Hi:
My 20 year old son is heading off for a 6 week trip to Brazil and I am looking for advice on the best way for him to handle cash while there. He has a Bank of America ATM card (Cirrus) and a Visa, but I have heard that the best way to deal with cash is to get a prepaid cash card. Any thoughts/experiences would be most appreciated. Thank you!
Best way to manage cash...
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Most places in Brazil accept debit/credit cards, even for small purchases, but his bank may charge a fee. (Also,make sure he tells them he is going to be in BRazil so they don't freeze his card when they see activity from there.)
Cloning of cards is occasionally a problem. A separate preloaded/prepaid debit/cash card at least avoids the thief getting into your main debit account.
At the ATM, he should look carefully for a device placed over the card entry and for a camera taking password photos. Cover the keypad with a hand when entering. Use ATMs in a bank lobby, rather than ones on the street (harder to install the devices for this scam).
Then there's the issue of how to carry cash and cards around with you. Many Brazilians divide their money into a few parts, and keep the major part and cards in a pocket pinned/sewn in the front waistband for easy access. He can keep a wallet in his front pocket with enough cash to get around (and also to give to anyone in the off-chance that something happens).
Crime in Rio and other big cities is opportunistic, so the better thing is not to give anyone the opportunity. He should remain vigilant while seeing the sights.
Hope he has a great time.
Always use my no fee capitalone.com VISA Credit Card
taken all over use for big bank ATMs only
Do not travel with debit cards easy for thieves to rob/skimm
the entire account not wise in SA
cash cards are a rip bad exchange rates
travel.state.gov for crime safety info
insuremytrip.com always wise for me
Travel with money belt dummy wallet
Keep my wits about me down there
Can get super dodgy in some areas like favellas
Top Hostelbookers.com hostel or hotel in quality areas for me
Good luck!
Check with all your son's card providers to see exactly what charges will be levied on withdrawals abroad. Some are easily identified like a fixed amount per withdrawal or even a fixed percentage. In rare cases this may even be zero (cards offering this are few and far between these days, Even if charges are low, ask what exchange rates they are using on that day and compare with the wholesale bank rate - many providers will load this rate, typically by 2.75% (the "standard" VISA rate) or sometimes even more. If you are lucky you will get the wholesale rate. This exchange rate loading is generally hidden and can cost as much, if not more , than the explicit charges. Credit, as opposed to Debit cards will also charge interest, usually around 25% p.a. on cash withdrawals adding further to the cost (but still useful for accommodation, restaurants etc.)
Make sure you son notifies providers of when and where he will be travelling otherwise it is highly likely his cards will be declined.
Equestrian provides some excellent advice on safety which your som=n would be wise to follow. I would only add that in the , extremely unlikely event that he is robbed - just give up the money, the alternative is simply not worth it.
Prepaid cards area excellent alternative to credit or debit cards and have many advantages. They have been available in teh Uk for several years and are increasing in popularity. Usually much better fx rate and easier to replace if lost. http://www.fairfx.com/ has been around for some time and is a market leader here but not sure if they operate in the US yet. I think Travelex have a similar card. The modern day equivalent of travellers cheques.
Always sensible to carry two cards in case one fails and keep some cash in reserve, all in different places.