Q: How do I deal with money while I'm in Europe? Travellers cheques? Taking it out of the ATM?
My personal opinion is using the ATM is the way to go. You get good rates doing it this way, but you have to make sure that your bank doesn't rob you for international transactions. If they are going to charge you $5 for every withdrawl you make, you need to phone around and find a bank that charges a reasonable amount.
Make sure your money is in your chequing, not savings account if you want to be able to access it! (Learn from my mistake! ;D)
Sweet talk your bank into issuing you an extra ATM card and put them in separate places from each other. They will try to say they don't give out second cards, but usually when you explain the situation, they will give in.
Q: What do I do with my money belt/valuables while in the shower?
Bring your valuables with you at all times. You will here story after story of people that left them with their stuff when they went to the shower and came back to nothing.
Some hostels have showers that have individual changing areas attached to them, which is great. If the hostel doesn't have this, hang your money belt where you can see if someone is around - but not actually visible. (As in under your towel, but still within your view from the shower).
Another great idea suggested by a user of this board, is to bring a plastic bag (or ziplock bag) to put your money belt in while in the shower. That way you can set on top of the shower taps and keep a close eye on it!