What's in Your Wallet?

One more quick post about money, while I'm thinking about it.

Just like in the US, your Visa or MasterCard is going to be accepted just about anywhere in France (other than a flea market or street market). So does it make any difference which card you use at that charming little French cafe or when you're buying that lovely new frock in Paris? Well it turns out that it does.

Most credit card companies charge a "currency conversion fee" of one or two percent for every purchase you make in a foreign country. This is basically a fee for nothing, and is one of the many reasons I'm not feeling too sorry for the greedy banks and the misery they are now going through.

But there is one (and only one) major credit card issuer that doesn't charge this fee at all and that issuer is CapitalOne. This is subject to change at any time, and I'm not suggesting you run out and get a CapitalOne card to save the two percent on your credit card purchases in France, but if you already have a CapitalOne card, that's definitely the one you should use on the trip.

I have one of their cards and it's the only one I use when traveling in a foreign country. It doesn't save a ton of money, but every little bit helps.

Don't forget to call your credit card companies a few days before we leave to tell them that you'll be in France. That phone call should prevent the security department of your credit card company from denying your purchases after you get there. The last time I did this, the companies had automated the process, so that I didn't speak to a human at all, but instead kept pushing buttons from the computerized menu you get when you call the 800 number.

As for getting cash out of the ATM machines, I think the best strategy is to use your debit card or ATM card from your bank. Don't use it too often or get only a few Euros at a time since you'll be paying the ATM fees every time you get cash from the machines. And make sure you've left enough in the checking account at home before you leave to cover any withdrawls you'll have to make.

Whenever I travel abroad, I try to get some of the "local" cash before I go (but check your bank's exchange rate first to make sure you're not getting robbed). Your home town bank should be able to supply you with Euros without any problem, but you may need to call ahead if you are getting cash from a small local branch of your bank.

Whatever you do, don't get your Euros from the ripoff currency exchange booths at the airport--you'll be way overcharged for that maneuver. There's a big spread between their buy and sell rates and they usually throw in a flat fee on top of that.

I always carry too much cash on trips (at least I start with too much--I don't end with much very often). I've never had a problem, but my rule of thumb would be not to carry more cash than you'd feel comfortable losing or being stolen along the way.