Protect Yourself from ATM Abuse: Tip-of-the-Day #324

Just before a recent trip overseas, I popped into my closest bank branch to see about procuring some local currency before hitting ground. I was quickly informed that an even better solution would be to set up an account strictly for travel. That way, it won't be linked to any of my primary banking features (Bill Pay, Automatic Deposits, etc.) and I would be issued a second ATM card with a unique pin. I loved the idea because I'd been told by several people that Amsterdam was known for ATM fraud and "pick pocketers" (along with the Van Gogh, fun Coffee Shops and great restaurants, of course).

In real time, my personal banker opened a fee free account, created a temp ATM card and transferred several hundred dollars into the account from my primary checking to get me started. Fast forward a week and I was relieved when I used the ATM in the airport because I knew that no matter what happened, it would only happen to approximately $400 of my dollars (or however much you decide to put into that "travel account").

Consider this the next time you venture overseas. Also a good idea to separate ATM cards/accounts for nights out on the town (hey, when drinking's involved why not?), street fairs (i.e., slipping that card in your pocket vs. tucked securely into your purse), etc..

If you don't have the time or flexibility to hit your bank before travel, you can also apparently set this up online.

Note: this article recommends having three bank accounts! A personal checking, a travel checking and a travel savings. Other good tips on how to avoid exorbitant ATM fees as well....enjoy!