BajaNomad - ATMs/foreign money charges

ATMs/foreign money charges

rhintransit - 9-19-2007 at 03:24 PM

I have been paying my US bank a foreign money charge (when using a debit card at an ATM) that up to now has amounted to about 5 bucks/500 US exchange. they do defer their non-system ATM card, but of course I get one for the bank of choice...ie the only one in town...in Loreto. the per day withdrawal limit is $500 so am limited in trying to avoid at least multiple Mexican bank ATM charges. so I have been paying about $7/500 for the convenience, something I just figured was a cost of living in Baja thing.

Today I found that the rate is going up to 2% for the foreign money charge. they claim that this a VISA imposed fee, I have not verified that. I have a debit card from another bank which has not in the past charged the fee, it is also a VISA generated card, but they limit the amount per day to $200 so machine fees add up, even if it were convenient to go to the machine that frequently.

What have other Nomads encountered? Am willing to change banks, though not real excited about changing to a Mexican one (high service charges I understand). Any other suggestions? I do take some cash for emergency exchanges but enough for eight to nine months lying around would concern me. thanks for any suggestions or comments.

Hook - 9-19-2007 at 04:21 PM

Talk to a credit union. It's pretty easy to qualify for one of them these days.

woody with a view - 9-19-2007 at 04:30 PM

call your bank and tell them situation and ask for an increase in the daily limit or yer gonna close yer account......can't hurt since yer thinking of this anyways....

toneart - 9-19-2007 at 04:46 PM

Quote:

Originally posted by rhintransit
I have been paying my US bank a foreign money charge (when using a debit card at an ATM) that up to now has amounted to about 5 bucks/500 US exchange. they do defer their non-system ATM card, but of course I get one for the bank of choice...ie the only one in town...in Loreto. the per day withdrawal limit is $500 so am limited in trying to avoid at least multiple Mexican bank ATM charges. so I have been paying about $7/500 for the convenience, something I just figured was a cost of living in Baja thing.

Today I found that the rate is going up to 2% for the foreign money charge. they claim that this a VISA imposed fee, I have not verified that. I have a debit card from another bank which has not in the past charged the fee, it is also a VISA generated card, but they limit the amount per day to $200 so machine fees add up, even if it were convenient to go to the machine that frequently.

What have other Nomads encountered? Am willing to change banks, though not real excited about changing to a Mexican one (high service charges I understand). Any other suggestions? I do take some cash for emergency exchanges but enough for eight to nine months lying around would concern me. thanks for any suggestions or comments.

If you have a Bank of America account, they have a program called "Safe Send". It was designed with Mexican Nationals in mind, to open accounts and send money home. Anyone can sign up for Safe Send. It costs nothing. I use it. The bank wires it to certain banks in Mexico (I believe Bananorte is one). They also will send it to a telegraph office. The limit is $1500/withdrawl with a total limit of $3000/month....U.S. $. It usually takes a couple of hours for the transmission, or overnight if you request late in the day. The telegraph office will give you the cash. Sometimes they tell you to come back later because they don't have the cash on hand, but usually they do.

You have to apply for Safe Send in the U.S. You can't set it up from Mexico. After your account is set up, you will have to do a one-time set up at the telegraph office. No big deal.

B of A also has a relationship with Santander. You can withdraw at Santander without a Santander fee. B of A charges $3.00.

Citybank also has a relationship with Banamex. I know your only bank in Loreto is Bancomer, which doesn't offer any breaks. But you could get a Safe Send wire at the telegraph office.

I hope this helps.

rhintransit - 9-19-2007 at 05:09 PM

Quote:

Originally posted by Hook
Talk to a credit union. It's pretty easy to qualify for one of them these days.

my second 'bank' is a credit union. they limit my withdrawals to 200/day, and yes, I have talked to them about upping the amount, but no good. they say the limit is 'for my own protection' (really the bank's of course if I report it in time) in case of card loss.

toneart...the first bank did mention a Safe Send type option but said that setting it up would involve 'a lot of fees', maybe I should have/will push that further. opening a B of A account is an option, sounds like it would be $3/transmission. unless the telegraph office charges a fee, that may be the least expensive option so far. any Loretans using this service? comments if so?

thanks for all the suggestions, keep them coming.

Hook - 9-19-2007 at 05:17 PM

Quote:

Originally posted by rhintransit

Quote:

Originally posted by Hook
Talk to a credit union. It's pretty easy to qualify for one of them these days.

WOW, that's really low. Mine CU limit is 500.00 but that's the max even if you request a higher amount. In an emergency, they will increase on an as needed basis; not sure what qualifies as an emergency.

rhintransit - 9-20-2007 at 06:51 AM

Quote:

thanks, it may be an option. I hate to say it, but I have no idea if there is a telegraph office in Loreto. anyone know? also I understand we will be getting a new bank but I don't know which one that is...or how soon. ditto on anyone know?

B of A/Santander relationship...I think you are saying they waive the $3 ATM fee. do you know if they, B of A, charge the foreign money fee if one uses Santander to withdraw funds? I could stock up on money during Loreto-La Paz runs I suppose.

