Welcome to ScubaBoard, the world's largest scuba diving community. Registration is not required to read the forums, but we encourage you to join. Joining has its benefits and enables you to participate in the discussions.
Benefits of registering include
It can also be your worst enemy, if there is a mechanical malfunction and the ATM decides to eat your card.
AmEx is about as widely accepted in Australia as it is in the US. A few small businesses might not take it, but large stores definitely will, as will major hotel chains, rental car companies, etc. Also never had a problem with a gasoline station taking it either.
You are correct, cards can get messed up, mechanically or electronically. Thats why I always have 2 different electronic cards, just as you would only dive with some type of backup.
Travelers checks do work fine if you want to go that route.
My reason for going electronic is I travel for work oveseas and rarely know how much local currency I need in advance and often stay longer than expected. Also, the best food tends to be at small local resaurants that take cash only (Remember, no job is complete until you eat!) ATM's give me the flexibility I need. Exchanging currency at the airport is lose/lose (you pay up front and then again for anything unspent back to USD) and often involves long lines. Bank are open, well bankers hours. The also charge pretty stiff exchange rates also.
My trip to Florida looks better by the day...Our dollar is practically worthless over in Europe right now. The current exchange rate is the worst I've ever seen, and I've been travelling in Europe since 1989. There is no way I could afford to go over now.
Accepting US Dollars is a favour, not a right.Remember you ATM card (or any credit/debit card with a PIN number) is often your best friend. I often use these to get local currency in Asia/Europe with minimum hassle in hotel lobbys or bank ATB (even after hours).
actualy you might have a hassle using amex in australia as you might find its either not accepted (kinda rare) or if it is, you will be charged a higher % (this happens alot) for the privillage of using it. maybe not so much the tourist traps but def quite a few restuarants and business that i have used and had hassles