Traveler's checks American Express - a convenient and reliable way to store cash in foreign currency.With both qualities cash (purchasing power and nominal value), they have all the advantages of financial receipts (they can be restored in case of loss, as well as to bequeath).Safety of funds invested in the purchase of traveler's checks to be guaranteed a major international corporation, the history of which goes back 164 years.
Traveller's check: concept and main functions
Explain what traveler's checks, it is easy - it is a payment document, which is the monetary obligations issued by the issuing company, to pay the amount (face value of the check) to the owner, whose specimen signature on the check is presented.In fact, they are a complete replacement for cash.
check can take advantage of how easy it is to cash it, and paying them for goods or services rendered.To do so in the presence teller or cashier to put his signature on the receipt (on the bottom part of) a second time.
safety of funds invested in the purchase of traveler's checks to be guaranteed by issuers, which are mainly tourist companies, commercial banks, as well as major international corporations, such as Travelex and American Express.
little history ...
Now the company American Express, in addition to the traveler's checks, issue payment cards, revolving credit cards and is one of the largest travel agencies in the world.
company was founded in 1850 by William Fargo, Henry Wells and John Butterfield to provide services to transport cash in the country.Business grew rapidly, and by 1882 the company has successfully competed in remittances from the US Post Office.
By 1890, remittances have started to conquer the European continent, where this service is not yet rendered.William Fargo, went to Europe, to get things going, he came back furious.Though he was the president of a large company, he could not convert their traditional letters of credit for cash anywhere except in major cities.
The solution proposed Flemming Berry, invented in 1891 a completely new financial product for the company American Express - traveler's checks.
new means of payment is rapidly gaining popularity: in 1891 managed to implement checks for 1920 dollars, in 1909 the company made sales of $ 23 million.
to determine the authenticity of the checks was developed a simple and effective method: the signature on the check is put down two-fold: on the top line - at the time of purchase, and on the bottom - with the presentation of its initial recognition.Match signatures identity of the owner and guarantee the payment of the check.
currency and the denomination
first checks were issued in denominations of 10, 20, 50 and 100 US dollars.By 1955, American Express Launches checks in Canadian dollars and British pounds.
In the 1970s, the company has already emits checks in Swiss and French francs, Japanese yen and the German mark.Since 1999 began production of travelers checks in euros nominal value of 50 €, 100 €, 500 €, 1000 €.
To date, the most common are checks denominated in British pounds, Australian, Canadian, Singapore Dollars, Swiss Francs.Nominal checks in US dollars - $ 20, $ 50, $ 100, $ 1000.
Advantages of
main advantage of traveler's checks - their safety.With proper use them safety of your money is fully guaranteed.Since checks are registered, no one except you can not use the lost or stolen check.
None of the check will not be cashed in the absence of the owner or without a document proving his identity.The owner of the check can restore it in case of damage, loss or theft of absolutely free for one day.
Another important advantage - book.Traveler's checks in most countries are sold at more favorable rate than cash foreign currency, with a minimum commission.However, their return exchange abroad occurs at a higher rate than the conversion of cash.The big plus is the possibility of export of traveler's checks of any desired amount of money without restrictions.
a particularly convenient way to deposit money when traveling abroad.Traveler's checks can be paid in any bank in the world to offer such a service, regardless of their place of purchase.
Points of Sale
answer to the question: "Where to buy traveler's checks?" For the inhabitants of most of the world is clear: they are sold in more than 100 thousand points of American Express and most of the world's leading banks.
A wide network of exchange traveler's checks to minimize the loss of time cashing and recovery.In exchange points American Express traveler's checks to buy and sell without any commission.For transactions with traveler's checks the client needs a passport or driver's license.
use of checks as a means of payment has its drawbacks: after converting checks will still need to use bills of another country.In addition, the search for points of purchase / sale of checks and purchase them you need to spend a certain time.
Russian realities
The Russian traveler's checks "American Express" appeared in 1994 thanks to Sberbank.Operations with checks carried out by more than 6 thousand branches of the Savings Bank across the country.Over the next 10 years for the implementation of operations connected with checks and other domestic banks, which contributed to an increase in the popularity of checks among Russians.
This legal tender in the country traveler's checks did not.They were used as an instrument of accumulation and savings of foreign currency, as well as for international travel.Sberbank of Russia in 2008, became the undisputed world leader in the sale of checks American Express, sell them for a total of $ 1 billion.It was during the financial crisis, the Russians began en masse to buy traveler's checks.Sberbank of Russia at that time acquired a large number of checks, which later were not completely sold.
Gradually, the demand for checks began to decline, and in 2011 the Savings Bank has launched a new, jointly with American Express project issue premium and super-premium cards.
Folding operations with checks
recovered after the 2008 crisis, many domestic banks have also become accelerated to issue cards and to acquire its own processing center.The growing popularity of non-cash payments and the development of a network of reception cards completely undermined the popularity of traveler's checks.One of the first in Russia declined from transactions with checks Bank "VTB".This occurred in February 2012, after the change of management of the credit institution.
Behind him the same decision was taken and Sberbank of Russia.Since March 2013 it had completely stopped operations on the purchase, sale, issue refunds and registration of inheritance in the traveler's checks.Savings motivated his actions need to optimize the retail product line and reduce the cost of cash management services to individuals.Experts Sberbank also noted that the cooperation with American Express on card products will continue.
Following the Savings Bank of the decision to cease all operations with traveler's checks from May 2013 announced a "Raiffeisen Bank".
Termination sales
Having lost most of the points of sale in Russia, American Express has a 1 August 2013 was forced to discontinue the sale of traveler's checks.The official position of the company was to ensure that as a result of in-depth and comprehensive analysis of its experts concluded that a substantial reduction in demand for this service from the Russians.Further sale of traveler's checks in the Russian Federation recognized as unprofitable.
previously sold all checks will be of unlimited duration.Withdraw them can still be through authorized banks, as well as in the exchange of travelers' checks worldwide.
of the largest Russian banks only "Svyaz-Bank" declares that it accepts traveler's checks.Buy them today can not.Cash checks denominated in dollars and euros, can be turned to the head office or regional branches of the bank and paying a fee of 2.5% of the nominal value.
Back to the Future
few years ago, many economists believed that traveler's checks is completely outdated, replaced by plastic cards.Today, this idea does not seem so obvious.The increased number of kibermoshennichestva, as well as the latest developments to block payment systems Visa and MasterCard card transactions of several Russian banks, clearly demonstrated all the negative aspects of this payment instrument.
cardholders affected banks located abroad, were not able to use their money.Many of them are at this moment envied the owners of traveler's checks, which are, by definition, could not be in this situation.
Travellers checks are not lost its popularity in the era of global distribution of non-cash payments.After a century and a half after its launch, they remain a convenient and reliable means in cash.
