Traveler's Checks: Philadelphia's Top Spots For Purchase

Traveler's checks are a secure way of carrying money while traveling abroad. They are paper documents that can be exchanged for local currency or used to buy goods and services. They are available in set denominations in a variety of currencies and can be purchased from financial institutions like banks and credit unions. In Philadelphia, you can buy traveler's checks from select banks and credit unions, as well as travel-related service organizations. However, it is important to note that traveler's checks have become less common due to the increasing use of credit and debit cards, and you may encounter fewer merchants who accept them.

Banks that sell traveller's cheques in Philadelphia

Traveller's cheques are a safe way to carry money while travelling abroad. They are prepaid fixed-amount paper cheques that can be used to buy goods or services or exchanged for cash. Traveller's cheques are purchased for set amounts and come in several fixed denominations in a variety of currencies. They are not linked to a customer's bank account or line of credit and do not contain personally identifiable information, eliminating the risk of identity theft.

In Philadelphia, you can purchase traveller's cheques from banks and credit unions, although their numbers have significantly dwindled today. Here are some banks that sell traveller's cheques:

Citibank

Citibank offers Visa traveller's cheques at its locations nationwide, including in Philadelphia.

American Express

American Express is another company that offers traveller's cheques. While they are no longer issued and cannot be purchased, you can redeem existing American Express traveller's cheques at various locations, including foreign exchange partners worldwide.

Local Banks

Some local banks in Philadelphia may also sell traveller's cheques. It is recommended to call or visit your nearest bank branch to inquire about the availability of traveller's cheques.

It is important to note that the use of traveller's cheques has declined in recent years due to the increasing popularity of credit cards, debit cards, and other electronic payment methods. Traveller's cheques may also incur fees, such as purchase fees and exchange fees.

Pros and cons of traveller's cheques

Traveller's cheques are a once-popular medium of exchange used as an alternative to hard currency for tourists. They are typically used by people travelling to foreign countries and can be purchased for set amounts. They can be used to buy goods or services or be exchanged for cash.

Pros

• They are easy to carry.
• They can be replaced if lost or stolen. Traveller's cheques have a unique serial number, so if they are lost or stolen, the issuing company can cancel that cheque and provide a new one.
• They are widely accepted around the world and can be exchanged for local currency.
• They do not have an expiration date.
• They are not linked to a customer's bank account or line of credit and do not contain personally identifiable information, eliminating the risk of identity theft.
• They may carry lower fees than credit cards.

Cons

• They may not be accepted everywhere.
• They might be harder to find.
• There may be fees to use them.
• It can be challenging to exchange traveller's cheques for cash, especially in smaller towns that may not have cheque-cashing services.
• Traveller's cheques typically carry less competitive exchange rates than what credit cards offer.
• It can be difficult to keep track of all the serial numbers of each cheque in the event that they need to be cancelled or replaced.

Alternatives to traveller's cheques

Traveller's cheques, or checks, are becoming less common and harder to find, with many retailers and institutions no longer accepting them. There are now several alternative ways to safely access your money while travelling. Here are some of the best options:

Credit Cards

Credit cards are a convenient way to make purchases while travelling, especially for large purchases such as plane tickets or hotel bookings. They offer fraud protection and can be used to earn rewards on travel-related purchases. It is best to get a credit card with a Visa or Mastercard logo and an EMV chip so that it will be widely accepted. Some cards also offer benefits such as free rental car insurance and reward points. However, be sure to check your bank's international transaction fees and look for cards with no foreign transaction fees, low cash advance fees, and competitive interest rates.

Debit Cards

Debit cards are another option for making purchases and withdrawing cash from ATMs. Like credit cards, it is best to get a debit card with a Visa or Mastercard logo and an EMV chip for wide acceptance. When choosing a debit card, look for checking accounts with low account and ATM fees, no foreign transaction fees, and fraud protection.

