Credit Card or Cash fro travelling in Europe

groceryalerts · 06-03-2009, 11:52 AM

I am going for my honeymoon in August (Spain, Italy, and France) for 3 weeks and I haven't traveled as an adult to Europe.

Should I take my credit card (easier for me), or should I take out traveller cheques or cash?

I get miles on the credit card but I don't know the exchange the credit card (MBNA Alaska Airlines) gives?

Any advice?

mfd · 06-03-2009, 11:58 AM

cash and credit cards.

When we traveled Europe. I always kept our cash and CC's in a money belt. We just kept some spending money in our pockets so that I wouldn't have to access the money belt throughout the day. We also hid a credit card in one of our suitcase's just in case anything happened. It worked well for us.

CuriousReader · 06-03-2009, 12:03 PM

I generally hate charging foreign currency expenses on credit card because their conversion rate is generally high (bad for us). I always try to pay everything in cash since exchanging the money before hand, you usually end up with better rates.

Or you can use traveller cheques too if you worry about carrying large amount of cash

Alexandra · 06-03-2009, 12:15 PM

We always used a combo - mostly credit cards for their convenience and worry-free factor and some cash for markets and places that don't take credit cards. Smaller places generally don't take traveller's cheques.

Spidey · 06-03-2009, 02:16 PM

Without question use credit cards. Bring more than one type as sometimes one is accepted and not the other. We carried Mastercard, Visa and American Express. (You still have time to apply for the ones you need.) We only carry the equivalent of about $100 CDN per person in Euros. Be carefull with cash and use a money belt in big cities. I've found travellers cheques are a big hassle and not readily accepted. Credit cards are now fairly widely accepted and can be used at most supermarkets, gas stations and restaurants. Phone your card company before you go to tell them you will be in Europe, otherwise they may suspect fraud and freeze your card.

If your debit or credit card has "PLUS" on the back you can withdraw cash from your bank account at local bank machines.

lb71 · 06-04-2009, 09:49 AM

Forget about travellers cheques. They are a waste of money and time, since you have to find a place that will cash them. If you get a chance, pick up some Euros at a local exchange shop or bank before you head over. (Shop around.) Bring a few hundred euros to have as cash on hand for when you land. Then stick with credit cards and debit. Bank machines are everywhere. To minimize transaction costs, withdrawal large amounts at once (say 200-300 euros or even more if you are comfortable carrying that amount of money). Keep the money split between your and your spouse. And don't forget your money belt.

JC NewGrad · 06-05-2009, 07:53 AM

I went to France recently. I used my credit cards for most things, but found that cash was very useful in some situations as my credit card did not always work everywhere -- particularly at places that payment was "automatic," like at gas stations and toll booths. I'm not sure if you'll be driving, but the autoroutes (toll roads) do not accept North American credit cards and there are no ATMs at the service stops, so it's a real pain if you don't have cash. Also, a lot of the gas stations did not have attendants and the pumps only took European credit cards, so try and fill up at places with attendants when you can, as you might be out of luck later on.

As others have already said: travellers cheques are a waste of time and money.

Brad911 · 06-05-2009, 09:13 AM

Whenever I've been in Europe I've almost never had a problem with using my Visa card. The one time I did have a problem was in the UK using a busline that couldn't book their discount travel unless I had a UK Visa - so I had to pay full price. My new ATM card (chip secured Interac) works very well at any large financial institution in Europe. There is a small fee for withdrawals, but I've found that my Visa was very competitive for currency conversions.

Just inform them before you leave that you'll be in Europe so they don't think someone is on a joy-ride with your card

Geron · 06-05-2009, 10:58 AM

Cash and Credit Cards.

You'll pay about 2.5% extra in currency conversion fees with each credit card transaction (these fees are built into the exchange rate).

When you change cash at your bank, expect to pay about 1.5% extra in exchange markup.

So if you have a 1% cash back card, these two options are equivalent.

I use cash for small purchases and credit for hotels, major transport, major attractions and some restaurants.

In many European countries, tipping in restaurants means just rounding up the bill to the nearest euro, so it can be good to just pay cash at restaurants.

purplesnow · 06-05-2009, 11:27 AM

Cash and credit card, and told credit card company when I will be in europe, so that if there's any unauthorized charge after the date, credit card company will decline.
I exchanged euro here: http://www.guardianfx.com/
Mostly used cash over there, credit card is just backup plan in case I didn't have enough money.

