Safe Money Transfers

For convenience we always use ATM machines. They work well everywhere. We no longer carry travelers' checks, for us they are things of the past.

The protocol we
use at ATM machines to
make maximum-security
withdrawals.

It would take too long to explain the 70+ ways in which someone can hack into or rob your account, our strategy protects you from nearly all of them:

5 Rules for High Security Money Transfers

Rule No 1 : We use two debit cards connected to the same checking account. This checking account has no credit margin. One debit card is in the name of my wife and the other is in my name. We always use only one card keeping the other in a safe place. If we lose a card we can use the other. From our experience, this happens every two years. Important: these two debit cards have access to only one account: the same checking account - nothing more.

Rule No 2: The balance of this checking account is always kept near $0. When we need money, we use our bank's website service to transfer money from our savings account to this checking account. If someone copies our card or steals our pin, our loss will be minimal. If we lose one card or suspect that someone has cloned it, we just send an email to our bank and they can lock the card. This even offers good protection from the "paseo del millionario" (when a robber forces you to withdraw money from your ATM account at the point of a gun, repeating this scenario one bank after the other).

Rule No 3: We ask our bank to automatically transfer funds to our checking account; a minimal sum of money (around $200) each week to cover our living expenses in case we cannot access the Internet.

Rule No 4: It is a very bad idea to deposit a large amount of money in advance in your credit card account and to use an ATM machine for cash advances. You could double your loss. It is also a very bad idea to use a credit card to get cash advances from an ATM machine abroad.

Rule No 5: Always protect your Internet connection (WiFi or Cable) with a Virtual Private Network (it is like a virtual encrypted tunnel) and never transfer money from a computer located in a public space, even if using your own laptop. Walls can see. If in doubt use telephone-banking or send a fax to your bank to initiate the transfer. More details here.

Emergency Money Transfer

In cases of emergency, Western Union is the way to go.

You can have access to cash in minutes almost anywhere on the planet. I don't know if there is a village on earth that doesn't have a small Western Union Office. I am kidding but I must say that we are always amazed where we find them.everywhere!

Western Union transfers are not cheap. The fee is about 10% of the amount transferred. But in emergencies it is a great way to get cash fast, bypassing the ATM system used by banks.

Tip: Before departure, why not give a friend or family member a crash course in how to use Western Union and their special password system. With a credit card they can send you cash almost instantly and to anywhere.

It is also a good idea to write the details down on paper. Put these instructions in an emergency envelope with a photocopy of your passport, your travel insurance documentation, tickets and other important documents and give this to someone you trust at home.

This could be invaluable in the event of an emergency, if you lose everything. They can fax you these important documents. To access the Western Union, website click here.