Traveler's checks are a complete replacement for cash when traveling abroad. They can be used to pay anywhere in the world for services and goods, or be exchanged for local currency. Once these checks were very popular, but they were replaced by a bank card. Meanwhile, traveller's checks have a significant plus: they cannot be used by anyone except the owner, even in the event of theft.
Where can you buy travel checks
Traveler's checks can be purchased at commercial banks and travel companies. In the recent past, Sberbank was the largest issuer of tourist checks in Russia, but since March 1, 2013 it has stopped issuing them. However, you can use the services of other large credit institutions, for example, Raiffeisen Bank, Russian Standard, VTB24, Bank of Moscow and others. The purchase of traveller's checks, unlike plastic cards, is not associated with a bank account. That is why it takes only a few minutes to issue a travel check. Their validity period is not limited.
Buying travel checks
It is best to buy traveler's checks of different denominations so that it is more convenient to cash out exactly the amount that you need. They are issued in denominations of the main types of world currencies. There are checks for 20 or 50 dollars, 100 or 500 euros. They look like ordinary banknotes, and have the same denominations and sizes, while each check has its own individual number. Most Russian banks can only buy checks in euros and dollars.
Some banks charge a commission on the purchase of traveler's checks. Sometimes it is 0.5%, sometimes a fixed amount. It is better to clarify the terms of purchase in advance.
Purchase of traveller's checks is possible only upon presentation of an identity document. Based on the passport data, the bank draws up a purchase agreement. It should be kept separately with receipts, so that in the event of their loss, the contract does not disappear. If the checks are lost without a contract, they cannot be restored. The buyer must sign each check. You cannot put a second signature in advance. This should be done only at the moment of check cashing!
Traveler's checks are a monetary instrument, so if the total amount of cash and checks you take out exceeds the allowable limit (in Russia, this is the equivalent of $ 10,000), they must be entered in the declaration.
Cashing traveller's checks
To receive cash on checks, you need to go to the bank, present the check, passport to the cashier, and also put a control signature on the payment document. After the bank makes sure that the check is authentic and the signature on it is the same, you will be given money. It is recommended to check in advance where the traveller's check exchange points are located. Currently, more than a dozen types of travel checks are used in the world. The most popular are American Express (especially in the USA and Canada), as well as Thomas Cook (it is better to travel with them to Europe). Visa checks are also widely used. The City Corp system is popular in Asia.