Bajalover - 9-20-2007 at 09:15 AM

Toneart, good info. thanks.

backninedan - 9-20-2007 at 09:37 AM

The telegraph office is next to the post office.. The new bank (located next to the old gas station) is going to be a banamex.

Don Alley - 9-20-2007 at 10:12 AM

Wells Fargo also has some kind of low-cost international transfer to Bancomer. I haven't tried it but I'm thinking about it.

https://www.wellsfargo.com/per/intl_remittance/mexico

Hook - 9-20-2007 at 10:18 AM

In this day of secure transfers between banks over the net, how is it that a telegraph office stays in business.......excluding the rip-off rates on money transfers to people without bank accounts, of course?

rhintransit - 9-20-2007 at 12:46 PM

I've just gotten off the phone to my credit union (which in December did raise the limit on withdrawals to $500, a relief) and to my bank. both of whom use VISA for their debit cards/ATM processing. the foreign money charge IS a VISA charge, has been increased to 2%, and applies to any and all foreign ATMs where local currency is withdrawn. this may come as a surprise to a lot of you, as it did to me. watch your statements.

comitan - 9-20-2007 at 12:56 PM

Citibank (Banamex USA) If you have and acct. here it cost nothing to withdraw money from a Banamex ATM.

Phone No. from Mex. 01-800-111 1234

From USA 800 222 1234

roundtuit - 9-20-2007 at 01:05 PM

Wells Fargo = Bancomer. No charge last year and limit much higher than $ 500.00. but have to request higher limit at your bank

Hook - 9-20-2007 at 01:42 PM

Rhino, are you sure you arent using your Visa card for a cash advance instead of as an ATM/debit? There IS a difference.

rhintransit - 9-20-2007 at 02:25 PM

Quote:

Originally posted by Hook
Rhino, are you sure you arent using your Visa card for a cash advance instead of as an ATM/debit? There IS a difference.

yep, I'm sure. both cards are debit cards, with little Visa logos on the bottom, I assumed for merchants who don't take debit cards.

but here is where I must have been a little dense, I went back to read the statements.
I get two charges, an ATM foreign fee of $2, which I understand comes from the Mexican bank. the second is something called an "intl svc fee, debit" for 1% (now going to 2%) I am told by the banks, was also told this is imposed by Visa, not by the banks.

maybe it's something to do with smaller banks/credit unions who must tie their debit cards to something big like Visa? maybe I need a new bank? those of you with big bank debit cards...BOA, Wells Fargo, others, would you look at the cards and see if they are logo'd Visa or MC? thanks.

toneart - 9-20-2007 at 02:38 PM

Quote:

Originally posted by rhintransit

Quote:

Originally posted by Hook
Rhino, are you sure you arent using your Visa card for a cash advance instead of as an ATM/debit? There IS a difference.

Rhintransit,
Check you U2U.
Additional comments: My debit card has a Visa logo.

The 2% int'l fee must be something new. I know they charge a 3% int'l fee if a credit card is used for a purchase. For example, stores, hotels, restaurants. I haven't used an ATM in Baja since April, so things may have changed. Often the business in Baja will charge you another 3% fee. It really makes it not worth it.
The old cash under the mattress may be the bank of choice.

[Edited on 9-20-2007 by toneart]

comitan - 9-20-2007 at 02:38 PM

My debit card does not have a visa Logo. Only the bank logo. And I cannot use it for Merchant purchases because it is a debit card.

[Edited on 9-20-2007 by comitan]

Hook - 9-20-2007 at 02:48 PM

My credit union issues a VISA credit card.

But the ATM/POS/DEBIT card is a Master Card.

No service fee of any kind, except what the banks in Mexico charge for non-customers, generally 7.5 pesos at the Santanders and the HSBCs I use.

I tend to avoid Banamex and Bancomer when I can. Just too many bad stories about them. I realize this is not possible for some.

toneart - 9-20-2007 at 02:55 PM

The Bank of America SafeSend program (that I mentioned in an earlier post) does not have a charge of any kind, on either end. They set it up in order to attract Mexican Nationals to open accounts. That is what the bank hopes to get out of it.

Hook,
I agree....I avoid Banamex and Bancomer. I closed my Bancomer account in Santa Rosalia because the service was so bad. Even if they are the only bank in town. Other options mentioned here are preferable.

BajaBruno - 9-20-2007 at 03:54 PM

In May my bank local (Bank of Stockton) started charging me a "Cross Border Fee" for ATM withdrawals out fo the country. It was about 1%. I didn't appreciate it and sent them an email. First they said it was a VISA fee. i explained that I was not using the VISA component--just getting cash from the local bank (in France at that time). Then they said no, it was a new bank fee. I explained that I had signed up for the account many years ago as a "no fee" ATM, I had never in the past been charged for ATM use, and they had not notified me of any changes to our contractual relationship, because I would change banks when they did.

The bank then explained that although they would continue charging me, if I reminded them periodically, they would reverse those charges. I have, and they have. This is a privately owned bank with very good customer service. I don't know if you could get away with this at a big public bank.