having cash, and using it (in a direct German way, why change something that works). Others just point to the fact that they always have, and it is just the way it is done. However most freely use credit cards when traveling elsewhere.

I really thought over the pandemic that card and contactless would make permanent inroads, but it really does not appear so.

Thanks Paul!

Thank you all so much. Your answers are so very helpful!