Traditional Culture Encyclopedia - Travel guide - What does "traveler's check" mean?

What does "traveler's check" mean?

Travelers' checks are a type of fixed-amount cashier's check, which are used exclusively for travelers to purchase and pay for travel expenses. The difference between them and general bank drafts and checks is that travellers' checks do not have a designated payment place or bank. It is generally not restricted by date and can be used all over the world. Customers can exchange it for cash or use it directly at major foreign banks, international hotels, restaurants and other consumption places at any time. It is one of the commonly used payment vouchers for international travel. ?

Travelers’ checks are a type of instrument that is universally accepted around the world and are as liquid as cash in many countries and regions. Not only do many shopping malls and hotels support the payment of travellers’ checks, but also Convert to local currency at travel destination.

Foreign currency traveler's checks refer to those sold by domestic commercial banks on behalf of domestic commercial banks, printed by overseas banks or specialized financial institutions, with the issuing institution as the final payer, using freely convertible currency as the pricing and settlement currency, and having a fixed denomination. of bills. Domestic residents must sign the check themselves when purchasing, and only need to sign again when exchanging.

Features

(1) Fixed denominations. Various traveler’s checks have different fixed denominations, which look like cash, such as 10, 20, 50, 100, 500, 1,000 US dollars, etc. Traveler's checks of denomination. You can spend it sporadically when using it, which is more convenient than a bank draft.

(2) Convenient exchange. In order to expand its circulation area, the issuer has appointed many exchange agencies in major cities and tourist destinations around the world, which greatly facilitates tourists' redemption. When the holder of the traveler's check travels with him, he can not only redeem the check at the issuing bank's cashing bank, but also redeem it at any time at travel agencies, hotels, airports, stations and other places.

(3) When purchasing a traveler's check with a safe traveler, you must sign in person at the counter of the selling bank on the initial signature location of the traveler's check as a reserved signature. When withdrawing money, you must sign at the counter of the cashing bank. Sign the second time on the counter-signature of the traveler's check in person, and the payment can be made only after the cashing bank verifies that the initial signature and the counter-signature are consistent. Therefore, if travellers' checks are lost or stolen, they are less likely to be fraudulently claimed and are safer than carrying cash.

(4) According to the regulations of the issuing agency for loss report and compensation, if a traveler’s check is accidentally lost or stolen, an “application for loss report and refund” can be submitted. As long as the relevant regulations of the issuing agency are complied with, the person reporting the loss can get a refund. Or issue a new traveler's check.

(5) Long circulation period Most traveler’s checks do not have a specified circulation period, can be used for a long time, and have the characteristics of “pay on sight”. The holder can present the check at the issuing institution’s foreign agency. Withdraw money immediately.