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motoged
Elite Nomad
Posts: 6481
Registered: 7-31-2006
Location: Kamloops, BC
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Mood: Gettin' Better
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Currency Exchange
I have had a day or two to calm down, but " Boy, was I steamed!!!"  
I bought $8000 MP through my bank last week when the Canadian dollar was $99.96 US$....I expected some service fees on top of exchange rate, but my
cost was $704 CDN (US about a few $ less)...I expected it to cost me about about $650 or so CDN. 
After I put the top of my head back on, I tried to get the bank manager to break down the transaction costs but she was unable to explain the
difference between the exchange rate and the final cost (which would have been the bank's service fees).
Am I out of touch or what 
I understand the Googled currency exchange sites give an exchange rate that does not include any type of service fee http://www.xe.com/ucc/,
but what do you folks pay when you go to the bank?
My bank manager tried to convince me that Casa de Cambios would also charge about a 8-10% fee over the rate posted on a currency exchange site as
mentioned above....
Just askin'
Don't believe everything you think....
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woody with a view
PITA Nomad
Posts: 15939
Registered: 11-8-2004
Location: Looking at the Coronado Islands
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Mood: Everchangin'
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i think they MIGHT add 1%.
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shari
Select Nomad
Posts: 13049
Registered: 3-10-2006
Location: bahia asuncion, baja sur
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Mood: there is no reality except the one contained within us "Herman Hesse"
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its tough to figure out...I see something like 12.65 on the exchange websites and then only get 12.2 or even 11.9 at the banks...different banks have
different rates too although the tellers told me the exchange rate was the same at all banks...NOT.
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longlegsinlapaz
Super Nomad
Posts: 1685
Registered: 11-18-2005
Location: La Paz
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Motoged, I'd have told your bank manager if they can't explain the fees they charge for the services they provide that you expect then to reverse
their fees immediately!! 
Why did you bother getting pesos anyway, it's a well-documented fact that USD is accepted everywhere in Baja & since Canada is a neighbor of the
USA & Mexico is a neighbor of the USA as well, you just tell all the Mexican businesses you're paying in your currency & that's that! Oh! Be
sure you tip them well & they'll be grateful to take your money! 
Kudos to you for respecting the currency of the country you'll be visiting! 
[Edited on 12-19-2010 by longlegsinlapaz]
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DENNIS
Platinum Nomad
Posts: 29510
Registered: 9-2-2006
Location: Punta Banda
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| Quote: | Originally posted by motoged
My bank manager tried to convince me that Casa de Cambios would also charge about a 8-10% fee over the rate posted on a currency exchange site as
mentioned above....
Just askin' |
Competitive Cambios are usually 2% lower than the official money market rate. They arn't regulated but they are volatile. You can see them changing
the rate signs throughout the day.
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El Comadante Loco
Nomad
Posts: 274
Registered: 6-12-2004
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Exchange rate, 12.25 today in Calexico and Mexicali and no commission.. however I no longer exchange at any casa de cambio..
I use my ATM card at Bancomer and get a better rate than at the casa de cambio which makes up for more than the ATM fee of 22 pesos...
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karenintx
Senior Nomad
Posts: 540
Registered: 3-16-2008
Location: CSL
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Mood: Living The Dream
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Used my BOA ATM card at Scotia Bank tonight and got a 12.41 pesos exhange with no ATM fee. My only complaint is Scotia Bank has lowered the daily
withdrawal amount down to 3,000 pesos...use to get 5,000 pesos.
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Pescador
Ultra Nomad
Posts: 3587
Registered: 10-17-2002
Location: Baja California Sur
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I know the discussion of using dollars instead of pesos has been drug through the mud and back, but there is a real issue now with the banks in
Mexico. The most dollars that can be deposited in to a Mexican account in one month is $4,000 and anything over $1250 (actually $15,000 pesos) for
the month is subject to a 3% tax. Some genius in the federal government thought that would stop all money laundering of drug profits, but instead has
turned into a virtual nightmare with trying to build or hire contractors or almost any other business transaction. I have a friend who is a fairly
small businessperson in the Santa Rosalia area and has found it necessary to open up 8 accounts to deal with this issue. So, be aware that they will
take dollars if forced to, but they have to make up the loss by lowered exchange rates to try to break even.
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MitchMan
Super Nomad
Posts: 1856
Registered: 3-9-2009
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Mexican banking is an absolute mess. The government excercises poor timing and myopic thinking when they make new mandates.
