Robo

Attempting to limit risk of dollar crash this coming summer while I'm trying to enjoy a 2-month trip to Britain, Spain, and France,I'm purchasing traveler's checks denominated in Euros and carrying Euro cash with me. I also will have debit and credit cards with me, and expect to pay close attention to the exchange rate when I decide on a daily basis which money source to use.

I've read carefully the postings here on bank fees applied to use of US-based credit cards in Europe. And yes, I do have an MBNA credit card, fee-free, god bless them! I also have both a debit card and a Visa credit card from my local credit union, which tends to avoid excessive fees. The MBNA Visa card is Cirrus, and the credit union Visa is Plus. I also carry an American Express card.

Where's the best place to cash a Euro TC? I would imagine some banks still charge a fee on that even though there's no exchange rate consideration.

Additional question if anyone can help me on this: Just as a matter of testing the waters, I've arranged through a Canadian company to buy a small amount of pounds and a small amout of Euros that will be paid to me in bank drafts. I'll be in London for a few days before traveling to Spain, where I'll spend most of my time. What's the best straegy for cashing these bank drafts? I imagine any major bank is going to charge me a fee for cashing,since I'm not a customer. This may turn out to be a not-very-cost-effective strategy,but I'd like to give it a good go before I decide not to try it again in the future. (And yes, I also posted a new message recently asking related questions about foreign exchange options.)

RufusTFirefly

You can cash your American Express TCs free at any Amex location. In addition, go to the Amex web site and you can get a list by city of other places (banks, etc.) that will cash them no charge (Fee-Free Exchange Partners).

http://travel.americanexpress.com/tc...y=us&#copy

Christina

I guess you are betting on the dollar declining quite a bit to have bought TCs in euros and paid for the exchange difference already--I mean the extra markup you paid over the bank exchange rate to get them in Euro. Anyway, aside from AMEX cashing AMEX TCs for no fee (and I don't think you say what brand you have), I know of no place that will cash them for free. They are providing you a service to cash them -- if they are in euro already doesn't matter, it's still a service to you if you don't have an acct. at their bank. Bureaux de change charge a fee, also, of course to provide that or any other service.

I have never done that, taken TCs in anything other than my native currency, so am not sure, but I think an establishment that accepts them for payment (large hotels or dept stores) does not charge a fee. But every place charges a fee to turn them into real local cash that I've seen.

RufusTFirefly

If your TCs aren't AMEX, then check your TC company website, like the AMEX site. They should tell you where (if anywhere) you can get them cashed for free. For example, Thomas Cook TCs can be cashed free at their offices, just like AMEX TCs at AMEX offices. But I don't see anything about fee-free exhange partners like AMEX has.

HowardR

I think it's big waste of time...and it could end up costing you money, as well!

bobthenavigator

I agree with Howard--you are shooting craps, but going thru hassle to do it.

StCirq

This sounds like an over-researched, terribly complicated scheme that is certainly going to take up a lot of your vacation time and might well cost you more money than a far simpler approach - like just using the ATM machines and that MBNA credit card of yours.

ira

Hi Robo,

One year, after talking to some Econ Profs at my University and researching the rise and fall of the dollar with respect to European currencies, and having ascertained that the dollar always went down in the Summer, I did something much like what you are doing.

From the day I arrived to the day I returned the dollar rose in value.

janis

Robo - I think you just have way too much time on your hands. This is a pretty convoluted process that likely will end up costing you more than if you had left your money in your interest earning checking account and just use ATMs as you need cash during your trip.