trying not to bring too much cash because of all the theft stories. easy to cash traveler's checks? if we go the atm route, how much are we charged as a fee each time?

Traveler's cheques, in my opinion, work best if you just use them at hotels that have agreed ahead of time to accept them. Not sure what the ATM's charge, but it isn't a huge amount; and they are certainly a convenient alternative to starting out with a lot of cash.

the main worry with ATMs is " will they work?"

if the power has gone out the ATMs often have issues and the power goes out a lot- do not depend on the ATMs during the weekend

travelers checks are easily cashed in banks(2%) and upscale hotels

Bring travler's checks as a backup. Use ATM's and you will save on the exchange. ATM fees vary by bank. I was just in Spain and most were charging $5.00 per transaction. Usually about the same in Mexico, so I try to get as much as I am comfortable having in cash to avoid too many transaction fees.

Just back - had problems with Travelers checks even at hotels b/c they are very strict on the signatures being 100% identical. The only place that I was successfull in cashing them was at a bank in town. I would rely more on cash, visa and ATM. I never had an issue with ATMs - always found one, and it always worked.

Hello, whenever itīs possible use CC ( Visa and Master ). For cash I use ATM (card with Maestro sign). The best expierence I made with ATM of Banco Nacional. You can get 200000 Colones max. I pay for a transaction about 5 $ and get good exchange rates. Tip! Use ATM only at bank open hours.
Saludos
costaklaus - www.costaricaweb.de