Traveler's cheques are obsolete. Major Canadian banks RBC, TD, Scotiabank stopped selling them years ago, and American Express Canada discontinued them entirely. Credit cards, debit cards, and mobile wallets replaced paper vouchers because they're faster, cheaper, and accepted everywhere.
What were traveler's cheques?
Financial institutions like American Express and Visa issued prepaid paper vouchers that functioned as portable cash. The security came from a dual-signature system you signed once when purchasing, then again when cashing or spending.
Matching signatures validated the transaction, and lost cheques could be replaced (often within 24 hours) by reporting their serial numbers to the issuer.
Banks promoted them as safer than carrying cash, which was true before ATMs and fraud protection became standard. Moreover, they never expired a feature that still matters if you're holding old ones.
| Former advantages | Current drawbacks |
|---|---|
| Replaceable if lost/stolen | No longer sold by major issuers |
| Never expire | Rejected by most merchants |
| Fixed exchange rate | High fees to cash |
Why did they disappear?
Technology made them redundant. Credit cards offer better fraud protection, ATMs provide cash worldwide, and digital payments process instantly. The Financial Consumer Agency of Canada notes that modern payment methods deliver superior security without the hassle of paper forms, and banks have eliminated traveler's cheques because demand collapsed.
Cashing old traveler's cheques
Old cheques remain valid (they don't expire), but redeeming them takes effort. Merchants won't accept them as payment anymore, so you'll need to contact the issuer directly.
American Express still processes redemptions through its customer service line, and some Canadian banks will deposit them after verifying authenticity with the issuer (expect paperwork, fees, and delays).
The best approach involves calling the issuer first to arrange direct deposit into your bank account rather than dealing with branch visits and verification holds.
Modern alternatives for international spending
Digital tools replaced paper cheques entirely, offering better rates and wider acceptance. Canadian travelers and immigrants now rely on four main options, each suited to different needs.
No foreign transaction fee credit cards
Cards that waive the standard 2.5% foreign exchange markup save money automatically on every purchase abroad. The Scotiabank Passport Visa Infinite and Brim Financial cards provide this benefit while including fraud protection that exceeds what paper cheques ever offered.
The Financial Consumer Agency of Canada recommends comparing multiple cards before traveling, as features vary significantly between issuers.
Multi-currency prepaid cards
These cards let you load Canadian dollars and convert them to foreign currency before traveling, locking in your exchange rate (similar to how traveler's cheques worked). However, they function everywhere Visa or Mastercard is accepted, eliminating the redemption hassle.
The Wise Multi-Currency Account and BMO prepaid travel cards offer this functionality while keeping your travel budget separate from your main bank account.
ATM withdrawals
Your regular debit card works internationally, though fees accumulate quickly. Banks charge withdrawal fees, and foreign ATMs add their own charges, so withdrawing larger amounts less frequently saves money. Notify your bank before traveling to prevent security blocks on your account.
International money transfers
For sending money to family abroad (remittances), traditional banks charge high fees and offer poor exchange rates. Dedicated services solve this problem more efficiently.
RemitBee, built by Canadian immigrants, charges zero fees on transfers over $500 CAD when using e-Transfer or Bill Payment. The company is regulated by FINTRAC and offers competitive exchange rates that consistently beat bank pricing, making it the practical choice for Canadians sending money to India, the Philippines, Pakistan, and 90+ other countries.
What you need to remember
Old traveler's cheques remain redeemable through their issuers (they never expire), but the redemption process requires direct contact rather than merchant acceptance.
The dual-signature security system that made them revolutionary in the 1980s can't compete with modern fraud protection and instant digital payments.
If you're moving money internationally, whether for travel or remittances, digital tools deliver faster service, lower costs, and better security than paper vouchers ever provided.
