Who Uses Travelers Checks (cheques) Anymore?

why use travellers checks?

Yes and No.  Travelers check use has fallen out of favor with many international travelers.

In many areas, there are fees associated with cashing travelers checks.  That fee can be almost as much as an ATM withdrawal, and the fee is PER CHECK CASHED.  Remember travelers checks fees occur on the front end (when you buy them) and often on the back end (when you cash them!).

You should get a slightly higher exchange rate than cash, but you will still be lower than ATM cards.  Remember you paid a fee to BUY the travellers checks in your own country (in most cases).

travellers cheques are not used as much anymore  Take a look at the chart to the left.

Submit $100USD cash — receive 2862 Thai Baht.
Withdraw $100USD at atm* — receive about 2900 Baht.
Submit $100USD travelers check — receive 2956 Baht.

So you received 94-baht extra, but paid 150-baht to cash the travellers cheque.  In the end, you net 2900-baht! Compare that to ONE charge of 180-baht for withdrawing up to about $800.

You will be required to present your passport or other government ID.  They are often ridiculous about checking the ID’s and may make copies of your ID.

The Good … Travellers Cheques can be replaced immediately if lost or stolen.

TRAVELERS CHECK DANGERS:  But here is another reason to NOT be dependent on T/C.  Imagine getting into an accident.  You are in the hospital and need money.  You can give your friend your ATM card and pin code for him to get money for you.  But you CAN NOT give him your travellers checks because ONLY YOU can cash them.

If you really feel the need (I know my Mom would!), then buy a few and put them away in your emergency bag.  However, you will find that there are better and cheaper ways of getting cash.

*Yes, if you used an ATM, there would be a fee of 180-baht for the entire transaction.  And if you followed our advice, your ATM card provider would REFUND the 180-baht ATM fee to you.

 

 

Leave a comment

Your email address will not be published.

*