Mexico's currency is the Mexican Peso. There are one hundred Mexican cents (centavos) to every Peso.
Coins are minted in denominations of 5, 10, 20 and 50 centavo pieces. Coins are also available in denominations of 1, 5, 10 and 20 pesos.
Banknotes are printed in denominations of 20, 50, 100, 200, 500 and 1000 pesos. The most commonly used are the 50, 100 and 200 peso notes. The 500 and 1000 peso banknotes are hard to spend for small purchases, as they use up the trader's change.
Small Change/Notes in Mexico: getting change always seems to be a perennial problem in Mexico: try to make as much change as possible to use with independent traders by spending larger denomination notes in big stores; you will need the smaller notes for taxis, local buses and other small purchases where the traders often don't have the available change to hand.
About the Banknotes: The 20 and 50 peso notes are slightly smaller than the 100, 200, 500 and 1000 Peso notes, which are all the same size. Picture examples of the bills currently in circulation are shown below:
The 10 Peso coin:The 10 peso note no longer circulates It has been replaced with a 10 peso coin.
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Traveler's Checks in Mexico
Travelers' Cheques / Travelers' Checks are a safe way to carry 'virtual cash' with you to Mexico, and will complement the use of a cash-machine card if you have one (see using Credit and Debit Cards).
Most exchange houses and banks do not levy additional fees to cash traveler's cheques in Mexico; you get the face value of the check multiplied by the day's rate of exchange. If the place you go to cash your checks does, find somewhere else: it's NOT normal practice to levy commission charges or fees to cash traveler's checks (or cash, for that matter) in Mexico.
Note: Even if you have a cash-machine card, you may consider carrying traveler's cheques as a back-up to your bank card, should it get lost, damaged or retained by an ATM for some reason.
If you carry traveler's checks, here are a few tips for using them in Mexico:
- Carry well-known branded checks; American Express or VISA are the best known in Mexico.
- Although in the past, US or Canadian Dollar Traveler's Checks were the best option, these days both Sterling and Euro Traveler's Checks are widely accepted and the rates of exchange are favorable. Australian Dollars are still not as widely recognized in Mexico.
- You'll have trouble cashing traveler's cheques on Sundays as banks and exchange houses (except main airport branches) are generally closed. Plan ahead or use an ATM card.
- Keep the checks safe - you may want to leave them at the Hotel Deposit Box if they're just for emergencies.
- Some places ask for two forms of identification to cash traveler's checks (e.g. passport AND driver's license).
- Hotels will take payment by traveler's check (or cash them for you) but their rates will generally be unattractive in comparison to banks or currency exchange houses.
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Using Credit and Debit Cards in Mexico
Using Credit and Debit Bank Cards in Mexico
Major credit and debit cards are accepted at hundreds of thousands of hotels, shops, restaurants and travel service providers in Mexico. Your purchases will charged in pesos, and your bank will convert the amount back to the equivalent in the local currency where your account is held and charge it to your account.
Charges: Banks make a "foreign exchange charge" which can be up to 2.75% of the transaction value.
Exchange rates used to convert the pesos back to your local currency when making a purchase on the card are usually the same as if you were drawing cash from a cash machine using your card. (See ATMs, Below). You can ask your bank what kind of charges apply, as they vary from bank to bank (and with different kinds of accounts).
Most establishments in Mexico now have the "swipe" machines like the ones used in stores in the U.S. and E.U. Every once in a while, you may come across an establishment using the old "carbon copy" desk imprinter.
Credit and Debit Card Safety in Mexico
If you're planning to use your Credit / Debit card in Mexico, take a moment to read the paragraph on Money Safety at the bottom of this section.
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Banks And Cash Machines (ATM's) In Mexico
Banks in Mexico
Mexico's banks offer a network of ATM machines that can be used to withdraw local currency. Although some banks offer cash and traveler's check exchange, they are not the ideal place to undertake this kind of business: go to an exchange house instead. If you need to transfer money to or from Mexico, this is probably best done through an agency set up for the purpose (see Money Transfers).
