Thanks to all of you for so many ideas and suggestions. I hate to open more accounts just for this purpose but it does make sense. At home I try to use one card for almost everything to accumulate frequent flyer miles, and only use the other card when the first one isn't accepted by the vendor.

Although I know that hotels, etc. abroad usually don't take traveler's checks any longer, I wonder if it might be wise to take some along just in case since they are such a safe way to carry money (assuming one keeps the slip with the check numbers separate from the checks and keeps track of which ones have been used). Do most banks still cash them?

Have two cards. You carry one DH carries the other. Have an ATM card.
don't carry the same card (redundant for above).
When ours were stolen it was within the first hours of the trip, and we just hadn't "done" it.

Do most banks still cash them? NO - they are basically worthless.

In answer to Chris's question, I presume that this is why some still take an impression of the card the old fashioned way, while others just record all your details. Any later transaction can be treated as a "cardholder not present" one, just like transactions made online or by phone. These usually involve the card processing company charging a higher commission to reflect the greater risk, and in some cases they do this with American "swipe" cards, for the same reason.

Lots of good suggestions, but let me add a few precautions I take. Use the debit card for ATM withdrawals only whenever possible, making small purchases in cash and the larger ones with credit cards. When you make an ATM withdrawal, try to use one inside a bank if you can. If you use an ATM on the street, check for anything that looks unusual, as sometimes crooks plant skimming devices or "Lebanese loops" on the machines (these are hard to spot).

Shield the keypad when entering your PIN in a machine, and don't accept help from a "friendly" stranger.

Check the balance of your accounts on the internet frequently, but be aware that public computers in hotels and internet cafes aren't always secure — I use my iPad when travelling. If you do notice something amiss, notify your bank immediately. They usually have toll free numbers for that purpose.

I might add, despite being very careful, last year £500 was taken from my account without my knowledge. I live alone and no one else has access to my cards. I still don't know how it happened, but the bank immediately reimbursed me pending investigation, and later determined the transaction was fraudulent.

I actually still have travelers checks that I take with me as backup, although haven't had to use them. I think I'll depositi them in my bank acct.

Banks have NEVER been the best place to cash those. And I have used them in the past and never once used them to pay a bill directly. You use them like cash to exchange at exchange bureaux, that's what you do with them. That is what they are in business for and in every place I've been, they gave better rates than banks, anyway, even when banks did that in the past. Which wasn't even that common ever.

It depends where you are going. A lot of people on Fodors say it is difficult to cash them in Italy. I haven't been there so don't know. I know it is still pretty easy to find exchange places in Paris, for example, that will take them. I was in Poland once and it was not easy to cash them there, either. It is easy to cash them in Mexico.

I guess my bottom line is if you can get them totally free (I can), it can't hurt to take them, but I wouldn't pay for them. And definitely take them in USD so you can easily deposit them back in your bank acct or something when home if you don't use them. If you are mainly going to small towns, it probably won't be useful at all.

One of the suggestions I read here seems to me to be silly. One person said as a precaution he or she only uses a credit card for lage purchases while making small purchases with cash. I say...excuse my French...nonsense. Where possible I use a credit card for every purchase rather large or small. Does it increase my chances of having my credit card compromised? I suppose so but...as I've tried to explain while it is not something I welcome and I would prefer it not to happen, I've had my credit card number compromised two or three times in the past ten years or so. Nothing I can do about it.

Does that mean I'm going to change the way I travel? Well I do try not to let the credit card out of my sight and I've given some restaurants especially a hard time when the waiter tries to take the credit card to some back room. One of the advantages of chip and pin cards is that in most cases in Europe, they now bring the wireless pos terminals right to your table. Many restaurants now hand me the terminal to enter, if I so desire, the tip. In most places now in Europe, I have several chip and signature cards, the terminal is right there in front of my face and again I never hand over the credit card.

Is there anybody who can guarantee credit cards will not be compromised? No but as long as it is not identity theft, which credit card fraud is completely different from, it can eaily be corrected, the fraudulent charges removed and it simply becomes necessary to use a different card. For that reson, I bring two or three.

<i>"Does it increase my chances of having my credit card compromised? I suppose so..."</i>

Exactly! Every time you use your card there is a small risk of it being compromised. Therefore limiting your exposure to compromise makes perfect sense to me. You only have to read about cases of crooks hacking into company data bases, as happened with TJ Maxx (TK Maxx in the UK) a few years ago to know that it can happen no matter how careful you are with your cards. I have friends who had money taken from their accounts after shopping at TK Maxx, and it had nothing to do with how they handled their cards.

The £500 that was taken from my account was from a debit card issued by a US bank. I only use it in ATM machines and in places I trust where I can swipe the card in a machine myself (mainly the commissary and BX on US bases). I never let it out of my sight for even a second, yet was still a victim of card fraud. Yes, credit card fraud can be corrected, but who needs that hassle when you are travelling?

Call me old fashioned, but the idea of using a credit card for purchases of only a few dollars seems ridiculous. ;-)

I will admit I do have a welf imposed minimum for using a credit card. I will never use a credit card for less than €1 or £1 or $1...once an amount passes that and the vendor acceptrs credit cards, I wouldn't think twice about not using it as I am paying for that anyway (accepting credit cards is a cost of business and hence is reflected in the price of all items whether you pay cash or uswe a card).

Also when travelling it is a pain in the you know what to keep having to use an ATM (which also increases the chance of having whatever acocount I use for cash withdrawals raided). I see nothing wrong with using a credit card for everything no matter how large or small (except as noted above).

