Just to update the story. Today I got a full refund of the commission costs from American Express in sterling.
I detailed the problems with their Rome office & that no one would accept them in Italy. I enclosed a copy of the receipts, their leaflet from the UK travel agent & their Rome office and sent it recorded delivery.

John, I am glad you got a refund.
Next time in Europe just use ATMs though. Here in the Netherlands travellers cheques are not accepted in shops restaurants etc, and you would struggle to find a place to change them.
I assume since you refer to sterling you are in Britain - in which case you fall under EU banking laws which make Euro travellers cheques even more of a waste of money.

John, you got luckily out of the situation.

However, as others have said, traveller's cheques are not common in Europe and have never been. Therefore it is not a "rip-off" - it is just a fee for a most unusual business process.

Conclusion: Do not take traveller's cheques on a trip to Europe.

You can't use them in Germany, that's for sure. Not even in capital city Berlin. I was stupid and didn't read this forum before my trip last October. Amex TCs suck!They're basically not worth the paper they're printed on. And to try and get anywhere with Amex is pointless too. They sent me a rude letter telling me basically to take them back to the bank from where I'd purchased them, and if I wanted Euro cash I'd have to pay twice - more or less. As of now, I'm stuck with a rather large amount of Euro TC and not able to use them. I'm going back to Germany in August, and am trying desperately to get some resolution with these things before I go back.
They don't take them in Italy either. The last time they did was more than 10 years ago. I lucked out in Venice where at a jewellery shop the man asked, "Are they in Euro?" And I said, "Si!" and he said, "OK!". Otherwise, normal banks wouldn't change them...you had to go to a money exchange place and naturally pay a fee. And the normal bank was in Milan...so it wasn't like I was in an isolated little village or anything.
I hope to warn anyone else NEVER NEVER NEVER buy Amex TC! They're terrible and worthless.

If you want to get cash for them in Munich, the cheapest option is "Münchner Bank" who charge 50ct per check if they are in €.

http://www.muenchner-bank.de/
(Would you trust this guy with the fake smile?)

ballroomdancer: "<i>They sent me a rude letter telling me basically to take them back to the bank from where I'd purchased them, and if I wanted Euro cash I'd have to pay twice - more or less.</i>"

"<i>I hope to warn anyone else NEVER NEVER NEVER buy Amex TC! They're terrible and worthless.</i>"

The same applies to ANY/ALL travelers checks - not just AMEX. Their letter is about right -- The only 'resolution' you'll probably find is to either take a bath selling them back for US$ at the bank in the States -- or take them back to Germany and take a bath there.

If it was me -- I'd cut my losses and sell them back and deposit the proceeds in my bank account.

Hypovereinsbank cashes them for free!

http://www.hypovereinsbank.de/media/...erzeichnis.pdf

You'll find several of their branches in all cities.
If they're not in €, the price is 5.11€ per transaction BUT who knows which exchange rate they'll use.

As one of the listed payment options for a Paris apartment rental I used Euro travellers cheques (Amex) - ordered online and picked up commission free at my nominated Australia Post Office - just a few months ago. Presumably there is still some demand for this method and the landlord must be able to cash the cheques without significant penalty.

The landlord doesn't "cash" tem - they deposit them as a check. They must have a bank still willing to take them.

Most banks won'ts.

And hotels, restautants and shops won't.

Simply don't buy them - just an exercise in futility.

We have had electronic banaking for almost 20 years. Eruope is NOT behind us. Anything that requires a lot of handling is always going to be much more expensive - and eventually will die.

I know this is an old and on going discussion - did you notice this thread is 2 years old?

I wasn't party to my landlord's banking arrangements so I don't know (or care) whether he cashed or deposited them. But it worked for me. [My other accommodation arrangements and airfare were paid for by credit card over 'secure' websites, but I choose not to use PayPal. When I have to, for example to pay the tradesman working on my fence at the moment, I use a good old fashioned paper cheque. On my trip I used a fast internet connected Mac provided free of charge by my behind the times landlord and an iPod Touch, but also used city walk map cards, a map booklet and a folding paper map, all without feeling guilty or more stupid than usual. OK, the paper map fell apart.]

Dayle: "<i>did you notice this thread is 2 years old?</i>"

yep -- but Ballroomdancer registered to top it and complain about being stuck w/ TCs. So we're off and running again :) . . .

Purely anecdotal but back in the 1970s my French franc travelers cheques were refused at the exchange window at Gare du Nord Paris. I had to stand in line at the Amex office with scores of others.