Travelers’ Checks

In my opinion, travelers’ checks are damn near obsolete, a holdover from the time before electronic banking. Back then it was impossible for banks to efficiently communicate information about the validity of a person’s personal check across continents. Since nobody wanted to carry big wads of cash, travelers’ check companies could sell their guaranteed checks as a kind of universal currency. Well, we don’t use rotary phones and typewriters very much anymore, and that’s how I feel about travelers’ checks. It is far simpler and more convenient to walk up to an ATM and pull out a few hundred bucks in local currency than it is to find someone willing to cash a travelers’ check for a fee. Travelers’ checks also have the drawback that you pay a commission twice: once when you buy them, and then again when you cash them - though this may be avoidable (see below). In any case, ATMs are sprouting up everywhere, even in small towns.

The one good thing about travelers7 checks is that they can be replaced if lost or stolen, although this is not nearly as fast, simple, or easy as commonly believed. Generally, you will need the serial numbers of the checks that were lost/stolen, and the date and place of purchase. If you do get travelers’ checks, keep at least one list with you (separate from the checks, of course) and keep another list at home in an obvious spot. Study the refund procedures for your specific company very thoroughly before leaving, as they can sometimes be complicated. You can’t just pick up a phone, say “I lost my checks,” and expect replacements to be delivered to you in an hour. No way.