It's like their top government people were the sons of rich Mexicans who sent their priviledged kids to US American Ivy League Schools where their
kids got C's, came back to Mexico, immediately got great jobs in high places in Government finance without any experience and then started making laws
to attempt to cure perceived problems in one felled swoop. The result is a continuous stream of heavy handed detrimental stupid policy executed at the
ground level by people that have no understanding of the why's and wherefores of what they are implimenting and no curiosity of their own on the
matter itself.
[Edited on 12-19-2010 by MitchMan]
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oladulce
Super Nomad
Posts: 1625
Registered: 5-30-2005
Location: bcs
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| Quote: | Originally posted by karenintx
Used my BOA ATM card at Scotia Bank tonight and got a 12.41 pesos exhange with no ATM fee. My only complaint is Scotia Bank has lowered the daily
withdrawal amount down to 3,000 pesos...use to get 5,000 pesos. |
I got $5000 pesos at ScotiaBank Ensenada branch using my BofA ATM card 4 days ago.
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karenintx
Senior Nomad
Posts: 540
Registered: 3-16-2008
Location: CSL
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Mood: Living The Dream
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| Quote: | Originally posted by oladulce
| Quote: | Originally posted by karenintx
Used my BOA ATM card at Scotia Bank tonight and got a 12.41 pesos exhange with no ATM fee. My only complaint is Scotia Bank has lowered the daily
withdrawal amount down to 3,000 pesos...use to get 5,000 pesos. |
I got $5000 pesos at ScotiaBank Ensenada branch using my BofA ATM card 4 days ago. |
Interesting...must be different limit amounts in different cities. Imagine that! Oh well we are going to SJD later this week to pick-up a friend.
Think we will try the Scotia Bank that is next to Applebee's. Also we have noticed that Santander has also lowered their daily limit...at least the
ones close to us in CSL.
.
[Edited on 12-19-2010 by karenintx]
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monoloco
Elite Nomad
Posts: 6667
Registered: 7-13-2009
Location: Pescadero BCS
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| Quote: | Originally posted by Pescador
I know the discussion of using dollars instead of pesos has been drug through the mud and back, but there is a real issue now with the banks in
Mexico. The most dollars that can be deposited in to a Mexican account in one month is $4,000 and anything over $1250 (actually $15,000 pesos) for
the month is subject to a 3% tax. Some genius in the federal government thought that would stop all money laundering of drug profits, but instead has
turned into a virtual nightmare with trying to build or hire contractors or almost any other business transaction. I have a friend who is a fairly
small businessperson in the Santa Rosalia area and has found it necessary to open up 8 accounts to deal with this issue. So, be aware that they will
take dollars if forced to, but they have to make up the loss by lowered exchange rates to try to break even. |
Those rule only apply to cash deposits, you can transfer as many dollars as you wish from a US account without penalty. It is a
problem for Mexican businesses but shouldn't be a problem for foreigners unless they are transporting large amounts of currency.
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Timo1
Senior Nomad
Posts: 756
Registered: 11-2-2007
Location: Homeless
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Mood: Lovin every minute of it
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Ged
Next time you're in Van. go out to the airport and exchange there.
Their rate is far better than any bank
They don't have a "spread" like banks
Also all currencies have a buy/sell rate
When the Canuck buck was at 1.06 I bought six thousand USD
That cost me 200 bucks
HUH ????...Learned my lesson about banks
Also Customs House in North Van is really good
Hope this helps
[Edited on 12-19-2010 by Timo1]
sold out and got out !!!
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dtbushpilot
Ultra Nomad
Posts: 3294
Registered: 1-11-2007
Location: Buena Vista BCS
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Mood: Tranquilo
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The worse (by far) exchange rate that I ever got was from my home town bank in New Mexico. They had to bring them in from somewhere, took about a
week, seems like I got about 3/4 of what I expected. That was a long time ago before the advent of ATM's on every corner.
I use my bank card but try to only use it at a bank ATM, I feel like the security is better.....maybe. My dad tried to get pesos from an ATM at the TJ
airport, it declined his request the first time and kept his card the second time he tried it. When he got here we called the bank to cancel the card
and found that his card had been charged for one of the withdrawal attempts. At least there wasn't any other activity on the card.
As I typed this story it occurred to me that because of this incident my dad arrived here with no money and no way to get any. I had to foot the bill
for everything that we did for the week he was here.........I wonder if the machine really kept his card or if I've been outsmarted by
him......again.....
"Life is tough".....It's even tougher if you're stupid.....
