How to handle money on the camino and when traveling is one of the most frequently asked questions. Here is a quick summary of one system that works, then I’ll give some more detailed recommendations. Remember, this is just a system that is proven to work over all kinds of trips, feel free to modify or ignore this advice:
Quick Summary: Minimum 2 debit cards, 2 credit cards and a reserve of Euros in cash. Two wallets with ID, Passport copy and at least a credit card and debit card in each as well as cash. Make sure that your credit cards do not charge a foreign transaction fee! The basic concept is “Don’t put all your eggs in one basket!”
You’ll want to have at least 2 credit cards (more is fine) with no foreign transaction fees. (Visa or Mastercard but not Amex or Discover as they are not widely accepted in Europe or other countries) and at least 2 debit cards (at different banks), at least one of which has no ATM and no Foreign transaction fees. You’ll also want to get a base amount of Euros (or whatever the local currency is) to carry with you for cash and as a reserve. Before you leave home, get some Euros so that you don’t have to worry about it on arrival. I recommend a base reserve of no less than 200-500 euros, depending on your spending habits. Whenever you get close to this amount, you will get more from an ATM. You will also want to have at least 2 separate wallets or ways to keep money and cards. Separate things so that if you lose or have a wallet stolen, you will have a back up that includes at least one credit card, one debit card, some cash, some identification and a copy of your passport information page. (It’s a good idea to snap a picture of your passport so that you have an electronic copy as well.). Note that the word “at least” appears multiple times, this means that you can have more cards, cash or wallets, but try not to have less. Don’t forget to give a travel notification to each bank before the trip, and to load the bank’s App on your phone so that you can monitor your account! You should also make sure that your “Daily Withdrawal limit” is high enough. For example to take out 300 euros, (about $400 plus fees which will be refunded if you use the Charles Schwab card), you’ll want a limit that is around $500/day or higher. (The reason you need two of any kind of card is in case one fails on you, for example, I had the chip fail on a card just as I was leaving on a trip a few weeks ago, luckily I had spares.) PRO TIP: Keep whatever Euros you have left from your trip in an envelope and use them for your next trip, if you have a friend who just returned from a European trip, ask if you can buy their left over currency. Remember, any time you change currencies, you are paying for it with the exchange rate.
On to more specifics:
Get some local currency ahead of time:
It’s a really good practice to have some local currency in hand before you arrive in a foreign country. These days you can do most things with Credit Cards, but it is still a really good idea to have a cash reserve, and have it on arrival. Generally, most of the big banks have Euros on hand, and a few phone calls can establish which branch carries currency, and what the exchange rate is. If you call a few banks on the same day, you can compare rates fairly simply. You can also try AAA if you are a member. Remember, if you are getting 300 euros to start with, a 1% difference in exchange rate is likely to cost less than $10, so don’t go crazy running around. Don’t get too obsessed about the rate, as you will never get the “official” rate since it gets marked up to facilitate the exchange, typically by about 3-4%. Generally, the Airport Exchange booths will have the worst rate, and by getting some Euros or other local currency ahead of time you can avoid this. Try to get some small bills, generally 10e and 20e notes will work fine, but avoid 100e notes as taxi drivers and others will have trouble breaking them. Avoid the Airport ATM!! The other reason to get some Euros ahead of time, is that on arrival you will generally be tired and slightly disoriented, this is not the time that you want to be trying to navigate an airport ATM and risk having your bags stolen while you are distracted.
Debit cards:
There are cards available that will waive or refund your ATM fees, and not charge foreign transaction fees. If you travel at all frequently, you should get one of these. Charles Schwab Bank (https://www.schwab.com/checking) issues one that works well and has a no fee checking account connected to it and a good phone app, this would be my recommendation based on experience. If you make this your travel account and put a set amount in before you leave, it is easy to track your spending based on your current balance. Before you travel, be sure you have the appropriate App on your phone and be sure to give your bank a travel notification. Many of the people who have trouble with debit cards have ones issued by small credit unions, beware and have a back up if this is how you bank. Regardless, of which one you choose, pick a no fee card as your primary and then have another card on a different bank as a back up. If at all possible, keep your travel debit account separate from your day to day checking account, that way if there is any fraud your other affairs won’t get messed up. It also makes it much easier to track what you are spending. Whenever possible, only use your debit card for getting cash at ATMs, preferably inside a bank during business hours, all other transactions, you should be using a credit card. Credit Cards have superior fraud protections. Avoid private, off brand ATMs, try to stick with bank ATMs. Just to emphasize again, avoid the Euronet ATMs as they charge big service fees and also be sure to choose the local currency not the offered conversion to dollars.
https://thepointsguy.com/2014/02/the-top-11-checking-accounts-for-avoiding-foreign-atm-fees/
Here’s a good page on various exchange fees, basically, ATMs charge the lowest fees with an average mark up of 1.87%, Airport money exchanges are the worst with average mark up of 8%. Withdrawing money abroad
A note about Bank accounts: If you open a new bank account the Patriot act requires that the bank verify your credit, if you are in the midst of a delicate loan situation take this into account.
