How to bring money backpacking?

v.e.r.b.a.l

I'm aware of the sticky about debit / credit cards working abroad, but in general for travelling backpacker style around the world, what's the best system for bringing / dealing with money abroad?

I'm unsure wheter to rely on simply taking money from ATMs abroad - is there a big charge for this?

There's also the option of relying on credit cards abroad, but i think there could be an even bigger charge for each transaction on this.

Then there's the age-old dated option of travellers cheques which i don't like at all.

Any advice from people who've done this before?

Thanks!

RATM

The way I prefer to do it for long trips is this-

Travel with two cards- a credit and a debit which has Cirrus/Maestro on it. Make sure you have online banking set up on both and have registered the credit card bill to be paid from the debit account. Then load up the CC with however much you think you'll need, ie use it as a debit card so they own you money for a change. Withdraw amounts of €200-300 at a time in local currency. If there is no more money left in the CC account then do a transfer from the debit. This way you'll only get charged the foreign exchange rate on the day rather than being stung for other bank charges.

Otherwise I always carry $200 of Travellers Cheques and then email the serial numbers on them to myself. They are for emergencies only, if my wallet/cards were nicked. That way even if everything gets taken I still have $200 I can cash in which will hopefully do me for food and beds until an emergency credit card comes through from a local bank.

dory

Totally agree with RATM. I did the internet banking credit card trick as well and wasn't charged a thing. Also, I kept two €50 hidden on me or in a bag. They are accepted the same as dollars in currency exchange shops all over the world, and just changing one note could have tied me over for a while if I got into trouble.

v.e.r.b.a.l

So, basically I leave my money in say an AIB account, then I bring a Laser card and a Mastercard with a cirrus symbol on the back, I transfer money from the current account online onto the Mastercard and withdraw that from an ATM abroad? And this doesn't charge you everytime you do this?

RATM

No, there should be little or no charges, at least in comparison to withdrawing on a Cirrus/Maestro card which will hit you for around 3-4% of all money withdrawn ( adds up to quite a bit over time ).
If you load money onto your CC then they technically owe you money and it costs you only the exchange rate on the day to withdraw it. However if you make the mistake of withdrawing more than what is in the CC account then you will be charged a cash advance fee which has interest of 18-24%. Avoid this at all costs, withdrawing €100 could end up costing you €124. Ensure you make adequate transfers from the debit account so this doesn't happen.

breadmonkey

I rang AIB to ask about the fees for withdrawing from a credit card that's in credit and the guy told me this: while AIB do not charge, some banks which run ATMs do, so it would be the same as just using your normal bank card unless you carefully select the ATMs you use. Bit of a mouthful that one.

Anyway, looking around for ATMs of a certain bank just isn't going to be an option under a lot of circumstances so I just withdrew using my normal bank card. I always took out as much as possible to keep the withdrawal fees to a minimum. This does mean that you often have a lot of cash on you so be careful!

Zillah

I´ve been in South America for almost three months now and I´ve used nothing but my mastercard with a positive balance. ATMs are no problem, 95% of places you´ll be will have ATMs that accept your card and the other 5% will almost always have banks that let you do a cash advance on your credit card. They charge a fee for that but it´s handy if you´re stuck. I´ve only had to do that once in all my travels across Brazil, Argentina, Chile, Bolivia and Peru. And I don´t even take out huge amounts, I usually go to an ATM every three or four days.

Arcee

I spent a couple of months in Asia last year and used my Permanent TSB visa to withdraw cash. I was charged €2 for each withdrawal regardless of the amount. I also used my laser card occasionally but found the charges to be much higher - they were a percentage of the amount withdrawn. Personally, I carry big enough chunks of cash spread around my luggage just in case there is no ATM handy. I know carrying cash is risky but I've never had any problems and find it handier than having to look for somewhere to cash travellers cheques as you usually need your passport on hand to do this and may not be somewhere that has a decent bank. Travellers cheques are also a hassle if you arrive somewhere late in the evening or at a weekend and no banks are open. Depends how remote you're going to be.

AFC_1903

Here's a good way to hide your money, but in open sight!

http://www.pfadvice.com/2007/01/26/skid-mark-safe-disgusting-but-if-it-works/

:pac::pac::pac:

v.e.r.b.a.l

hmmm. i'll admit that's pretty clever, but i'd be the talk of the hostel!!!

although i could have a cool nickname like "skid"

RxQueen

bahaha thats awesome!! :pac:!

S.M.B.

RATM's reply is spot on.

I don't think I was ever charged a withdrawal fee when using a credit card with a positive balance throughout all of SE Asia.

Although I do recommend regularly transferring small amounts of cash from your current account to your CC account rather than having a large sum of money as I think the CC company would not be in any way responsible for the loss of these funds should your card be stolen.