Credit card alternatives

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SailingNewYorkCity

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What do you do if you need repairs, a service, supplies, etc. and you can't use a credit card? What alternatives do you have and what has been your experience with these alternatives?

I pose this question with the assumption that one can't wait for the money to arrive via snail mail in the form of a cashier's check or bank draft yet a credit card won't suffice. You may be away on a cruise in a remote location that doesn't have credit card machines. You may be just down the coast but the Internet goes down, the credit card machines aren't working, and you need a part sent via overnight delivery. Another reason may be the repair costs more than the limit on your card (ouch, that's going to hurt!).

Does anyone still use letters of credit? Is a limited power of attorney sufficient to get money wired? Cash is king but how does one safely carry sufficient amounts (James Bond kept gold sovereigns hidden in his attache case)? Are they any issues with money laundering laws?

Hopefully I'll never need to use any other methods. Hopefully I'll never need the flares, PFDs, and life rafts but I still carry them. I'm not losing any sleep over this but as they say, an ounce of prevention is worth a pound of cure.
 
Does anyone still use traveler's cheques? I know many places don't accept them and often, but not always, they have to be cashed at a bank. Still, this may be easier than arranging a wire transfer. Are there any other suggestions?
 
I assume you are asking because you will or do not have access to a bank or money changer? Not a situation that many of us meet, you may get a better response from the liveaboards forum.

In really remote locations, barter of your skills or supplies for theirs should be an option, particularly if you have a well stocked medecine cabinet, booze locker or a supply of cigarettes or tinned food for barter. Try to pick things that we don't really value, but they might. Tinned Frankfurters, beans or bully beef may work.

Years ago fishing hooks & knives were good for barter, but I think they are widely available these days. I do not know what today's equivalent of trading beads would be.

I have carried bundles of Dollars in the past as they are generally welcomed in countries with weak or manipulated currencies. You could offer to carry mail, people or goods to another island or place along the coast, but just make sure it's not drugs!
 
There was a R4 program about money abroad.

The consensus was that travellers cheques are useful in the US and could be used at most resteraunts, shops etc- you didn't need to find a bank open. But totally useless in europe - even banks dont want them. For europe the recommended method was pre-loaded cards in euros
 
Searush said:
I assume you are asking because you will or do not have access to a bank or money changer? Not a situation that many of us meet, you may get a better response from the liveaboards forum.

In really remote locations, barter of your skills or supplies for theirs should be an option, particularly if you have a well stocked medecine cabinet, booze locker or a supply of cigarettes or tinned food for barter. Try to pick things that we don't really value, but they might. Tinned Frankfurters, beans or bully beef may work.

Years ago fishing hooks & knives were good for barter, but I think they are widely available these days. I do not know what today's equivalent of trading beads would be.

I have carried bundles of Dollars in the past as they are generally welcomed in countries with weak or manipulated currencies. You could offer to carry mail, people or goods to another island or place along the coast, but just make sure it's not drugs!
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Good morning from the colonies. You are pretty close in your assumption. I rarely have a problem but am preparing for the worst.

My concern isn't when this happens under normal cruising. In that case I will head to the nearest pub or have a few libations with others in the adjacent slips. I am thinking more in terms of the Internet is down (or they don't take cards) and time is an issue. It is also possible that the cost of the repair is higher than the limit on my card (ouch!). Perhaps I need a repair three days before a long weekend or before the mechanic goes away on holiday. Perhaps I need parts shipped overnight so I don't miss a weather window. Perhaps the shop or mechanic doesn't take credit cards or perhaps there is a big discount for cash.

Thanks for your suggestions. They have been helpful and good food for thought. In particular I like the barter suggestion for remote locations. Thanks again.
 
A reasonably cheap way is a prepaid credit card. I have Caxton fx and Fair fx in both $ and €. Rates are better than Visa or Mastercard transactions. I preload them before any trip and can top them up over the phone or internet. I was happy with their good rates until I discovered a money exchange in Hammersmith London that beats their "electronic" rates but for cash!

Fair fx are usually slightly better rate but charge to use an ATM for cash withdrawal but Caxton fx is free cash withdrawal.

I find this combination gets me by in Euroland, the Caribbean and USA.

Always looking for better ways/rates.
 
Many years ago I used to tramp the countries of Europe in a lorry. In those days breakdowns were not unheard of and you did not wish to carry huge sums of money, either on your person of in the cab of the lorry.

The solution then was to establish personal contact with your bank manager and phone him from your problem spot. You would tell him what proof of identity you were carrying and he would tell you the name and address of their correspondent bank in your area. You would present yourself at the bank of choice, show you piece of identification and sign for the agreed sum of money.

The transfer usually took a day or two but life was not quite so frantic in those days. I suspect that there are more simple ways of doing things now but it would probably still work, if you were stuck or had lost all your documentation.
 
What about a payment card like American Express? I don't have one, but I understand that American Express provide a card that has no credit limit - but that you have to pay an annual fee, and also have to pay the balance off each month. However, I am also given to understand that they provide a wide range of support services, and that in the sort of circumstances envisaged, ringing American Express might well uncover a solution.
 
Search out somewhere that has a credit card payment machine and do a deal with them to give you cash in exchange for a credit card payment, this is what I did in Mindoro (Philippines), no cash machines there. Carry a hefty wad of US dollars, as Searush says, not many out of the way places that won't accept that...
 
I must say that I now never give it much thought - I always carry 2 credit cards and a debit card and just find a money machine for local currency. Obviously in a remote rural area you need cash, but you can get that in the port or airport of arrival. I remember sticking my debit card into a machine in Quarzazat, almost on the edge of the Sahara, to get a few hundred dirhams and afterwards thinking that it's quite remarkable how we now take the technology for granted. On my first trip to Morocco in 1978 getting dirhams involved almost half a day in a bank queueing, filling in forms, more queueing, getting the forms stamped, more queueing...
 
Searush said:
In really remote locations, barter of your skills or supplies for theirs should be an option, particularly if you have a well stocked medecine cabinet, booze locker or a supply of cigarettes or tinned food for barter.
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I would watch out with this one as in many countries you could end up being detained ashore for a good many years.
 
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