Wells Fargo will waive ATM fees at foreign ATMS 5X per month if they come from the primary account associated with a PMA relationship, meaning you have more than $250k with them, not sure if mortgage balance counts towards this, be sure to do your own research. Wells Fargo ATM Fees
Bank of America has a “Global ATM Alliance” that waives some of the fees, in Spain, use the Deutsche Bank ATMs, in France, BNP Paribas, see here for info: https://www.bankofamerica.com/deposits/atm-fees-faqs/
Credit Cards:
If you travel frequently and you are not using a rewards type credit card, you are leaving lots of money on the table. There are many kinds of rewards cards, but at a minimum you should have one that generates fairly flexible rewards points, for instance one of the Chase Sapphire cards, and one for whichever airline you fly on a most frequent basis. I won’t go into a long expose on point benefit comparisons, but if you only get one, currently the Chase Sapphire series would be your best bet. (The Sapphire Preferred card is free for the first year, get it a few months before you leave and use the points to buy your ticket!) The Chase Sapphire Reserve is $550/year but you get $300 back in credit and a Priority Pass Lounge pass with free food at select restaurants. (Hint: This one is really worth it!, don’t be pennywise pound foolish) Here’s a good comparison of the Preferred versus the Reserve: https://thepointsguy.com/guide/break-even-point-chase-sapphire-reserve/ The general concept is to put as many of the expenses that you have to pay anyway, such as cell phone, cable, electric, water, insurance etc. onto your points card and get free travel as a result. The initial 50,000 point bonus is worth $750 towards a ticket with Chase. There are tons of websites devoted to this subject. Make sure the card does not have foreign transaction fees! Here’s a website you can use if you are new to the points and rewards game: https://thepointsguy.com/cards/ If you’d like to see what a transaction is going to cost in dollars, the official VISA calculator is here: VISA Exchange rate calculator
Here’s another resource for those wanting to get into the free travel points game: https://10xtravel.com/
Apple Pay: Apple Pay is now widely accepted in Europe. If you have an IPhone or an Apple Watch, it works very well. Load a credit card into the “wallet” app. If you have an Apple Watch, you should be doing this on a daily basis and using your points credit card for as many things as possible and earning points for a free trip! The cards on your watch will need to be loaded separately, into the wallet on the watch app, from the ones on your phone. One hint, hold the watch over the machine a little bit longer than you think is necessary. https://support.apple.com/en-us/HT201239
Cash Advances on Credit Cards:
This topic seems to come up on the APOC Facebook site with great regularity and with lots of misinformation presented. Do not believe any poster who says that their card is not charging them for cash advances, it is! For the record, Credit Card Cash advances should ONLY be used in emergency situations. You are almost always charged a service fee for initiating the advance, and then, you are charged a very high interest rate from the moment of the advance until it is paid off. Some commentors have said that their cards have a “no fee” cash advance. Further examination shows that while the initial fee is waived the daily, high interest charges are not (often up to 29% apr!). Do it only if you absolutely need to, but it should be a last resort. You will need to get a PIN assigned to your card to use an ATM for this purpose, do this before you leave. Here’s a webpage that explains it, but there are plenty more: https://www.thebalance.com/why-you-should-avoid-a-credit-card-cash-advance-960036
Using ATMs:
When you are in Spain, or any foreign country, if possible, use an ATM on a weekday, during banking hours and inside a bank. Most ATMs will allow you to select “English” as a language. If possible, use one that is inside the bank, as these are less likely to have a skimmer installed. This way, if your card is eaten, you have some chance of getting it back. Once you identify a type of bank or ATM that works for you, I would suggest using the same brand in other towns. Side note, if a particular ATM will not give you money, try a different brand or location before getting too worried, I’ve done well with Telebanco machines, as well as Deutsche Bank. If you are staying in the town or city, try to pick one near your lodgings, so that it can be used again if succesful the first time. Be sure to check the ATM card slot for evidence of tampering, give it a tug and make sure that it doesn’t come off. Cover your hand and key pad while entering your PIN. Avoid Airport ATMs if possible!! These are often subject to skimmers, since the bad guys know that you are traveling. Also avoid private, non bank ATMs as they often have other fees etc going on.
In Spain, particularly on the Camino, most transactions will be in cash. Most if not all albergues will not take credit cards and many small Hostals will prefer cash if possible. All of the larger towns and cities have ATMs and many of the midsized ones do as well. Be sure to stock up before you leave Burgos and head across the Meseta, as you may be without a cash machine for a week. This may have changed, but it’s better to be safe than sorry.
APPS:
Make sure to install the appropriate apps so that you can easily monitor your credit card charges and your bank accounts. You should also set up alerts appropriate for your situation. Hopefully you’ll follow my advice on tech Cell phones and Tech and get a local SIM card as well as a VPN. Generally, if you are banking, try to use your SIM connection, but, WIFI with VPN turned on should be secure. Do not use someone else’s device for this!
