Tres Pelicanos question

[DandyDon]

Ok, you meant the USD to MXN exchange at ATMs. Got it.

The first time I used one there, I just wanted $50 worth. I put that in and got 50 pesos. Had to repeat!

 

[Midge907]

Boy, that's an expensive way to acquire pesos. Probably THE most expensive way.

Never researched it much, but I do know that I just payed the standard posted exchange rate with nothing else added. I guess if I lost out on some of the exchange rate, I guess I could say I payed for convenience?

 

[mediumone]

Never researched it much, but I do know that I just payed the standard posted exchange rate with nothing else added. I guess if I lost out on some of the exchange rate, I guess I could say I payed for convenience?

Well, if you're the customer of a bank that doesn't charge for getting you the pesos, I think that you've probably found the only financial institution on the North American continent that doesn't charge for the service.. I'd take a real close look at your statement to verify that.

Convenience??? What's more convenient that sticking your debit card into an ATM, and withdrawing pesos when you need them? Of course, I always use an ATM AT A BANK, Mega, or Chedraui ----- never a free-standing machine plopped in the middle of whatever --- and you WILL get the posted exchange rate, or very close to it.

 

[DandyDon]

Well, if you're the customer of a bank that doesn't charge for getting you the pesos, I think that you've probably found the only financial institution on the North American continent that doesn't charge for the service.. I'd take a real close look at your statement to verify that.

Wells Fargo doesn't seem to charge, and they are quoting 1 peso (MXN) = 0.07804 U.S. dollar (USD)
"Customers do not pay a service fee for currency purchases" https://www.wellsfargo.com/foreign-exchange/

Convenience??? What's more convenient that sticking your debit card into an ATM, and withdrawing pesos when you need them? Of course, I always use an ATM AT A BANK, Mega, or Chedraui ----- never a free-standing machine plopped in the middle of whatever --- and you WILL get the posted exchange rate, or very close to it.

All ATMs have risks. Those are the safest, but things happen.

 

[mediumone]

Wells Fargo doesn't seem to charge, and they are quoting 1 peso (MXN) = 0.07804 U.S. dollar (USD)
"Customers do not pay a service fee for currency purchases" https://www.wellsfargo.com/foreign-exchange/


All ATMs have risks. Those are the safest, but things happen.

I just "bought" $1,000 USD worth of pesos on Wells site. I got $12,813.94 MXN for my troubles.

ex.com, which reflects the official rate, will give me $13,616.70 for the same $1,000 USD.

So, OK, Wells (who I fired this last year after 37 years as a consumer customer, and 10 years as a business customer), doesn't charge a service fee, but characteristically, they get theirs -- to the sweet tune of $59.01 USD.

In my world, that's a lot of money for a less convenient way of getting my fist around a bundle of pesos.

 

[DandyDon]

I just "bought" $1,000 USD worth of pesos on Wells site. I got $12,813.94 MXN for my troubles.

ex.com, which reflects the official rate, will give me $13,616.70 for the same $1,000 USD.

So, OK, Wells (who I fired this last year after 37 years as a consumer customer, and 10 years as a business customer), doesn't charge a service fee, but characteristically, they get theirs -- to the sweet tune of $59.01 USD.

In my world, that's a lot of money for a less convenient way of getting my fist around a bundle of pesos.

I figured there was a catch somewhere. I checked Wall Street Journal for exchange rates: 0.0734 vs Wells Fargo: 0.07804. Looks like a 6.3% difference in rates.

How much can you get at one ATM visit? Sounds like his rate was close to WSJ, but he had to pay 30 Peso fee plus exchange rate of I guess 1 ( some banks charge 3%), so if he could get $1,000 USD worth at once, he'd save that way...

I always use the Bamex machine at Mega (never a ATM on a street) I get whatever the official exchange rate is plus a ATM fee of around $30 MEX (3 USD) plus foreign transation fee. On the 6th I was getting 0.074188 or 13.479 peso's to the doller plus ATM fee. My bank (credit union)charges 1 % for a foreign transation fee but this varies bank to bank. As for the ATM fees there are varies linkages beteeen banks that waive the ATM fees such as HSBC and Santander, check with your bank.

 

[mediumone]

I figured there was a catch somewhere. I checked Wall Street Journal for exchange rates: 0.0734 vs Wells Fargo: 0.07804. Looks like a 6.3% difference in rates.

How much can you get at one ATM visit? Sounds like his rate was close to WSJ, but he had to pay 30 Peso fee plus exchange rate of I guess 1 ( some banks charge 3%), so if he could get $1,000 USD worth at once, he'd save that way...

Ignore the choices and limits on the ATM screen. Put in the amount that you'd like. Often, the default amounts are 4 and 5 thousand pesos, (or less). I usually get 6 or 7 or 8, because there are fees and taxes to pay (per transaction), that generally amount to between 23 to 32 pesos.

---------- Post added November 22nd, 2014 at 01:08 AM ----------

I always use the Bamex machine at Mega (never a ATM on a street) I get whatever the official exchange rate is plus a ATM fee of around $30 MEX (3 USD) plus foreign transation fee. On the 6th I was getting 0.074188 or 13.479 peso's to the doller plus ATM fee. My bank (credit union)charges 1 % for a foreign transation fee but this varies bank to bank. As for the ATM fees there are varies linkages beteeen banks that waive the ATM fees such as HSBC and Santander, check with your bank.

After firing Wells, I went to a credit union. Mine doesn't charge me a foreign transaction fee, but I am charged $1.00 USD for using an out of network ATM, or some reason similar to that. So, it costs me about $2.50 - $3.50 USD to get $7,000 MXN.

B of A customers used to be able to use Santander and not be charged any fees. I think that's changed this last year. Same with Citi and someone, (it slips me at the moment), but I think that inter-bank relationship has recently changed as well.

 

[Skittl1321]

My credit union says they try to refund foreign ATM fees (they do nationally) but it doesn't always process. Their fee is $1 for foreign withdraw. Better than a percent since we won't make small withdraws.
They also told me their fraud protection covers me should something happen and the account is drained.

we decided not to get pesos ahead of time.

 

[DandyDon]

So, if I wanted to tip a boat crew $15 per 2-tank trip, that'd be 200 pesos - not 150.

Tipping a hotel maid a buck or two would be 14 to 27 pesos.

Out & about, if I pay in USD at a 10:1 rate, I'm losing 30% of more for that convenience. The local who accepts my dollars then has to stand in line at the bank to covert to pesos, less fees s/he is charged for that.

I usually don't bother but I guess it'd be nice to get pesos when I make my Mega run. I like to keep an assortment of bills handy to avoid having to wait for change (and troubleshoot when the change is not correct) so that means keeping 2 currency collections handy.

The joys of leaving home....

 

[ggunn]

So, if I wanted to tip a boat crew $15 per 2-tank trip, that'd be 200 pesos - not 150.

Tipping a hotel maid a buck or two would be 14 to 27 pesos.

Out & about, if I pay in USD at a 10:1 rate, I'm losing 30% of more for that convenience. The local who accepts my dollars then has to stand in line at the bank to covert to pesos, less fees s/he is charged for that.

I usually don't bother but I guess it'd be nice to get pesos when I make my Mega run. I like to keep an assortment of bills handy to avoid having to wait for change (and troubleshoot when the change is not correct) so that means keeping 2 currency collections handy.

The joys of leaving home....

FWIW, when I get to Cozumel, as soon as I can I change over to cash in pesos for everything but the hotel bill. I try to think in pesos as opposed to "how much is that in American money?". I go to an ATM that I trust as needed to charge my cash supply.

YMMV.