You go abroad and need some cash. Traveler's checks right? Don't leave home without them right? Whip one out and head for the nearest currency exchange center right?

Wrong.

Slow down and take a deep breath.

When you go to a currency exchange center, you can pay up to 12% commission as well as the 1% commission you paid for the traveler's checks. Many currency exchange centers advertise great rates and then nail you with inflated service charges that you DON'T see advertised anywhere.

There are a number of systems such a CIRRUS and PLUS that link banks together, even overseas. If your bank or credit union uses any of these systems, you can use your ATM (Automated Teller Machine) card to withdraw cash from your own checking account at virtually any ATM that displays one of the same logos.

You can even get lists of ATM locations from CIRRUS, PLUS or other systems via the web or from a toll free number. What's the difference between these machines and the one you have at home? Not much, you just have to select English as the operating language of the machine you are using.

Just remember to keep your PIN secret. Do not write it down anywhere, not even in code. Memorize it. Do NOT carry it with you when you leave the house, let alone when you travel. If your ATM card is stolen, no one can touch your money as long as they do NOT know your PIN. That's even safer than a credit card.

What about credit cards? Use them for purchases, you will almost always get a favorable exchange rate and credit cards have other advantages for purchases (such as protecting you from defective merchandise etc.), but they are not good for cash advances.

If you use your credit card for a cash advance, you will pay (at least) 1.5% on your money even if you pay your bill within your payment period. Cash advances are different than purchases, and different credit card providers charge different amounts for cash advances.

Nationwide in the UK offer free withdrawals overseas, so while the cash machine may charge you £1/£2, the bank won't charge you anything and you can always get a good exchange rate.

Don't get us wrong, you absolutely should travel with a few traveler's checks for emergencies or those times when you just can't get to an ATM. Also don't forget that nearly all ATM's have a limit on the amount you can withdraw each day.

Your ATM card is the best, cheapest and safest method to access cash when traveling these days.