I love this recipe!

14 ounce bag of caramels
1/3 cup water
Chopped nuts

Melt caramels with water in fondue pot over low heat. Stir occasionally until sauce is smooth.

Dunk in marshmallows, bananas, apples, or angel food cake chunks.

Roll in chopped nuts.

You can find a wide variety of fondue pots (both electric and non-electric) at Amazon.com. Here are just two of the possibilities: