Not long ago, traveler’s checks were a must-have for international trips. Before ATMs were everywhere and before you could tap your phone to pay, they were one of the safest ways to carry money abroad.
Today, they’re far less common but they’re not completely obsolete. In certain situations, traveler’s checks can still serve a purpose. Let’s break down how they work, when they make sense, and what modern alternatives might be better.
What Is a Traveler’s Check?
A traveler’s check is a prepaid paper check issued in a fixed amount for example, $50, $100, or in a foreign currency. You buy the checks in advance, sign them once when you receive them, and sign them again when you use them.
They were designed to function like cash, but with added protection.
If your traveler’s checks are lost or stolen, the issuer can cancel and replace them something you can’t do with lost cash.
In the United States, most traveler’s checks today are issued by American Express.
Why Were Traveler’s Checks So Popular?
Before debit cards became global and ATMs became common worldwide, traveler’s checks solved several problems:
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You didn’t have to carry large amounts of cash.
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They were widely accepted at hotels, banks, and tourist shops.
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If stolen, they could be replaced.
In the 1980s and 1990s, almost every international traveler carried them.
Why They’re Rare Today
Technology changed everything.
Now you can:
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Withdraw local currency from ATMs worldwide.
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Pay directly with credit or debit cards.
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Use mobile wallets and digital banking apps.
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Load money onto prepaid travel cards.
Because of that, many banks, stores, and hotels no longer accept traveler’s checks or they may process them slowly and reluctantly.
That doesn’t mean they’re useless. They just aren’t convenient anymore.
When Traveler’s Checks Can Still Be Helpful
1. As a Backup in Remote Areas
Imagine you’re traveling to a rural area where:
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ATMs are limited.
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Card machines are unreliable.
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Internet service is unstable.
If the ATM network goes down or your card gets declined, traveler’s checks can serve as a backup. Banks or exchange offices may still convert them into local currency.
That said, this process can take time and may involve paperwork.
2. Added Protection Against Theft
Traveler’s checks are harder to use if stolen.
Here’s why:
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You sign them once at purchase.
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You sign them again in front of the person accepting them.
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The signatures must match.
If someone steals them, they can’t easily cash them.
Credit and debit cards offer fraud protection too and in many cases, even stronger protection but traveler’s checks can still provide peace of mind for cautious travelers.
3. Locking in Exchange Rates
If you purchase traveler’s checks in a foreign currency before your trip, you lock in that exchange rate at the time of purchase.
For example:
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If you believe the dollar might weaken soon,
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You can secure part of your spending money ahead of time.
However, keep in mind that exchange rates offered for traveler’s checks aren’t always the most competitive.
The Modern Replacement: Prepaid Travel Cards
Today, prepaid travel cards have largely replaced traveler’s checks.
Major networks like Visa and Mastercard offer prepaid travel cards that:
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Let you withdraw money from ATMs
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Work like debit cards at merchants
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Are not linked to your main bank account
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Offer fraud protection
Why many travelers prefer prepaid cards:
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Easier to use than paper checks
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Accepted almost everywhere cards are accepted
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Provide emergency replacement services
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Often include “zero liability” fraud protection
But they aren’t perfect. Fees can include:
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ATM withdrawal fees
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Foreign transaction fees
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Currency conversion markups
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Inactivity fees
Always compare total costs before choosing one.
A Simple Alternative: Use a Separate Debit or Credit Card
If you already have a spare debit or credit card you don’t use often, that may be the easiest solution.
Here’s a smart approach:
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Notify your bank before you travel.
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Use that card only for your trip.
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Monitor transactions while abroad.
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Review statements after returning home.
This keeps your primary account more secure and limits risk exposure.
Important: Always inform your card issuer before international travel. Otherwise, your purchases may be flagged as fraud and your account could be temporarily frozen.
How to Use Traveler’s Checks (If You Choose To)
If you decide to use them, follow these steps:
1. Keep Records Separate
Write down:
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Serial numbers
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Purchase receipts
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Issuer contact information
Store this separately from the checks.
2. Sign Immediately After Purchase
You’ll sign once when you buy them.
3. Confirm Acceptance Before Using
Not every business accepts traveler’s checks anymore. Always ask first.
4. Sign Again in Front of the Recipient
The second signature must match the first one.
5. Replace Quickly If Lost
Contact the issuer immediately if checks are lost or stolen. Replacement is usually possible if you have your records.
One advantage: traveler’s checks do not expire. You can deposit unused ones into your bank account when you return home.
What Do Traveler’s Checks Cost?
Typically, you’ll pay a service fee of 1% to 4% of the purchase amount. Fees may be higher if you buy them from a bank where you don’t have an account.
That fee alone makes them less attractive compared to modern payment methods with lower costs.
Traveler’s Check vs. Cashier’s Check vs. Money Order
While all three are issued by financial institutions, they serve different purposes:
| Type | Best For | Key Feature |
|---|---|---|
| Traveler’s Check | International travel | Replaceable if lost |
| Cashier’s Check | Large domestic payments | Bank guarantees funds |
| Money Order | Small payments | Widely available and inexpensive |
Traveler’s checks were specifically designed for global travel but they’re no longer widely accepted as they once were.
Are Traveler’s Checks Still Worth It?
For most travelers in 2026, the answer is no.
Debit cards, credit cards, and prepaid travel cards are faster, easier, and more widely accepted.
However, traveler’s checks may still make sense if:
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You’re traveling somewhere remote.
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You want a non-digital backup option.
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You prefer paper-based security.
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You’re planning a long-term trip with limited banking access.
For the average tourist visiting major cities, they’re more of a relic than a necessity.