Of course, some of it depends on the country and the country's reaacton to cards. For the most part, for example, the UK is like the USA and credit cards are taken almost everywhere for almost everything with the possible exception of a pint at the bar or outdoor vendors (even that is changing here at home in the USA what with square setting up a credit card account with a small discount, less than 3% and no swipe thing is very very easy...I take credit cards for my accounting business and use square.com which I set up within 10 mnutes and it works perfectly!). I spend a couple of weeks a year away from home whether in the USA or mostly in the UK although I do venture into other countries and when I travel, I rarely spend cash for anything. Cash is a royal pain in the butt. Don't have to worry if I have enough or have to run off to the ATM.

While I wouldn't call anybody old fashioned as everybody has to deal with their own way of dong things, to me this is the only way to travel in the 21st century or for that MATTER LIVE AS I DON'T THINK IN THE PAST MONTH, I've SPENT CASH FOR ANYTHING NOW THAT THE TAKE OUT PLACE NEXT DOOR TAKES SQUARE!

Well, I would never dream of using a credit card for a purchase of €1, £1, or $1, but please don't say that is being silly. You may have an opinion, but that doesn't mean someone else who disagrees is wrong — they just have a different way of doing things. If you run out of cash in your wallet you still have the option of using a card, so you don't have to worry about running off to an ATM.

What does bother me, though, is that when someone makes a suggestion on Fodor's, another poster jumps in and calls it silly, nonsense, or worse. That lowers the tone of Fodor's, and puts many people off using the board. ;-)

Apologize...I think I said you're entitled to your view point. I did say it's silly in my opinion and if you were offended, I'm sorry! Best.

It depends partly on where you are going.

In smaller towns you may need to pay in cash. We need cash for B&Bs and small rural stores, so we have gotten used to paying cash for everything. We have two separate accounts dedicated to ATM usage, and each of us has a card for each other's account as well as our own.

Just out of curiosity and not to be argumentive but in the interests of a dialogue, what is your objection to using credit cards for small purchases (other than increasing the possibility of having the cc compromised?_. To me, it is the only way of travelling in the 21st century but I'm willing to live and learn!

Best

Okay, I don't want an argument either.

Why would I use a credit card when I can just take a dollar bill out of my wallet? I don't have to enter a PIN or sign a receipt. That seems easier to me. When the day comes that no one wants to use cash (maybe the 22nd century?), the US Treasury will stop printing $20 notes. In the meantime, their reluctance to stop minting pennies and printing $1 bills suggests there is still a demand for them.

Many of the places I travel, especially in small family-run establishments, the owners prefer cash, as they don't like paying fees to a cc company. BTW, I strongly advise you never to travel to Rwanda! When I was there about 10 years ago, there were no ATM machines, and only a few international hotels accepted credit cards. It was necessary to carry all my funds in crisp, new $50 and $100 notes, and exchange them for Rwandese francs on the street. No doubt things have changed a bit since then, but I guess you wouldn't like that cash-only economy very much. ;-)

I manage a chip & pin card reader for a small charity. We pay 3p ($0.045) pin authorisation fee for each card transaction, plus 30p ($0.45) on each credit card transaction and 2% of the value of each credit card transaction. Large retail traders will almost certainly pay lower fees than these, but some small traders may pay about the same. In addition, there is the monthly rental for the card reader.

If I pay for an item costing £2 ($3.00) with a debit card, then the cost of handling the transaction would be 33p ($0.50) or about 17% of the retail price. This could easily represent 50% of the margin on the item, and could even wipe out the net profit after allowing for overheads.

For that reason, I seldom use a card for an amount under £5 ($7.50), and carry cash for such purposes. Cash is invariably needed for payments between individuals and also for things like buying programmes, ice creams, etc.

I too try to use cash when buying at any small and/or family-run type of business when abroad *and* at home. I know about the fees that are charged and it is my (small) way of trying to use my "dollar votes" to help lower costs for everyone.

xyz123, it is not easy to be in small business these days so I try to pay for small purchases with cash just to give the business owner a break. If it is a chain or large business, the fees are not too much of a biggie but for the small business owner they are substantial. I'd rather give the entire amount to the owner rather than a cut to a bank.

My credit card was compromised last summer in France - I rarely use it in Europe but I used it often in the UK and Ireland for several weeks before heading to France. My instincts could be wrong but they do tell me the card number was stolen sometime when I was in Ireland. So yeah, I think the more often you use your card the higher chance of it being compromised (could happen anywhere.)

I can tell you that telling the credit card company where you are traveling may not stop fraudulent purchases (I told them I was in France, so how could I be in a Walmart in Canada?) but it did help when I was resolving the matter (Uh, I called you guys to tell you where I was...)

Do bring more than one credit card in case something happens, and try to make sure they are the kind with no transaction fees. Those fees can add up.

I guess it's mostly a matter of where we (and the vendor) set our limits for pulling out the plastic. I have been in several small shops in the UK where there is a sign saying something to the effect "No credit cards accepted for purchases under £5". Chartley explains very well why this is. Personally, my limit for using plastic is: nothing under about $20 or £20. When I'm travelling in Greece I pay for nearly everything in cash because that's the way the people I deal with prefer it.

Xyz123, don't worry, I wasn't offended by what you wrote — anyone posting on Fodor's needs to be thick-skinned. ;-) It just seems that recently there have been more than the usual number of arguments on the board, much of them provoked by one new member. I have always tried to be helpful with my replies, but am beginning to wonder if it is worth continuing.

You would struggle to pay for things with a credit card in most Dutch shops. They just don't take them, and if they do they often charge a surcharge. People here either use their debit card, or pay cash. Hotels and restaurants normally accept them, but not always, and small cafés probably don't, at least away from Amsterdam.
Cashing travellers cheques at a bank here would be tricky too - banks here don't actually carry cash, except that in the ATMs.