Money

It's a good idea to exchange at least some money -- at least enough to cover airport incidentals and transportation to your hotel -- before you leave home, so you can avoid lines at airport ATMs. You can exchange money at your local American Express or Thomas Cook office or your bank. If you're far away from a bank with currency-exchange services, American Express offers travelers checks and foreign currency, though with a $15 order fee and additional shipping costs, at www.americanexpress.com or tel. 800/807-6233.

Pounds & Pence

Britain's decimal monetary system is based on the pound sterling (£), which is made up of 100 pence (written as "p"). "Quid" is similar to "buck" in the U.S.: British slang for a pound. Scotland issues its own currency, but English and Scottish money are interchangeable (although using Scottish notes in England can sometimes be problematic). There are £1 and £2 coins, as well as coins of 50p, 20p, 10p, 5p, 2p, and 1p. Banknotes come in denominations of £5, £10, £20, and £50. Unlike in England, Scots still use £1 notes, as well.

As a general guideline, the price conversions in this guide have been computed at the rate of £1 = US$1.85. Bear in mind, however, that exchange rates fluctuate constantly, and, in recent years, quite dramatically. In any given month, it has been not usual for the pound's worth to vary by as much as 15¢. For more exact ratios between these and other currencies, check an up-to-date source before you arrive in Scotland, such as www.xe.com/ucc.

Prices in Scotland will make it seem like an expensive destination, on a par with visiting major U.S. cities, for example, rather than central European countries. That is particularly true with hotels, dining out and drinking in pubs. In general, goods and services are priced in the same amount as they would be in U.S. dollars, but that means they really cost almost twice as much. For example, a £200 iPod is selling for nearly $400. Exceptions to this rule are theater and cinema tickets, which are about the same and sometimes cheaper given the exchange rate.

In Edinburgh and Glasgow, as well as in most towns around these cities, there are as many ATMs (or Cash Points, as they are called) as you would find in any major city. The most prevalent network is Cirrus.

Regarding the U.S. Dollar, the British Pound & the Euro -- Europe's primary currency, the euro, is not officially used in Scotland, as Great Britain steadfastly refuses to give up the British pound. However, some euro-friendly businesses in central Edinburgh and Glasgow will accept euro coins and notes.

ATMs

The easiest and best way to get cash away from home is from an ATM, sometimes referred to as a "cash machine," or a "cash point." The Cirrus (tel. 800/424-7787; www.mastercard.com) and PLUS (tel. 800/843-7587; www.visa.com) networks span the globe; look at the back of your bank card to see which network you're on, then call or check online for ATM locations at your destination. Be sure you know your personal identification number (PIN) and daily withdrawal limit before you depart. Note: Remember that many banks impose a fee every time you use a card at another bank's ATM, and that fee can be higher for international transactions (up to $5 or more) than for domestic ones (where they're rarely more than $2). In addition, the bank from which you withdraw cash may charge its own fee. For international withdrawal fees, ask your bank.

Credit Cards

Credit cards are another safe way to carry money. They also provide a convenient record of all your expenses, and they generally offer relatively good exchange rates. You can withdraw cash advances from your credit cards at banks or ATMs, provided you know your PIN. Keep in mind that you'll pay interest from the moment of your withdrawal, even if you pay your monthly bills on time. Also, note that many banks now assess a 1% to 3% "transaction fee" on all charges you incur abroad (whether you're using the local currency or your native currency).

Credit cards universally accepted are MasterCard and Visa, with American Express allowed less frequently. In the past few years, Scotland has imposed a "Chip and Pin" system, which means that all credit cards issued have a computer chip imbedded in them and users must know their PIN numbers. In effect, the PIN has replaced the signature on credit card purchases. Many businesses can over-ride the "Chip and Pin" requirement, although it often depends on staff's knowledge of the equipment that the business uses.

Traveler's Checks

Traveler's checks are becoming something of an anachronism. These days, traveler's checks are less necessary because 24-hour ATMs allow you to withdraw small amounts of cash as needed. You can buy traveler's checks at most banks. They are offered in denominations of $20, $50, $100, $500, and sometimes $1,000. Generally, you'll pay a service charge ranging from 1% to 4%.

The most popular traveler's checks are offered by American Express (tel. 800/807-6233 or 800/221-7282 for card holders -- this number accepts collect calls, offers service in several foreign languages, and exempts Amex gold and platinum cardholders from the 1% fee); Visa (tel. 800/732-1322) -- AAA members can obtain Visa checks for a $9.95 fee (for checks up to $1,500) at most AAA offices or by calling tel. 866/339-3378; and MasterCard (tel. 800/223-9920).

American Express, Thomas Cook, Visa, and MasterCard offer foreign currency traveler's checks, which are useful if you're traveling to one country, or to the Euro zone; they're accepted at locations where dollar checks may not be.

If you carry traveler's checks, keep a record of their serial numbers separate from your checks in the event that they are stolen or lost. You'll get a refund faster if you know the numbers.