Currency exchange

[medi130]

Any advantage to pay with pesos or just pay with usd? I would assume most places take usd in Mexican Riviera? Thanks 

[gopackgo21]

Our first cruise we took Pesos, but every cruise since we have just used our Card or paid USD. The advantage of using Pesos is that the exchange rate is better. For example a Maragrita would be 50 pesos which is $2.70 and they would say $3. If you plan on purchasing a lot, it could add up but for us it's not worth the hassle of exchanging. 

[Laurie S.]

Take pesos, it's a hassle for them to have to deal with a foreign currency.  Prices and attitudes will be better with pesos.  Many banks in the US can get pesos for you.

[SDPadreFan]

Peso's are always best (you are showing respect to their country). But that said - American dollars will work just fine. You will loose a little on the transaction on both sides (what you pay and the change you receive back). Most small businesses will not track the daily exchange rate to benefit you. They will track it to benefit themselves. Say the daily rate is 18.90 pesos to the dollar. Most businesses will offer an exchange rate of 18.50 or 18 to the dollar. So they will skim a few pesos when you pay your bill in dollars and then when they give you change in pesos (don't try to argue this), they will skim a few more using that same exchange rate. Generally not a big deal if you aren't spending that much (only there for a day).

 

Example - sample exchange rate 18.90 -- $100 U.S. Dollars = 1,890 pesos

 

Value of $100 vs. official exchange rate of 18.90, if you conduct transactions in dollars at 18.50 = 1,850 (you loose $2.11)

Value of $100 vs. official exchange rate of 18.90, if you conduct transactions in dollars at 18 = 1800 (you loose $4.76)

 

So not a huge deal, but it would add up if you were there for a week or two. But don't sweat $5 while you are ON VACATION.

 

Credit cards are useful in larger business's, if your card doesn't charge a foreign transaction fee (NEVER EVER USE DEBIT CARDS). But you do have to be aware of the potential to have your credit card data skimmed in a foreign country. I always tell my credit card company of my travel plans in advance so that they can be on the lookout for fraudulent activity, plus I watch my credit card transactions like a hawk for a week or two once I return home.

[SDPadreFan]

18 minutes ago, Laurie S. said:

Take pesos, it's a hassle for them to have to deal with a foreign currency.  Prices and attitudes will be better with pesos.  Many banks in the US can get pesos for you.

 

Many banks in the U.S. charge a pretty healthy service fee to get those pesos (or any other foreign currency) for you.

[Laurie S.]

And, a number of them don't.  Use the ATM in Mexico and you will pay a fee, also.

[SDPadreFan]

Depends on the bank ATM. Pretty sure B of A and Santander Bank in Mexico are still linked so no fee. There are others but can't remember. Again - not really worth the hassle for a one day stop.

[57redbird]

AAA in Washington State will get pesos for you --- if you purchase over $200 USD worth, there is no fee.

[CruiserBruce]

17 minutes ago, 57redbird said:

AAA in Washington State will get pesos for you --- if you purchase over $200 USD worth, there is no fee.

But, as frequently mentioned, the exchange rate might not be the best. They cover their costs one way or another.

[GradUT]

Also, AAA will have the foreign currency delivered to your door, so no need to schlep to a bank. 

[Mike45LC]

Padres' fan hit the nail on the head.  The stores will charge a poor exchange rate, but that barely covers their cost and hassle in dealing with US $.

 

I find that the store cashiers like it when I pay in pesos -- I think it shows respect to the fact that Mexico is THEIR country and that I am not treating it as a poor relation.

 

I travel the Mex Riv frequently, so I accumulate pesos and keep them to future visits.  I probably have about US$200 worth at home -- with interest at virtually zero, all it costs me is any deflation of the peso visa-a-vis the dollar. 

 

Sometimes, it is much better to pay in pesos -- 10 peso bus fare (55 cents) vs. $1 bus fare.  The ferry to Stone Island is one where I want to pay pesos instead of dollars.

 

I take advantage of the (decent/poor) exchange rate at OXXO to change dollars into pesos.  I'll buy a few sodas and chips and pay with a US$20 and tell the girl that I'll take my change in pesos.  As Padres pointed out, it costs me under a dollar to do this with a US$20 -- I won't sweat it.

 

I do not use an ATM card in Mexico, and I will use a credit card only in upscale places.  I am concerned about credit card skimming.

 

[canadjineh]

If you are with Scotiabank (Canada) they are part of the Global ATM Alliance and you can bank without fees at partner bank ATM's in over 40 different countries (+44,000 ATM's.)  You can just debit your account as normal and exchange is quite favorable.  We use our debit cards on the Visa system, still protected from illegal use/skimming.

https://www.scotiabank.com/ca/en/personal/ways-to-bank/manage-accounts/global-atm-alliance.html

[iancal]

We have been using Santander ATMs for the past month in Mexico.  No ATM fee. 
 

If you are not a scotiabank customer do not use their ATMs.  They are a ripoff.  Scotia and BVDA charge about 85 pesos for an ATM withdrawal.  Most other banks are 20-30 pesos.

 

Edited February 26, 2020 by iancal

[fstuff1]

On 2/18/2020 at 11:27 AM, canadjineh said:

If you are with Scotiabank (Canada) they are part of the Global ATM Alliance and you can bank without fees at partner bank ATM's in over 40 different countries (+44,000 ATM's.)  You can just debit your account as normal and exchange is quite favorable.  We use our debit cards on the Visa system, still protected from illegal use/skimming.

https://www.scotiabank.com/ca/en/personal/ways-to-bank/manage-accounts/global-atm-alliance.html

What are the fees to convert pesos back to US $?