06-03-2009, 11:52 AM	#1
groceryalerts Junior Member Join Date: May 2009 Location: Victoria, BC Posts: 13	Credit Card or Cash fro travelling in Europe I am going for my honeymoon in August (Spain, Italy, and France) for 3 weeks and I haven't traveled as an adult to Europe. Should I take my credit card (easier for me), or should I take out traveller cheques or cash? I get miles on the credit card but I don't know the exchange the credit card (MBNA Alaska Airlines) gives? Any advice? __________________ Your source for grocery deals! http://www.groceryalerts.ca/

06-03-2009, 11:58 AM	#2
mfd Senior Member Join Date: Apr 2009 Location: Toronto, Ontario Posts: 192	cash and credit cards. When we traveled Europe. I always kept our cash and CC's in a money belt. We just kept some spending money in our pockets so that I wouldn't have to access the money belt throughout the day. We also hid a credit card in one of our suitcase's just in case anything happened. It worked well for us. __________________ My Findependence Day My Wealth, Savings and Investing Goals to Reaching Financial Independence

06-03-2009, 02:16 PM	#5
Spidey Senior Member Join Date: May 2009 Location: Ottawa Posts: 265	Without question use credit cards. Bring more than one type as sometimes one is accepted and not the other. We carried Mastercard, Visa and American Express. (You still have time to apply for the ones you need.) We only carry the equivalent of about $100 CDN per person in Euros. Be carefull with cash and use a money belt in big cities. I've found travellers cheques are a big hassle and not readily accepted. Credit cards are now fairly widely accepted and can be used at most supermarkets, gas stations and restaurants. Phone your card company before you go to tell them you will be in Europe, otherwise they may suspect fraud and freeze your card. If your debit or credit card has "PLUS" on the back you can withdraw cash from your bank account at local bank machines. Last edited by Spidey; 06-03-2009 at 02:25 PM.

06-05-2009, 09:13 AM	#8
Brad911 Member Join Date: Apr 2009 Location: London, Ontario Posts: 77	Whenever I've been in Europe I've almost never had a problem with using my Visa card. The one time I did have a problem was in the UK using a busline that couldn't book their discount travel unless I had a UK Visa - so I had to pay full price. My new ATM card (chip secured Interac) works very well at any large financial institution in Europe. There is a small fee for withdrawals, but I've found that my Visa was very competitive for currency conversions. Just inform them before you leave that you'll be in Europe so they don't think someone is on a joy-ride with your card __________________ Triaging My Way To Financial Success - A Source for Value & Dividend Investing

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06-03-2009, 12:03 PM	#3
CuriousReader Senior Member Join Date: Apr 2009 Posts: 164	I generally hate charging foreign currency expenses on credit card because their conversion rate is generally high (bad for us). I always try to pay everything in cash since exchanging the money before hand, you usually end up with better rates. Or you can use traveller cheques too if you worry about carrying large amount of cash

06-03-2009, 12:15 PM	#4
Alexandra Senior Member Join Date: Apr 2009 Location: Toronto Posts: 130	We always used a combo - mostly credit cards for their convenience and worry-free factor and some cash for markets and places that don't take credit cards. Smaller places generally don't take traveller's cheques.

06-04-2009, 09:49 AM	#6
lb71 Senior Member Join Date: Apr 2009 Location: Toronto Posts: 186	Forget about travellers cheques. They are a waste of money and time, since you have to find a place that will cash them. If you get a chance, pick up some Euros at a local exchange shop or bank before you head over. (Shop around.) Bring a few hundred euros to have as cash on hand for when you land. Then stick with credit cards and debit. Bank machines are everywhere. To minimize transaction costs, withdrawal large amounts at once (say 200-300 euros or even more if you are comfortable carrying that amount of money). Keep the money split between your and your spouse. And don't forget your money belt.

06-05-2009, 07:53 AM	#7
JC NewGrad Junior Member Join Date: Jun 2009 Posts: 18	I went to France recently. I used my credit cards for most things, but found that cash was very useful in some situations as my credit card did not always work everywhere -- particularly at places that payment was "automatic," like at gas stations and toll booths. I'm not sure if you'll be driving, but the autoroutes (toll roads) do not accept North American credit cards and there are no ATMs at the service stops, so it's a real pain if you don't have cash. Also, a lot of the gas stations did not have attendants and the pumps only took European credit cards, so try and fill up at places with attendants when you can, as you might be out of luck later on. As others have already said: travellers cheques are a waste of time and money.

06-05-2009, 10:58 AM	#9
Geron Junior Member Join Date: Apr 2009 Location: Ontario, Canada Posts: 2	Cash and Credit Cards. You'll pay about 2.5% extra in currency conversion fees with each credit card transaction (these fees are built into the exchange rate). When you change cash at your bank, expect to pay about 1.5% extra in exchange markup. So if you have a 1% cash back card, these two options are equivalent. I use cash for small purchases and credit for hotels, major transport, major attractions and some restaurants. In many European countries, tipping in restaurants means just rounding up the bill to the nearest euro, so it can be good to just pay cash at restaurants.

06-05-2009, 11:27 AM	#10
purplesnow Junior Member Join Date: Apr 2009 Posts: 6	Cash and credit card, and told credit card company when I will be in europe, so that if there's any unauthorized charge after the date, credit card company will decline. I exchanged euro here: http://www.guardianfx.com/ Mostly used cash over there, credit card is just backup plan in case I didn't have enough money.