The Main Banks in Mexico with ATMs and branches nationally are:
- Bancomer (owned by BBVA of Spain)
- Banamex (owned by Citigroup of USA)
- Banco Santander (part-owned by Bank of America)
- HSBC (Formerly Bital)
- Banorte (Mexican-owned bank)
Using Debit, Credit Bank Cards for Cash (ATMs in Mexico)
Cash Machines (ATMs) are now widespread in Mexico. They are almost always open, very reliable and will dish out Mexican pesos to anyone with a card connected to one of the global networks, like VISA, MasterCard, American Express, etc.
Exchange rates are generally favorable, as you tend to get the "wholesale bank rate" (or very close to it) instead of the tourist rate, which can be quite different (and not in your favor), although other service charges do apply (see below).
ATMs are by far the quickest and most efficient way to get access to local currency in Mexico.
Charges: As a guide, banks charge up to 1.5% of the transaction value when you withdraw cash from ATMs in Mexico from savings and current accounts. This % can be more for cash-advances drawn down from credit cards. In addition to the above, some banks also make a "foreign exchange charge" which can be up to 2.75% of the transaction value.
UK Switch Cards: If you live in the UK and use a 'Switch' card, note that some 'Switch' cards issued in the UK will NOT work in Mexican cash machines, and commercial outlets will not accept them either. Your card should display one of the international logos like Visa (Delta) or MasterCard, etc. Check with your bank if you are unsure.
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Exchanging Money in Mexico
All main towns and cities have institutions willing to exchange your foreign notes and traveler's checks into Mexican pesos.
Most exchange houses and banks do not charge commissions to exchange currency, but make money through the spreads - the difference between the rate at which they sell pesos and the rate at which they buy them. The spread is usually larger for money orders than travelers' checks or cash. In tourist hot spots, where there are plenty of exchange houses, it's worth checking several to see who is offering the best rate.
Check our Currency Exchange Converter, The wholesale price quoted on this live currency converter should give you an approximation of what the retail rate should be (a new window will open when you click the link).
Where to Exchange Money and Currencies in Mexico
Retail Banks - Although you will have no trouble finding a major bank in Mexico's towns and cities, most of them are NOT "foreign exchange friendly"; the procedures and time it takes to exchange foreign cash and traveler's checks at a bank are considerably more cumbersome than doing the same thing at an exchange house (casa de cambio).
Some banks will only exchange foreign currency if you have a local bank account; others have limited time windows during the day when they will transact foreign currency exchange. Most of them will make you line up twice to cash traveler's checks: once to have the check authorized and again at the cashier's desk to get your money. Lines at Mexican banks can often be very long and you can expect to spend at least 45 minutes exchanging a traveler's check at a bank in Mexico.
Some banks have a "foreign exchange" window, or annexe room next to the bank's main lobby, which makes the process of money exchnage (including traveler's checks) quick and efficient -- because they operate in much the same way as Bureaus de Change operate (see below) -- but not all banks offer this facility.
Exchange Houses / Bureau de Change - Look for the words "Casa de Cambio", although the signs are invariably in English too. Rates are often favorable, sometimes better than those offered at banks - check the competition locally, as different exchange houses and banks' rates will differ depending on the institutions' need for different foreign currencies.
Local Knowledge Tip: Mexico City's airport rates - if you need to change money on arrival, or sell pesos as you leave - are among the most competitive in the city, and rates are similar to those offered at downtown exchange houses. There are many exchange booths at the airport, both on the "air side" and the "land side," so you don't have to use the first one you see.
Some exchange houses have shorter opening hours than the banks, although in recent times they have been extending their operating hours to compete more effectively.
Money Exchange at Hotels - Many hotels in Mexico offer currency exchange, but as with hotels worldwide, the rates tend to be unattractive in comparison with exchange houses and banks - both in exchange for cash and in settlement of the account. Use Hotels as a last resort for money exchange.
What currencies will exchange houses and banks buy?