Prepaid Cards

Prepaid cards are loaded with a designated amount of money and can be used like a debit or credit card. They are not linked to your bank account, which can help protect your funds if the card is lost or stolen. Prepaid cards can be purchased with major credit card logos and are available at banks and retail stores. However, many cards have high fees, such as activation and cash withdrawal fees, and may also charge international exchange rates.

Mobile Wallets

Mobile wallets are a digital version of your physical wallet, allowing you to store credit cards, debit cards, prepaid cards, and other personal data on your phone or mobile device. They offer convenience and advanced security, but some merchants may not accept mobile wallet payments.

How traveller's cheques work

Traveller's cheques are a form of payment issued by financial institutions. They are paper cheques that are prepaid and fixed-amount, operating like cash. They are typically used by people when travelling to foreign countries, as they offer a safe way to travel without the risks associated with losing cash. Traveller's cheques can be used to buy goods or services or be exchanged for cash.

Traveller's cheques are purchased for set amounts and usually come in several fixed denominations in a variety of currencies, such as US dollars, Canadian dollars, pounds sterling, Japanese yen, Chinese yuan and euros. They do not have an expiration date and are not linked to a customer's bank account or line of credit, eliminating the risk of identity theft. They are also widely accepted around the world.

When purchasing traveller's cheques, customers are usually required to sign them twice: once when buying them and again when using them to make a purchase. This dual signature system is designed to prevent anyone other than the purchaser from using them. The merchant can verify that the second signature matches the first.

Traveller's cheques can be cashed in several ways. They can be deposited into a bank account or exchanged for local currency at financial institutions, hotels, or currency traders. Some hotels and resorts may also provide this service to guests at no charge.

While traveller's cheques were once a popular way to carry money while travelling, they have now been largely replaced by credit cards and prepaid debit cards. However, they can still be purchased from a limited number of issuers, including Visa and AAA.

History of traveller's cheques

The history of traveller's cheques dates back centuries, with early versions of the concept appearing as early as the Middle Ages. Here is a detailed history of traveller's cheques:

Medieval Origins

The Order of the Knights Templar, a group of warrior monks who answered only to the Pope, issued letters of credit to pilgrims in Medieval Western Europe around AD 1119. Pilgrims could deposit their valuables at a Templar house and receive a letter describing their holdings, which they could then present at other Templar houses to withdraw funds. This early system allowed pilgrims to travel without carrying large sums of money, which would have made them targets for thieves.

First Official Traveller's Cheques

The first official traveller's cheques were issued by the London Credit Exchange Company on 1 January 1772 and were valid in 90 European cities. These cheques were similar to modern traveller's cheques, as they were pre-printed and for fixed amounts.

Thomas Cook's Circular Notes

In 1872, Thomas Cook conducted the first round-the-world tour and recognised the difficulties travellers faced when dealing with multiple currencies. In 1874, he created "circular notes", which were available in £5 and £10 denominations. These circular notes were essentially traveller's cheques, and they would later be rebranded as such by American Express.

American Express Traveller's Cheques

In 1891, American Express developed a large-scale international traveller's cheque system to supersede traditional letters of credit. This innovation is often attributed to American Express employee Marcellus Flemming Berry, who devised the idea after the company's president, J.C. Fargo, struggled to cash a letter of credit in smaller European cities. American Express is still the largest issuer of traveller's cheques today.

Golden Age of Traveller's Cheques

Between the 1850s and the 1990s, traveller's cheques were one of the main ways that people carried money while travelling abroad. They offered a safer alternative to cash, especially for those who could not afford to lose their funds. During this period, several brands of traveller's cheques were marketed, including Thomas Cook, Bank of America, and American Express.

Decline and Phase-Out

In the 1990s, the rise of more convenient alternatives like credit cards, debit cards, and ATMs led to a significant decline in the use of traveller's cheques. Security concerns among retailers also contributed to their decreasing acceptance. Today, traveller's cheques are no longer widely accepted or easily cashed, even at the issuing banks. American Express, for example, no longer issues new traveller's cheques, although existing ones remain valid and backed by the company.

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