I've read past posts about the Visa TravelMoney Card, or simply prepaid cards in general and there have been mostly negative sentiments about the card. Despite this I'm still unsure whether or not to get the card. I think that there can be several benefits to the card. I have looked into my ATM card and my credit cards, and all of them charge a foreign currency transaction fee. I don't think that this TravelCard charges that, do they? In addition, I think that you can load/reload it with a credit card, so in a round about way, wouldn't you be using it as a credit card overseas, minus the transaction fees associated with normal credit cards. I know that there is a $2 fee for ATM withdraw, but isn't this flat fee better than the percentage fee associated with some ATM cards? Please, correct me if I am wrong with any of this. I have never used one of these cards, and would like to hear from people with more experience traveling and using cards, etc. than me. Thanks!

Do a search for TravelMoney or AAA Cash. There have been several recent threads on this.

According to Christina, who called AAA about their TravelMoney card, "The Travelmoney debit/ATM card has a 7% markup over interbank rate on cash ATM withdrawals (no markup when used on purchases as a debit card), in addition to the $4.95 activation fee and the $2 ATM fee per use." There's also a $15 to close the card out. And I think there are charges if you call to find out what your balances are.

All foreign transactions are subject to a 1% Visa/MC fee. The question you need to ask is does your bank charge additional fees.

I would say to apply for a new card that doesn't add on fees. Credit Unions seem to be the best bet, and some MBNA cards will be exempt from the extra fees once they begin adding fees. My CU's card is through Infibank, whose rep said they do not add additional charges.

"Please, correct me if I am wrong with any of this".

Sorry - but you are wrong on almost all of your assumptions.

- ATMs do not charge a % fee. European Bank ATMs do not charge any fees and the US bank will charge a small flat fee - generally 75¢ to $3. And some banks/Credit unions don't even charge that or rebate the fee amounts.

- ATMs generally do not charge a foreign currency transaction fee - you pay fractionally over the wholesale bank rate. Most credit cards do charge 3%, but some only charge 1%.

- the travel money card charges for every ATM withdrawal/transaction, charges to fill it up, and charges a conversion fee.

Really the only time a money card makes sense is for people who for some reason cannot get a checking acct/ATM card.

I didn't say that the ATM's charged the foreign currency transaction fee, I said that using the ATM card would cost me this fee because many banks are now adding this fee onto ATM card usuage abroad. I understand that if I was to use a card like this excessivly to withdraw small amounts of money from an ATM that the fees would add up, but I was thinking more about loading it up with British pounds (I'm doing alot of traveling in the UK) and then using it like a sudo-credit card, except without the foreign currency transaction fee that banks add on top of Visa's fee. Also, I was looking at the AAA card, which is free to refill, so that would not be a worry.

tt

I'm not going to state this as absolute fact, but it is my understanding that as more and more European banks are using VISA international services for all their ATM currency transactions, that there now IS usually a 1% conversion fee added into all those ATM withdrawals.

AAA Travelmoney Card fees:

Note that you can only reload 3 times, then you have to buy another card.

Fees
The minimum card load is $250, the minimum order is $300, maximum order $1,500
There is an <b>activation fee of $4.95</b>.
Reloads are $250 minimum by calling (866) 339 3378 or online at www.aaa.com/prepaid cards.
A second card can be taken for a fee of $2.00
Card <b>cash out fee is $15</b>
Orders over $500 receive free 2-day delivery, upgrades to next-day and priority overnight are available for additional cost.
Orders under $500 pay $7.00 for 2-day delivery, upgrades to next-day and priority overnight are available for additional cost.
<b>Card life is 24 months</b>, an optional monthly statement can be ordered for $0.50 per month, Inquiries by phone are $0.50 each, there is a <b>$1.25 monthly maintenance fee after 12 months of inactivity</b>. No fee for ATM balance inquiries.
Online balance inquiries are free at www.aaa.com/prepaidcards
<b>Cash advance fee (in-bank) $10</b>, $350 limit per advance
ATM withdrawals in the US are subject to daily and weekly <b>maximum amounts of $350 a day and $850 a week, maximum international withdrawal $2000 per 24 hour period</b>.
<b>ATM withdrawal fee: Domestic: $2.50 International: $2.00</b>
Reload fee: Free (maximum of 3 reloads per card life)

There should be a foreign currency fee deducted with card usage, according to this article:
http://www.startribune.com/stories/1614/5126484.html
&quot;...Like credit and debit cards, purchases made abroad using a travel card are converted automatically into the currency of the country and then deducted from the card amount. <b>There is usually a foreign currency conversion charge</b> for this service...&quot;

Would the card be beneficial to me if I didn't use it at ATM's, but used it like a debit card for making purchases at stores and restaurants and places like that?

Maybe I'm confusing the card with the card offered by AMEX, which I think will be accepted by store merchants as well as at ATM's (if you can find one that accepts AMEX). Anyway, is the TravelMoney card only accepted at ATM's or can it be used in stores too?

Mdellar, Sue quoted basically what I found out from AAA about the Travelmoney card. I cannot think of a lot of cases where this would make sense if you have your own credit cards and ATM card--definitely not for ATM use. I think they could be a possibility for parents who wanted a card for traveling children who didn't have a credit card or something like that.

If you really intend to use it only as a debit card, to avoid your own card's markup, I think that is a possible good use. You might have to worry about some places that don't take debit cards, though, I'm not sure about that issue. However, AAA did tell me there was no markup over interbank rate on that card when it was used as a debit card (Only at ATMs). So, it would mainly be the $5 activation fee.

Now I can't swear there isn't the one pct VISA charge, but that should be it, if any. AAA said there was zero markup when used as a debit, but when I questioned them about the 7% markup at ATMs, they said that included the 1% VISA surcharge. So that seems kind of odd they wouldn't have that 1% charge as a debit card, but that's what they said.

You can avoid the closing-out fee if you close it out yourself by using it, rather than going into a place to have them do it at a desk. Of course, to do that you'd have to know your exact balance and use it at an ATM probably (and pay the 7 pct markup plus $2 fee). I could see those charges not mattering so much if you put a lot of money onto it.

I don't see the point in buying one in British pounds. It's an electronic card, the appropriate amount will be deducted by VISA from your balance when they convert the charge into dollars if you bought it in dollars, just like any credit card or ATM withdrawal. I don't know -- maybe it helps you keep track of it better, or something. YOu'd have to ask them about how that works, and if that is the same terms I was asking about or if there is some currency conversion charge just to get it denominated in pounds. I suspect there is or the 7% markup on cash advances doesn't make a lot of sense. We never discussed the idea and I don't think I have even seen mention of that option. It's all electronic funds, anyway.

Thanks alot for taking the time to respond to my question. I really appreciate everyone who took the time to post. I think I will call AAA and find out about what kind of charges I would incure if I just used it as a debit card, and if I would have to pay to convert the money. Thanks again!

If anyone has used the Visa TravelMoney card I would appreciate any feedback.

I am taking a group of teens to Europe. Several of them do NOT have bank accounts with debit cards at this point so I need a plan!

Thanks!