All major currencies, (cash and traveler's checks) including US Dollars, Canadian Dollars, Pounds Sterling and Euros, can be sold across the counter at banks and exchange houses.
Important Tip! There is no point in buying US Dollars to exchange in Mexico if your home currency is the Canadian Dollar, Pound Sterling, or Euro as it will involve an additional exchange transaction (extra cost) before getting your Mexican Pesos. Just take your Canadian Dollars, Pounds or Euros with you in cash and/or traveler's checks - exchanging them directly into Mexican Pesos will be straightforward and you will get a decent rate in exchange for them.
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Money Transfers
Transferring Money to and from Mexico
If you find yourself in Mexico and need to wire money back home, or if you need money wired to you in Mexico, don't panic - Mexico now has a network of agencies who specialize in doing just that.
Transferring money can be expensive (especially in smaller amounts), but it is convenient. An alternative, if you have an ATM card, is for someone to deposit money in your bank account at home, which you can access locally via an ATM, but this isn't free - read about ATM charges above.
XE.com, the people who provide the service for Mexperience's currency conversion tool, provide an excellent foreign currency purchase and transfer service - visit www.xe.com for details.
How over-the counter money transfer works
If you are transferring relatively small sums and want to use over-the-counter money transfer services, here's the general process:
The person sending you money goes to their nearest agency and makes the payment plus associated charges, telling their local branch what city the money should be sent to. The money is wired to that city and, to claim it, the recipient goes to an establishment that represents the agency (e.g. Western Union), shows a photo identification and claims the transferred amount.
To send money from Mexico to a destination overseas, it's the same process in reverse.
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Money Safety in Mexico
Storing Cash and Traveler's Checks
If you've taken traveler's checks for emergency use only, and have cash that you don't need all at once, then leave these at your hotel when you're out and about - preferably at the hotel's safety deposit box ("caja fuerte").
Many Hotels are now offering personal, electronic code safes in each room. These safes are secured inside the room (usually in one of the cupboards) and you can choose your own PIN to lock the safe door.
If your hotel has no safety deposit box, and there is no safe in your room, you will need to decide whether it is best to take them with you or keep them somewhere in your room. Remember that if traveler's checks are lost or stolen, they can be canceled and replaced, usually within 24 hours.
Safety while using ATMs in Mexico
Most cash machines (ATMs) in Mexico are in small lobbies - you need to swipe your card to get access to the lobby.
It is customary to wait outside until the lobby is free, or if there are two or three cash machines available inside; until the next one becomes available for use.
Try to use cash machines in daylight hours, at times when there are other people around. Be mindful of anything that may look suspicious near the vicinity of the cash machine, and if you are in doubt - wait, or find another cash machine.
Withdrawing money from cash machines at night, at hours when there are few or no people around is not a good idea, especially in Mexico City. Use common sense, as you would back home, and you should have no problems using cash machines in Mexico.
You may see armed police standing outside banks and cash-machines. Don't be alarmed, this is quite a normal practice throughout Mexico.
Only carry small amounts of cash with you
If you're on a sight-seeing walk-about, don't walk around dripping jewelry and cash. Take only as much money as you think you'll need for the activities you plan.
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Cost of Things in Mexico
(The Mexperience Mexico Price Index)
If you are planning to travel through Mexico on business or for pleasure, or if you are thinking about living in Mexico, it may be useful for you to compare the cost of things in your home country with those currently being charged in Mexico.
The Mexico Price Index at http://www.mexperience.com is updated at least twice a year; and immediately if there is a significant change shift.
Prices are given in Mexican Pesos and you can do conversions to your home currency using the Live Currency Converter links provided on the list.
Cost of Living in Mexico: See the latest Mexico Price Index*
*Please Note: Mexperience Price Index is only available to registered users.
Registration is Free. If you are not registered, you will be able to register by clicking the link to the Price Index (above) and following registration, you'll be automatically redirected to the Price Index Page.
To see what items are included on the Price Index,
Click Here
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