First time across the pond....money question
 

Fodorites, I enjoy reading your posts and appreciate your expertise. Monday the 16th I'll be traveling to Europe, London specifically, for the first time. Do I need to convert some money to pounds prior to leaving? Can I use my debit card for purchases and ATM with ease? I would prefer to use that card exclusively but if need be can use a credit card. Are travelers cheques at all useful anymore? Thanks for your help!

You'll get better rates by waiting until you get to the airport in London and obtaining pounds from an ATM machine. And no, travelers' checks are no longer the way to go unless you want to take some as a last-best-chance back-up.

Despite the oft-given advice on this board, do not wait to get currency once you land. Reasons? Your card may not work in the airport ATM. The exchange office may be temporarily closed. There may be a very long line at the only actual bank---if there is one---in the airport. These circumstances all happened to us in Tokyo last week. We were really, really tired after 15 hours of flying, and this was the FIRST TIME I did not take at least enough foreign currency with me to take a train or taxi to the hotel. Card didn't work in any of three ATMs, including a Citibank, for heaven's sake, and the exange window was closed. We had to wait in the JTO line, hot, tired, and missing the express trains to Nagoya from the airport.

So you won't get an ideal exchange rate--big deal. In return you will be able to walk right out of the airport, get in a taxi and get started on the vacation. Get at least $100 and take it with you. One less thing to worry about.

Oh kswl, how awful for you! What happened to you is why I always take some money with me. I just do not want to worry about a situation that you just went through. Losing a few dollars for peace of mind and relaxation when I arrive is IMO worthwhile. Take good care.

I am also in the camp of taking some foreign currencies even with a bad expchange rate. I take enough cash to take care of cash financial needs until next morning.

Yes, the exchange rate is not as good, I lose about 6%, that is about $6 per $100 exchanged. For me this is a good trade off. It would be maddening if I had to go thru what KSWL had gone thru thinking "If only I had paid $6 more..."

I use credit cards over debit cards: it is much easier to reject wrong charges you have not paid yet over recovering the money already taken away from your account. However, not all credit cards are the same, most cards these days hit you with additional foreign transaction percentages.

Always bring backups, second debit and credit cards from different banks, kept in different places.

All good advice, MsAngie, and thank you LoveItaly for the sympathy! I just plain forgot, in the rush to the airport (traffic, late) and to get on the plane, to exchange the money I brought for that express purpose. NEVER AGAIN! (Ironically, one of the cards I tried to use at Citibank was---a Citibank card.)

Oh well, lesson learned. Again.

I also believe in taking a small amount of foreign currency with me - just in case. We also take a bank card and a credit card.

I've used the ATM's at Heathrow right after getting off my flight. I was just passing thru the airport so got ~$50USD worth in pounds, and it has lasted for several trips (as I said airport spending only).

I, too, always start my trip with some foreign cash $200-4300 US) in my pocket, obtained from my bank. I, too, am willing to spend a few extra dollars to not have to think about it. I do realize that kswl's experience is not typical (that is,not finding a working atm or exchange desk in the airport) but I just choose to take my little risks elsewhere.

oops, that was supposed to be
$200-$300

I've never taken currency (other than anything I happen to have left over from the last trip). I often arrive at Heathrow. I have two debit cards and I've never been able to not use one or the other. There are several ATMs when you exit customs at Heathrow. Sometimes I don't even get cash til I get into the city and just use my card to buy my Heathrow Express ticket in the machine. My debit cards have worked everywhere I've tried to use them in London.

I highly recommend having two cards. I have seen someone else's be swallowed by one of those stand alone ATM machines. There's no way to get it back.

I travel abroad 3-5 times a year. Just giving you one person's experience. Have a GREAT trip!

We used our debit cards at ATM machines for cash and credit cards the rest of the time. Make sure you are using a Debit card that is connected to a credit card and not an ATM card---I had no trouble with my debit card but my friend's ATM card was useless.