Definition

Noun: A traveler's check is a pre-printed, fixed-amount check designed as a secure form of payment for people traveling, especially internationally. It functions like cash but is protected against loss or theft because it requires the purchaser's signature for both issuance and redemption.

Usage

Traveler's checks are used as a safe alternative to carrying large amounts of cash. The purchaser signs each check upon buying them and must countersign it in the presence of the payee (e.g., a hotel, shop, or bank) to use it. If lost or stolen, they can typically be replaced.

Examples

• Before her trip, she exchanged $500 for traveler's checks to avoid carrying cash.
• The hotel accepted payment by traveler's check.
• He had to show his passport and provide his original signature to cash the traveler's check.

Advanced Usage

• "To issue a traveler's check": For a bank or financial company to create and sell a traveler's check to a customer.
  • The agency can issue traveler's checks in multiple currencies.
• "To redeem a traveler's check": To exchange a traveler's check for local currency or use it for payment.
  • You can redeem your traveler's checks at most major banks.

Variants and Related Words

• Traveler's cheque: The British English spelling.
• Cheque: The British English spelling for the American English "check."

Synonyms

• Bank draft (a broader term for a check drawn by one bank on another)
• Circular note (an older, similar instrument)

Related Phrases

• "Lost traveler's check": Refers to the common scenario where these checks' replacement guarantee is needed.
  • She reported her lost traveler's checks to get a refund.
• "Bearer instrument": A legal term for a document, like a traveler's check, that entitles the holder to its value.

Noun

1. a letter of credit issued by a bank or express company that is payable on presentation to any correspondent of the issuer