paul4548

Alright, call me an old-timer, but last time I was overseas, traveller's cheques were the best way to take money with you. I don't think that's the case any more.

What's the best way to do money overseas? I'm headed to the UK. I guess everyone uses ATMs? But aren't the fees ridiculous?

A related concern is being questioned at the airport about how much money I have (will they turn you away if you only have credit cards and ATM card?).

Opinions please! If there are any links you can refer me to, please post them!

rwoman

I'm not sure I've seen anyone use travelers checks recently.

Most use credit cards and/or ATMs.

Credit cards - be sure to contact your bank to alert them you're traveling abroad. Also ask if they assess foreign transaction fees.

The ATM fees vary depending on your US bank. If you bank with Bank of America, you can pull GBP out of Barclays with no ATM or foreign transaction fees.

I would not change money at Heathrow - you should be able to use a credit card for the train and/or taxi depending on how you plan to get into London.

The following thread may be useful:
UK & Ireland forum: http://www.flyertalk.com/forum/u-k-ireland-484/

travelmad478

ATMs.
No, particularly if you use your own bank's branch (for instance, Barclays, Citi, HSBC, etc. have branches in the UK). Don't forget, a "fee" is built into the exchange rate you get for your travelers' checks, too.

No. The UK neither asks nor cares how much cash you are bringing in or out.

rwoman

Not exactly...

Per UKBA:
http://www.hmrc.gov.uk/customs/arriv...aring-cash.htm

travelmad478

As the OP is apparently asking whether the UK cares that he is bringing in a minimal/zero amount, I'd say my answer does the job...

The UK entry card does not ask how much cash you are bringing in.

rwoman

Just because it's on on the card does not mean it's not expected said amount should be declared.

JY1024

Since the OP is headed to the UK, let's move this over to the UK/Ireland forum for further discussion. Thanks! . /JY1024, TravelBuzz co-moderator

Gagravarr

Your best bet is normally to get a card that doesn't charge fees for non-sterling transactions, and doesn't charge a cash withdrawl fee. Most UK banks seem to whack you with ~3%, often plus £1-£2 in the process, so don't use your normal card! Get one specificially to use abroad.

Raffles sometimes covers the best no-FX-fee cards on HeadForPoints, so have a look there. I personally have a Halifax Clarity, which is fine as long as you pay it off shortly after using (to minimise the interest), but the online site for it is really annoying... MSE have a whole section on it if it's all a bit new to you!

Sixth Freedom

If you can get a fair exchange rate I would just take cash.

I declared > 10k EUR in cash once. HMRC officials did not seem particularly bothered - I think they had more important things to look out for. But declaring the cash was important since it gave me peace of mind that I had done the right thing and would not have to worry about any potential awkward questions later.

HIDDY

I remember the Travellers Cheque days....when travel was more of an adventure even in Europe. However not only were they a nuisance to cash they were also a bit of a rip off as well so I'm glad those days are over.
Using plastic is less hassle and much safer than carrying lots of cash. Best to get some Sterling before you leave though as it always good to arrive with some money in your pocket.

Be aware that some ATM's in the UK even charge the locals to use them.

jacobitetraveller

make sure you have some uk currency for when you arrive---depending how you will travel from the airport id suggest between £50-£100

check with your bank on their charging policy---if you feel the charges are too high then consider a prepaid currency card

when using ATM try NOT to use independent ATMs as in self standing ones in convenience stores etc----if there is a charge for using them it is clearly stated on the machine[legal requirement]

paul4548

Thanks for all the replies!

Sounds like my best bet (for avoiding fees) is to get a Citi or Bank of America ATM card. Not sure I gave myself enough time to get the card.

paul4548

I think I have a Capital One credit card that has no foreign transaction fees, so I'll take that for large purchases.

Wondering if I can use it for cash, too, but even if I pay the account immediately (so as not to accrue high interest rates on cash advances), I suspect the cash advance transaction fee would make it a bad choice.

Heck, in the US it's common to use credit cards for small purchases too. Since I will be paying a currency exchange "fee" no matter what I do, is it a good choice to try to use my no-foreign-transaction-fee Capital One card for as many of my purchases as possible? Does the tube, for example, take credit cards?

:D!

That's because the UK entry card is an immigration card. Customs is a separate process which most travellers sail through, and it is based on intelligence, honesty and going for the big fish rather than questioning every person.

As would I. USD cash, to be precise. I would then change it at http://bestforeignexchange.com/Excha...ange-rates.php in Hammersmith, which requires booking online on a tablet device (or having access to a printer).

The EUR 10K is the threshold for declaration. There is no limit on the amount of cash you can bring in or out, but it must be declared. Even if you only brought £1000, it could be seized if you were suspected to have obtained it through crime.

That depends on whether there is a fee built into the exchange rate. In the UK this is no longer allowed, and the fee must be shown separately, but I don't know about the US. My Capital One credit card (UK) uses the MasterCard exchange rate and has no forex fee, so if I don't take cash, I would use that for every purchase I could.

Some small shops may not take credit cards for amounts under £5 or £10.

The tube takes credit cards if they have a chip and PIN.

lhrsfo

Credit cards are routinely taken for all transactions, except very small ones, particularly in smaller shops.

The real issue here will be having a credit card without Chip and Pin. VISA and Mastercard have put the fear of God into small shopkeepers about accepting such cards and many will just say no because they don't understand the procedures and are frightened (with some justification) that they will get stung by the card issuer. If you have a contactless technology card (not sure if they have appeared yet in the US) this will resolve the Chip and Pin issue for smaller transactions.

So, in short, carry a debit card and a credit card and you will be fine. I really wouldn't come with piles of cash, for which you will get a very poor exchange rate and, worse, could get stolen.