ATM vs.Cash cards
 

What are the advantages of using a 'cash card' vs an ATM/check card?
I have researched 'search this forum' but did not find an answer.
Problem: I plan to use my Wells Fargo combination Gold ATM & Check Card as a CC for car rental. This is a VISA card.
I also plan to use this same card as a ATM card to obtain cash from my checking account later during my trip.
I have another ATM card from another bank to use as a backup card at ATM's for cash.
B of A offers ,without charge, what they call a cash card which is prepaid. This cash card is a VISA card.
For Safety reasons I usually take $1000 in Amex travelers checks, obtained without charge at AAA,in case an ATM machine swallows my card but have never had to use any.
I can't see any difference between using an ATM card or a Cash card (aka debit card)to obtain money in Europe.
The B of A clerk stated that the Cash/Debit card had the advantage of being usable for purchases or to get money at an ATM whereas the ATM card could only be used to obtain currency, true, but to what other advantage?
I am confused.
What have been your experiences with these prepaid cash/debit cards?

Please read this thread called "Cash, Traveler's checks or c.c." You can type it in the search box

If you STILL have questions, come back on here and let us know and someone will try to help ... but I think all your questions should be discussed on that thread

:)

to: rlacow 1914 Atlanta
Thanks ,there were 50 responses to your suggested post.
I am printing them out now.
Don

Do you know for sure that you can rent a car with a debit card? Not all agencies accept them. Even if the renting agency will accept a debit card, you must have a wad of cash in your account. Avis says that it will accept them at the end of the rental. However, a debit card or check card is not sufficient credit identification to initiate the rental

Auto Europe says debit cards are not accepted locally.

Are you sure that Bank of America preloaded card is a CASH card and not a CHECK card?

I did considerable research on these cards when my nephew went to Ireland for the summer. I was looking for something secure to gift him some spending money.

The only preloaded cash card I could find was the AmExp Travel Funds Card, which can be used for purchases and ATM withdrawals, but only where American Express is accepted, or at ATM's with the "LINK" logo. There used to be a list of such ATM's worldwide at the website, but now there is only an overseas phone number. When I checked (a few months ago), there were only two such ATMs in all of London, for example.

Then, I investigated the pre-loaded VISA cards. These can be used anywhere VISA debit cards are accepted for purchases, but cannot be used to withdraw cash at an ATM. You call it a "Cash card (aka debit card)", but you need to be sure. Moreover, since these cards are loaded with American dollars, what rate of exchange do they use when processing transactions? I could not get a definitive answer from either AmExp or AAA (where I was investigating the VISA Gift Card), or whether either had an additional "currency conversion fee" for purchases.

Be careful of those offering a card "without charge". From time to time, there are promotions that waive the initial fee, but not the additional fees (of which there are many).

As mentioned, many car rental companies require a credit card to release the vehicle, though you may pay the bill upon returning it with a debit card.

Note also that Wells Fargo was the first bank to add that pesky "currency conversion fee" on DEBIT card purchases, which few other banks have done (so far, anyway).

It is prudent to check with ALL of your card issuers well ahead of leaving home to determine fees/charges when using the card overseas. You need to know if there is a transaction fee, what rate of exchange is applied, and so forth.

Everyone needs also to READ those massive "Agreement" booklets in the teeny tiny print that come with your statement once in a while (sometimes mailed separately).

For example, years ago, here on Fodor's, when the "currency conversion fees" were first "invented", everyone was advised to check with the issuers of their cards. If the issuer was assessing a currency conversion charge, we were all encourage to notify in writing that we did not plan to use that card when traveling. Must have worked with some card providers. When I phoned Providian ahead of a trip to Paris, they had the fee. When I called a few months later, just before leaving home, they did not. Last week in the mail, however, I received an "Important Notice..." (6 pages!). Buried in there is a 2% (in addition to the 1% charged by Visa/Mastercard) adjustment to the exchange rate. This time, I'm just going to cancel the card.

As for American Express travelers checks, there is no fee to obtain them through AAA, but there are fees, and exchange rate contingencies, involved when cashing them. The best place to cash them is at an American Express office, but these are not always conveniently located.

Back when I still used travelers checks, I'd get them with no fees, at about 99% of the interbank exchange rate, in the foreign currency, at AAA. Then, if we hadn't needed them by near the end of the trip, we cash them at an American Express office and/or just use them toward our hotel bill (though you must check to be sure these are acceptable to the hotel where you are staying). On our first trip to Paris, we were thrilled to have some along, as neither of our ATM cards worked (though I've come to believe that was because we were trying them every day at the same time, while our bank was offline doing its overnight processing). We were allowed to cash them right at the front desk of the hotel, with no fees, for the face value, and use the leftovers toward the hotel bill.

One last thing. Many ATM/debit/check cards have daily limits which apply to purchases as well as cash withdrawals. You need to know what your daily limit happens to be on your card (usually, you can pick your own limit). So, if your hotel bill or car rental bill exceeds your daily limit, the transaction may be rejected and/or if you have not advised your bank ahead of time that you will be traveling to "x" destination and using your card while there.

Some years ago, my bank advised that there was no need to tell them I would be using my debit card overseas, but I discovered on a recent trip to San Francisco that this is no longer true. They did not freeze the card (because the purchases did not exceed a certain limit), but there were three messages on my answering machine and a letter in the mail to phone the fraud department immediately.

I just want to second what djkbooks said about contacting your bank before you travel to let them know that there may be bigger charges and that these charges will be from out of the country. I wasn't sure it was necessary but when my daughter set off this summer for Europe, she called her bank to let them know she would be using her ATM/Visa card there. The bank actually thanked her for letting them know. They put it in their notes and then there is no problem when they see strange charges. While you are talking to them also check what your daily limits are for both cash and charging purchases. If you plan to use your card for hotel bill, etc they can up your limit for a certain period of time. I am now getting ready to travel to Europe to meet up with my daughter. I called my bank today. They appreciate that you let them know and it certainly helps to make sure you have no problems using your card.

If you already have a credit card and an ATM or debit card, you don't need to buy another prepaid card.

I've seen cards that were for use in ATMs that were prepadi, one example is the VISA Travel Money card. I think that's the card you can get from AAA. I don't think that one can be used for charges, only ATM withdrawals. Not sure.

It is very expensive in fees. All of thsoe prepaid cards are that I've seen. I know I'm a skeptic, but I just can't believe that B of A is going to give you anything for free. Really, why would they, they are a business. If the card is free to get, I imagine you pay through transaction charges, reloading charges, cash-out charges or exchange fees.