Money belts:
There are various products available to carry your valuables, and I suggest that you find a system that works well for you. On the Camino, you’ll need to be able to quickly separate your valuables from your pack so that when you go inside a cafe or leave your pack in an albergue while you go to the shower or out, you have them with you. I find that a fanny pack works well for this purpose and use the Medium size of the Eagle Creek Tailfeather which will also fit my Ipad mini, this may be larger than you need. I’ve also found that a regular money belt is useful for having emergency cash, I use this one which is all plastic so will go through security without having to be removed. Web money belt Another option is to wear a money belt under your clothes. This has never been my favorite strategy, but it does work for some people. Make sure that you choose one that latches securely. Money Belts
Pickpocket Resistant Clothing:
I’ve been saved a few times from being pick pocketed by wearing pants designed to be resistant. I can recommend the Business Traveler pants from this company as comfortable, reasonably dressy and quick drying: https://www.clothingarts.com/
Things that don’t work very well:
Traveler’s checks are generally not accepted any more. Don’t bother to bring them. Pre-loaded debit/credit cards almost always charge fees for loading, getting cash and anything else. You would be better served to just open an account with a no fee debit card such as Schwab bank or Fidelity. Cash in US Dollars: In Spain, outside of big cities, changing US dollars to Euros can be difficult to impossible. You will also get a better rate taking money out of the ATM. Doesn’t hurt to have a reserve in dollars, but don’t count on changing it easily.
“But I only ever travel with one credit/debit card!!” I get this all the time, and yes it is fine right up until it isn’t. Nothing will mess up a trip quicker than having no access to funds, and trying to chase a credit card around the country while you’re running out of money…. By having multiple cards, if one is compromised, misplaced, damaged or otherwise not working, you can cancel it, have a replacement sent to your home and continue on your way. It is not unknown for banks and particularly credit unions to block cards when they see activity that is unfamiliar to them. Once again, you should not be using a debit card for ANYTHING except getting cash from the ATM. Since somehow the idea of having extra cards as back up seems to infuriate certain people, here’s a little experiment for those who can’t seem to get what an obviously good idea this is, try this: Leave your one card at home and all of your cash, call your bank or Credit card issuer and ask for a replacement. See how well you do and how long it takes, this is at home not the middle of Spain, where it will be more complicated and take longer. Bring back up cards!!! I also bring a backup cell phone, see here: Cell phones
I’ll just use the airport money machine (BAD IDEA):
Another bad idea, always a good idea to have some cash in local currency with you. The convenience of getting some ahead of time far outweighs the few additional dollars it will cost, if this really worries you, call around for the best rate. I’m frankly amazed at how much push back I get on this online. If you are one of those people who walks around without a dime in cash then have at it. Everyone else should have at least enough money for a taxi and a meal in cash. If you want to be unprepared and have drama, that’s on you, but don’t advise others to do this. “It will be cheaper at the Airport!” Said no one ever. I’ve heard stories of Airport machines being completely out of cash or otherwise not functioning. At least in Seattle, my local Wells Fargo always has Euros on hand, takes all of a few minutes to pick up some.
Dynamic Currency Exchange:
Sometimes when you pay by credit card you will be asked whether you want to pay in dollars or in the local currency. The answer is always to pay in the local currency. If you elect to pay in dollars, the merchant marks up the existing exchange rate and keeps some of the difference. Here’s an explanation: https://en.wikipedia.org/wiki/Dynamic_currency_conversion
Case Studies:
Here are some examples of situations where following the above advice made things easy or would have! I had a chip fall out of a credit card, fortunately I had spares, had a replacement sent home and continued on my way. I know of someone whose sole debit card got lost in Vietnam, and then ensued all kinds of drama lasting many many days to get him a replacement card. On a recent trip to Paris I heard of a couple who had both of their wallets lifted on the RER on the way in from CDG. Luckily they had backups, but the replacement card for one of them never did arrive, and they were in the same place for 2 weeks! Have a backup!!!You don’t want to be chasing a card around a foreign country.
Budget:
Everyone has a different idea of what they need to survive, so I’ll provide some sample prices to give you a range, and then you can decide what your daily needs would be. Generally, if staying in Albergues, 40-50euros/day will be plenty and you can probably get by on a lot less.
Albergues: 10-15 euro/night
Night in Hostal (small family hotel) 25-45 euros
Night in Hotel, bigger city: 85+ euros
Pilgrim dinner with wine: 12-15 euros
Dinner at nice restaurant: 15-30+ euros
Coffee: 1 euro
small beer: 1 euro
bottle of wine at store: 5-10 euros
glass of wine and tapas: 2 euros
Train from Bayonne to Saint Jean Pied de Port: 10 euro
Train from Santiago to Madrid: $50 and up.
Click on the homepage for more info on Cell phones, trains and Travel Insurance.
Tips and Advice for Walking the Camino 