[canadjineh]

6 hours ago, fstuff1 said:

What are the fees to convert pesos back to US $?

I'm not sure about that as we just put any leftover USD in our Scotia USD account for next time, and keep extra pesos in an envelope at home for the next trip.  The less often you flip funds back and forth between currencies the better.  Banks always edge exchanges in their favour in both directions, buy and sell.

[Mike45LC]

13 hours ago, canadjineh said:

we just …  keep extra pesos in an envelope at home for the next trip.  The less often you flip funds back and forth between currencies the better.  Banks always edge exchanges in their favour in both directions, buy and sell.

Excellent advice!  I might take a loss when currency rates change, but I always keep my pesos for the next trip.  (I do the Mex Riv cruise at least once a year.)

 

[snowdogsmm]

I ordered pesos online in advance of our trip (my bank no longer exchanges money)  I received the best exchange rate and didn't have to worry about finding an ATM in Mexico.  It is nice to hit the ground running- being able to tip drivers etc.  As said above, anything you don;t spend save for next time.

[fstuff1]

On 6/19/2020 at 4:46 PM, snowdogsmm said:

I ordered pesos online in advance of our trip (my bank no longer exchanges money)  I received the best exchange rate and didn't have to worry about finding an ATM in Mexico.  It is nice to hit the ground running- being able to tip drivers etc.  As said above, anything you don;t spend save for next time.

 

where did you order pesos from?

[snowdogsmm]

I ordered them from Travelex.

[fstuff1]

1 hour ago, snowdogsmm said:

I ordered them from Travelex.

 

what are the fees?

 

[Hlitner]

11 hours ago, snowdogsmm said:

I ordered them from Travelex.

Just understand that when you use Travelex you are generally paying 12 - 15% extra for your currency when compared to using local ATMs.   For most cruisers it is probably worth the lousy overall exchange rate for the convenience of getting currency mailed to your home.  For those of us who live in Mexico (full or part time) or other countries, the best deals are always found through local bank-owned ATMs and/or using major credit cards that have zero foreign exchange fees.

 

Hank

[CruiserBruce]

14 minutes ago, Hlitner said:

Just understand that when you use Travelex you are generally paying 12 - 15% extra for your currency when compared to using local ATMs.   For most cruisers it is probably worth the lousy overall exchange rate for the convenience of getting currency mailed to your home.  For those of us who live in Mexico (full or part time) or other countries, the best deals are always found through local bank-owned ATMs and/or using major credit cards that have zero foreign exchange fees.

 

Hank

Absolutely true. And not just for people who live in Mexico for extended periods. True in most travel situations.

[Hlitner]

Speaking of Travelex, folks should beware of their own ATMs (found in many airports around the world) and other ATMs operated by non-bank companies.  All ATMs are not the same and the exchange rates can vary in a major way.  Most savvy travelers know that one should always try to use only ATMs owned and operated by major banks.   When we live in Mexico we go one step further and try to only use bank ATMs located at a bank branch that is open at the time.  In the unlikely event that one's ATM card gets "eaten" by the ATM machine you can go right into the bank and get it back!  This happened to us one time in Puerto Vallarta when there was a brief power failure when our card was inside the ATM.  The bank had to call the manager (who was at home) who actually came to the bank to open the ATM machine and retrieve our card.  When this happens in free-standing ATMSs it can involve some major hassles and possibly losing your card (which is why travelers should never rely on a single ATM and/or credit card when traveling).

 

Hank 

[57redbird]

On 6/21/2020 at 6:39 AM, Hlitner said:

Speaking of Travelex, folks should beware of their own ATMs (found in many airports around the world) and other ATMs operated by non-bank companies.  All ATMs are not the same and the exchange rates can vary in a major way.  Most savvy travelers know that one should always try to use only ATMs owned and operated by major banks.   When we live in Mexico we go one step further and try to only use bank ATMs located at a bank branch that is open at the time.  In the unlikely event that one's ATM card gets "eaten" by the ATM machine you can go right into the bank and get it back!  This happened to us one time in Puerto Vallarta when there was a brief power failure when our card was inside the ATM.  The bank had to call the manager (who was at home) who actually came to the bank to open the ATM machine and retrieve our card.  When this happens in free-standing ATMSs it can involve some major hassles and possibly losing your card (which is why travelers should never rely on a single ATM and/or credit card when traveling).

 

Hank 

Good advice about only using ATM's attached to an open bank --- hubby's card was eaten by a Santander ATM....went inside, cancelled the card.....glad I had my card!

[ATSEAMYLIFE]

Get some pesos before you come to MX.  We live in MX just across the border from San Diego.  We buy pesos at the Costco in Chula Vista.  They give a good exchange rate with no fees.  ATM's in MX charge lots of fees that won't be reimbursed by your US bank.  Before we moved down full time I ordered pesos from Wells Fargo and they came in a couple of days.  Horrible rate of exchange.  There are some small street stands that won't take USD.  If you use a debit card the bank will apply the exchange rate based on the minute of the transaction.  If you pay in USD (cash) the business can set any exchange rate they want.  Bottom line is for the small amounts you will want to spend using the USD can be fine.