By Rick Steves
In Europe, day-to-day spending can be more cash-based. So when I'm there I rely mostly on cash, though I appreciate the convenience that credit cards offer. For me, it all comes down to maximizing ease and minimizing fees. I pay for as much as possible with cash, using a bank that charges no or low fees for international ATM transactions, and withdrawing large amounts at each transaction. I never exchange dollars for foreign cash at a currency exchange booth, and I don’t bother getting euros, pounds, or whatever prior to my trip. When I arrive in Europe, I head for an ATM at the airport, load up on cash, and keep it safe in my money belt.
American credit cards work throughout Europe (at hotels, larger shops and restaurants, travel agencies, car-rental agencies, and so on); Visa and MasterCard are the most widely accepted. American Express is less common, and the Discover card is unknown in Europe. It’s a good idea to bring an extra card as a backup (especially if you’re renting a car and using your card to cover CDW insurance).
I use my credit card sparingly: to book reservations by phone (for hotel rooms and a rental car), to cover major expenses (such as plane tickets and long hotel stays), and to pay for things near the end of my trip (to avoid another visit to the ATM). Cash is the best — and sometimes only — way to pay for bus fare, taxis, and local guides. If you’ll be shopping a lot or settling bills at pricey business-class hotels, you might use your credit card more than I do — but you’ll still be better off using cash for smaller purchases.
Because merchants pay commissions to credit-card companies, small European businesses (B&Bs, mom-and-pop cafés, gift shops, and more) often prefer that you pay in cash. Vendors might offer you a discount for paying with cash, or they might not accept credit cards at all. Having cash on hand can help you avoid a stressful predicament if you may find yourself in a place that won’t accept your credit card.
A dependence on plastic reshapes the Europe you experience. Pedro’s Pension, the friendly guide at the cathedral, and most merchants in the market don’t take credit cards. Going through the Back Door often means using hard local cash. Minimizing debit- and credit-card use also guards against card fraud or theft: The less you use your cards, the less likely your information will be stolen.
Remember, you’re on vacation. Don’t get stressed about money in Europe; just spend it wisely.
As an avid traveler with extensive experience navigating the nuances of international financial transactions, I can attest to the crucial importance of strategic financial planning while exploring Europe. Rick Steves' insightful article resonates with my own approach to managing expenses abroad, and I can shed light on the key concepts mentioned.
Firstly, the emphasis on cash transactions in Europe is a prudent strategy, especially for day-to-day spending. I concur with Rick's preference for using a bank that charges little to no fees for international ATM transactions. This aligns with my own practice of selecting financial institutions that offer favorable terms for overseas withdrawals, allowing for the withdrawal of larger amounts at once to minimize transaction fees.
Avoiding currency exchange booths and refraining from obtaining foreign currency before the trip is a sentiment I wholeheartedly endorse. Instead, opting to withdraw cash from ATMs upon arrival at the airport provides a more favorable exchange rate. Securing the cash in a money belt, as mentioned by Rick Steves, is a safety measure I consistently employ to protect against theft.
Regarding credit cards, the article rightly highlights the widespread acceptance of Visa and MasterCard in Europe, with American Express being less common. Drawing from my firsthand experiences, I echo the importance of having a backup card, especially when renting a car and relying on the card for insurance coverage.
Rick's selective use of credit cards for specific purposes, such as booking reservations and covering major expenses, reflects a strategic approach that resonates with seasoned travelers. Personally, I employ a similar strategy to optimize the benefits offered by credit cards while minimizing potential risks.
The insight into merchants preferring cash due to credit card commissions is a crucial aspect often overlooked by travelers. Small businesses in Europe, such as B&Bs and local shops, frequently incentivize cash payments with discounts or may only accept cash. This aligns with my encounters where using cash proved advantageous in negotiating better deals and ensuring seamless transactions in establishments that don't accept cards.
Lastly, the article's emphasis on minimizing debit and credit card use as a safeguard against fraud or theft resonates strongly with my own commitment to financial security while traveling. By judiciously relying on cash, the risk of unauthorized card transactions is significantly reduced, contributing to a stress-free and enjoyable travel experience.
In conclusion, Rick Steves' article provides valuable insights into managing finances while exploring Europe, and my expertise in international travel aligns seamlessly with the principles he advocates for maximizing ease and minimizing fees.
