I’m traveling for a fortnight to Germany, and given that the last time I left the U.S I was 10 years old, I don’t know the first thing about how to deal with money over there.
What have you guys done to fund you trips abroad, specially in Europe/Germany.
Tell me about traveler’s checks. Can I use my ATM/Visa card over there? My Master Card credit card? Should I purchase some Euros before going there? And where can I purchase them? Does the airport provide this service?
Anything else I need to be aware of when dealing with money while traveling abroad?
Take your credit cards and your ATM card and just get some Euros from the ATM in the airport terminal. It’s been years since I did anything different, even going to Asian countries. If you’re catching a train at FRA you might not actually need cash until you get to a city center, where you’ll be surrounded by banks with ATMs. Put a couple of hundred dollars in your pocket just in case something goes terribly wrong and you have to change money the old-fashioned way.
Using your ATM card is the easiest Plus, if memory serves, I believe it is the cheapest in the long run. I read where if you use your card for cash and purchases, your bank will calculate the best exchange rate during the entire month you use the card so you don’t have fluctuating rates each day, just the one (cheapest) rate for all use for the month.
This might not seem like a big deal, but exchange rates can fluctuate quickly so it will make a difference. Right now, the dollar kind of sucks vs the Euro, so every couple of dollars saved is worth it.
The cool thing in Germany is that tax is included in all purchases. If you buy clothes at a shop, there is no extra tax. If you buy food at a restaurant, no extra tax. So whatever you see for 15 Euros costs exactly 15 Euros, not 16.78 Euros or something. Also, tips are much smaller because service charges are also included. Assuming you are an American, do not keep the USA 15-20% tip mentality while you are there at a restaurant!
Your credit cards will work virtually everywhere – the only potential glitch is that Germany has pretty much moved over to “chip and pin” credit cards which are pretty much unavailable in the US, and do not use the magnetic stripe on the back of your card. Fortunately, merchants can still swipe your card, but in my experience, every once in a while the credit card reading machine just plain does not like magnetic stripes. This will probably not happen to you, but once in a while it does.
Your ATM card will be good at most ATMs, but some are chip and pin only. It really isn’t a big deal to find another ATM if you happen across one that won’t accept your card. It is also helpful if your ATM pin is only four digits. Mine is, but I have heard stories about some ATM that will not accept pins of 5 or more digits.
Withdrawing cash from the ATM is definitely the way to go. I’m surprised anyone uses travelers checks anymore. Just be aware that you will be charged fees to withdraw foreign cash, but the exchange rate and the fees make ATMs a better deal than any other way of getting cash.
Since you can find an ATM anywhere, I have never found the need to get cash before departing on a trip. Just use an ATM at the airport when you land, they will be common.
I went to England and France last year and never had any trouble using my ATM card. However, I did buy British Pounds before I left, just because I wanted cash for use as soon as I landed, just in case there was trouble finding an ATM that worked. My bank did this for the standard exchange rate plus a small fee, and I think it was worth it for the peace of mind and not having to worry about finding an ATM immediately upon arrival for the cab fare or whatnot.
I had one credit card not work in some machines for some inexplicable reason. Otherwise no trouble. I would HIGHLY advise calling all your cards to alert them you will be in Germany so they don’t block charges on suspicion of fraud. Some cards do this when they see unusual charges, like ones that take place in other continents.
My daughter is living in Germany. What has been said about ATM card and credit card is correct. (The only caveat - no one in Europe takes Discover.) However I’d recommend finding a branch of your bank here that deals with international currency and getting some to start with. You can get some smaller bills which will help when you arrive.
Things today are much much easier than in pre-Euro days.
Where are you going, by the way?
Thanks so much guys, that’s a load off my mind. Ill be in delitzsch mostly but will also be visiting Leipzig and other nearby locales. Will probably also spend a day or two in Berlin.
It doesn’t hurt to have at least a little Euro cash on you. I take it for cabs and things like that. You never know when cash is more handy. You can buy it at the airport or your bank. If you just get a small amount, the bank will probably have it on hand. If you want a large amount you’ll need to order it in advance as it may take them a few days to get it.
Call your bank before you travel and tell them you’re going to Germany. They appreciate the heads ups and you’ll appreciate your card being declined in the grocery store
When paying by credit card, be aware that in addition to the exchange rate, most cards charge a foreign transaction surcharge (and it’s not minuscule either). There are cards out there that explicitly market themselves as having no foreign transaction charge (Capital One Venture card comes to mind). If time permits, might want to sign up for one of those. Google just what you’d excpect – credit card no foreign transaction fee.
