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Pickpockets in Spain - Please offer suggestions on protecting belongings

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I am reading lots of horror stories about pickpockets in Spain. DH and I are going May 2011 and will spend time in Barcelona, Bilbao, San Sebastian, Seville and Granada. We have been to many other countries (South Korea, Italy, Croatia, China, France, Austria, Switzerland, Ireland, England) and NEVER have had any sort of experience that would add up to an attempted pickpocket. Just lucky I guess. Spain sounds like a totally different experience. I have read on this website and others the descriptions of the situations that people experienced which resulted in the loss of lots of property, money, tickets, cell phone, cameras, etc. Please share your ideas and suggestions for protecting belongings and being able to carry basics such as a water bottle, camera, money, cellphone, etc. I do use a waist pouch under my clothes for money and passport. Is there some system that is safer for money and passport and what can be used to carry the bulkier items? Thank you.

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