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wilderone
Ultra Nomad
Posts: 3879
Registered: 2-9-2004
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Which bank was this -- just askin - so others can avoid.
"My bank manager tried to convince me that Casa de Cambios would also charge about a 8-10% fee over the rate posted on a currency exchange site as
mentioned above"
Rhetorical, but why did you exchange such a large sum all at once? You didn't ask about their currency exchange policy before you did this?
Privileges for the type of accounts you have (waiver of fees)? Banks will nickel and dime you to death. A fee for a notary, application fee, service
fee, etc. Call them anonymously now and ask - no reason why somebody shouldn't give a straight answer. 8%-10%? That's outrageous. There are MANY
options for currency exchange, as you now know. If you're trying to make money with FOREX trading, it's extremely volatile, but with some study and
practice, can be profitable. (Not done through normal retail procedures, however).
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DianaT
Select Nomad
Posts: 10020
Registered: 12-17-2004
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| Quote: | Originally posted by dtbushpilot
As I typed this story it occurred to me that because of this incident my dad arrived here with no money and no way to get any. I had to foot the bill
for everything that we did for the week he was here.........I wonder if the machine really kept his card or if I've been outsmarted by
him......again..... |
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motoged
Elite Nomad
Posts: 6481
Registered: 7-31-2006
Location: Kamloops, BC
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Mood: Gettin' Better
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WO,
Thanks...your reply responds best to my query:
Royal Bank was the userer
I will never make this mistake again....I did ask initially what the service fee would be and the clerk said "just the exchange rate"....
I am aware of and usually do the ATM thing in Mexico once travelling, and usually exchange several hundred US dollars at border Casa de Cambios to
get my first fistfull of pesos.
I try to use pesos instead of US dollars whenever I can once south of the border.
I wanted that much in pesos as I am anticipating being away fro ATM's for the first several days in Baja and so that money exchange hassles were not
on my "To Do" list for the first several days of motorcycling back routes.
That exchange cost me a room and fish taco feed
| Quote: | Originally posted by wilderone
Which bank was this -- just askin - so others can avoid.
"My bank manager tried to convince me that Casa de Cambios would also charge about a 8-10% fee over the rate posted on a currency exchange site as
mentioned above"
Rhetorical, but why did you exchange such a large sum all at once? You didn't ask about their currency exchange policy before you did this?
Privileges for the type of accounts you have (waiver of fees)? Banks will nickel and dime you to death. A fee for a notary, application fee, service
fee, etc. Call them anonymously now and ask - no reason why somebody shouldn't give a straight answer. 8%-10%? That's outrageous. There are MANY
options for currency exchange, as you now know. If you're trying to make money with FOREX trading, it's extremely volatile, but with some study and
practice, can be profitable. (Not done through normal retail procedures, however). |
Don't believe everything you think....
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capitolkat
Senior Nomad
Posts: 510
Registered: 3-9-2006
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Went to Banamex today Sunday-and got pesos from the ATm. Banamex is linked to our Citibank account and we got 12.41 and no transaction fees. We have
never paid a transaction fee so long as we use Banamex to access our Citibank account.
Life is too short to drink bad wine
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DENNIS
Platinum Nomad
Posts: 29510
Registered: 9-2-2006
Location: Punta Banda
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| Quote: | Originally posted by capitolkat
Went to Banamex today Sunday-and got pesos from the ATm. Banamex is linked to our Citibank account and we got 12.41 and no transaction fees. We have
never paid a transaction fee so long as we use Banamex to access our Citibank account. |
Really? Today I used a Banamex ATM and at the start of the transaction, the screen says there will be a charge of 28+ Pesos to continue. When I use
an HSBC ATM the charge on the screen is less by a bit, but still there.
Question is....who gives up the charge when cooperating banks are involved in a withdrawal....the US bank or the Mexican bank? I can't believe the
Mexican bank would be giving this free service.
My home bank is Chase.
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Bajahowodd
Elite Nomad
Posts: 9274
Registered: 12-15-2008
Location: Disneyland Adjacent and anywhere in Baja
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Frankly, I never really worried about chump change when making a withdrawal at an ATM in Mexico. Obviously, there a a couple of posts above that far
exceed chump change.
My bank is Chase, too. I get charged $3 by them every time I make a withdrawal. But, that fee is assessed on any transaction at a non-Chase ATM.
Checking my recent statement, there is also some foreign currency transaction adjustment. It amounts to something slightly less than $3. So, what I'm
guessing is that the Mexican bank gets the adjustment fee, and Chase gets the other fee for non-Chase ATM use.
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