
Travellers cheques are paper documents that can be exchanged for local currency or used to buy goods and services abroad. They are typically available in set denominations and feature unique serial numbers, making them replaceable if lost or stolen. Although travellers cheques are not as common as they once were, they can still be purchased at some banks, credit unions, and travel-related service organisations. In the US, American Express travellers cheques are accepted at the post office when the customer uses at least 50% of the face value for the purchase of postal services. In the UK, unused travellers cheques can be cashed at any local post office, although there may be associated fees and poor exchange rates.
Characteristics | Values |
---|---|
Can I buy travellers cheques at the post office? | No |
Can I exchange travellers cheques for cash at the post office? | Yes |
Are there any conditions for exchanging travellers cheques at the post office? | Yes, the U.S. Postal Service accepts American Express Travellers Cheques and American Express Gift Cheques when the customer uses at least 50% of the face value for the purchase of Postal Service products and services. |
What You'll Learn
Where can I buy travellers cheques?
Traveller's cheques are becoming less common, but they can still be purchased from some banks, credit unions, and travel-related service organisations. They can be a useful alternative to cash when travelling, as they can be replaced if lost or stolen.
In the US, American Express Traveller's Cheques can be purchased at the post office, but only when the customer uses at least 50% of the cheque value for the purchase of postal services and products.
In the UK, unused traveller's cheques can be cashed at any NM Money or Eurochange branch.
Least Busy Travel Days Revealed
You may want to see also
What are the benefits of travellers cheques?
Traveller's cheques are pre-printed, fixed-amount cheques that can be used as a medium of exchange in place of hard currency when travelling. They are available in several currencies, including US dollars, Canadian dollars, pounds sterling, Japanese yen, Chinese yuan and euros. They are also available in smaller denominations, making them accessible to travellers of modest means.
Security
Traveller's cheques are generally considered safer than carrying physical cash. They are also insured against theft and loss. If they are lost or stolen, the issuing financial institution can refund or replace them, provided the serial numbers are known. This makes traveller's cheques a more secure option than cash, where if it's gone, it's gone.
Acceptance
Traveller's cheques are accepted in most places, either directly or indirectly. They can be used to make purchases at participating hotels, restaurants and stores. If a merchant does not accept traveller's cheques, they can be easily converted into local currency at participating banks or cheque-cashing agencies. This gives travellers the flexibility to access funds as needed.
Lower fees
Traveller's cheques may carry lower fees than credit cards. While there may be fees associated with purchasing and exchanging traveller's cheques, credit cards often charge foreign transaction fees and currency conversion fees, which can add up quickly.
No expiry
Traveller's cheques typically do not expire, so unused cheques can be kept for future trips or exchanged for the local currency upon returning home. This provides travellers with flexibility and peace of mind, knowing that their funds will not disappear if not used during a specific time frame.
Exploring the Land of Fire and Ice: Is a Visa Required for Travel to Iceland?
You may want to see also
What are the drawbacks of travellers cheques?
Traveller's cheques are not as popular as they once were, and there are several drawbacks to using them.
Firstly, they are not as safe as they used to be. They can be forged, so businesses may be suspicious of them and may not accept them as payment. You may need a manager to authorise your cheque, and you will likely need to show two types of identification. This can be time-consuming and frustrating, especially if you are on holiday.
Secondly, traveller's cheques are not accepted everywhere. This is especially true for smaller businesses, as it takes extra time and money to process the cheque.
Thirdly, traveller's cheques can be expensive. They have higher interest rates and exchange rates, and banks charge additional fees to issue them.
Fourthly, replacing lost or stolen traveller's cheques can take time. You will need to keep your shopping receipts and a list of cheque serial numbers, and it can take a couple of days to receive replacement cheques.
Finally, traveller's cheques can be inconvenient and limit spontaneity. They may not be useful if you want to make a quick purchase or have a small snack, as you will need to go to a local bank or currency exchange to get cash.
UK Visa: Travel Access to Commonwealth Nations?
You may want to see also
How do I cash travellers cheques?
To cash a traveller's cheque, you must present it to the acceptor or bank where you wish to cash it. The acceptor will watch you countersign the cheque in the lower left-hand corner and then compare it to the original signature in the upper left-hand corner. If the signatures match, the cheque should be accepted.
Traveller's cheques can be exchanged for local currency at banks, foreign exchange bureaux, and American Express Travel Service locations. However, acceptance is becoming less common, so it is worth checking whether your destination country accepts them.
Some merchants, such as hotels, will accept traveller's cheques, though cashiers may not know how to process them. In Los Angeles, most supermarkets will cash US dollar traveller's cheques without a fee.
Traveller's cheques can also be deposited into a personal bank account, though there may be associated fees.
UK Visa: Can I Visit Edinburgh?
You may want to see also
What are some alternatives to travellers cheques?
Traveller's cheques were once the standard way to carry money when travelling internationally. They are safer than cash because they can be tracked and replaced, and they are available in many different currencies. However, they are rarely used today, as they are costly and cumbersome, and cashing them requires a trip to a local bank or exchange office.
Credit Cards
Credit cards are a convenient way to make purchases while travelling, especially for large purchases such as airline tickets or reservations. Many card issuers offer rewards or other perks for purchases made on the card. It is important to understand your bank's international transaction fees, as these can add up quickly. Some companies, such as Capital One, do not charge foreign transaction fees on their credit cards.
Debit Cards
Using a debit card to access cash at local ATMs is often recommended by travel experts. This allows you to carry local currency, which is still king in much of the world, and can be useful for haggling at street markets or shops that do not accept cards. Be sure to check your bank's transaction fees before travelling, as debit card issuers can charge a wide range of ATM fees. Some banks, such as Capital One, do not charge foreign transaction fees for debit cards.
Prepaid Cards
Prepaid cards branded with major credit card logos are a direct replacement for traveller's cheques. They allow you to load a designated amount of money onto the card and then use it as a debit or credit card. Many cards offer perks such as card replacement and zero liability in the event of theft. However, many cards also have high fees, such as activation and cash withdrawal fees.
Mobile Wallets
Using a mobile wallet to make purchases is another modern alternative to traveller's cheques. A mobile wallet is a digital version of your physical wallet, allowing you to store credit cards, debit cards, prepaid cards, and other forms of payment. Mobile wallets can be convenient and allow for quick and easy payments using your phone or mobile device.
Does WWOOF Provide Travel Expenses for Volunteers?
You may want to see also
Frequently asked questions
Yes, you can buy travellers cheques at the post office.
A traveller's cheque is a paper document used for making purchases when travelling, typically in other countries. It can be used as cash or a regular cheque.
You can cash in your traveller's cheques at your local post office or bank. You will need to provide photographic ID such as a driver's licence or passport.
Yes, there are several alternatives to traveller's cheques, including credit cards, prepaid cards, and mobile wallets.