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rondavis

Sep 1, 2004, 6:56 PM

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ATM Fees in Mexico

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I am in the process of preparing to move to Chalapa, Jalisco, Mexico on an FM-3. I just returned from there via the International Mexico City Airport. While there I was in need of about $10 (USD) of Pesos ($110 Mex). However when I used the ATM machine available in the Airport I was notified by the ATM machine that the fee itself would be $10 (USD) to withdraw $10 USD in pesos. Since I am moving there and will be using ATM machines a lot to obtain money for my daily living expenses from Wells Fargo bank in the USA which charges $2.00 USD for any ATM transaction thru other than a Wells Fargo Bank. I am more than a little concerned about this excessive fee of $8.00 USD via the Mexican ATM Bank.
I will be heavily reliant on the ATM system to obtain cash for my daily expenses in Mexico. I have printed off the thread on this same forum titled "Üsing Mexican ATM's" but am still not sure how to avoid this major problem.



Don


Sep 1, 2004, 7:03 PM

Post #2 of 40 (7961 views)

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Re: [rondavis] ATM Fees in Mexico

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I use ATM's to withdraw my money in Mexico. I deal with Bank of American in the U.S. I am charged $2.00 by B of A for every wiithdrawal here in Mexico. I am charged nothing by the ATM's down here in Mexico. I have used Banamex, Bancomer and other banks to make withdrawals. Never used the ATM's at the airport.


Rolly


Sep 1, 2004, 7:09 PM

Post #3 of 40 (7957 views)

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Re: [Don] ATM Fees in Mexico

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Don, since you are drawing money from BofA, you should be using your card at Serfin Bank. Serfin is partly owned by BofA, and there is no ATM fee when you withdraw there. I use it often.

Rolly Pirate


jennifer rose

Sep 1, 2004, 7:16 PM

Post #4 of 40 (7951 views)

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Re: [rondavis] ATM Fees in Mexico

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Uh, are you sure the ATM fee wasn't $10 M.N.?


ET

Sep 1, 2004, 7:21 PM

Post #5 of 40 (7950 views)

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Re: [Rolly] ATM Fees in Mexico

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Quote
Rolly writes:
....since you are drawing money from BofA, you should be using your card at Serfin Bank. Serfin is partly owned by BofA, and there is no ATM fee when you withdraw there....


A similar fee waiver exists when using a Citibank ATM card to withdraw money from a Banamex ATM. Both banks are owned by the same corporate parent, CitiGroup.

Ron, was the airport ATM you used a bank-branded unit or a privately operated machine?


(This post was edited by ET on Sep 1, 2004, 7:25 PM)


Don


Sep 1, 2004, 7:22 PM

Post #6 of 40 (7948 views)

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Re: [Rolly] ATM Fees in Mexico

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I would be doing that Rolly, but even though we have three banks in town, none is a Serfin Bank. If I do need money when in other towns, I do look for a Serfin branch.


rondavis

Sep 2, 2004, 12:45 AM

Post #7 of 40 (7919 views)

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Re: [jennifer rose] ATM Fees in Mexico

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The ATM machine (not sure what Mexican Bank owned the machine) specifically indicated a fee of $10 USD and when I got my own banks statement the total for withdrawing $10 USD was $20 USD. This then was a 100% charge for every USD dollars worth of pesos withdrawn. However as I previously indicated, my own bank, Wells Fargo, does access a $2.00 USD charge for using a non Wells Fargo ATM machine (even within the US). Thus the Mexican banks ATM got $8.00 and Wells Fargo got $2.00 US for a total of $10 USD.


rondavis

Sep 2, 2004, 12:48 AM

Post #8 of 40 (7919 views)

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Re: [Rolly] ATM Fees in Mexico

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The name Bofa is completely new to me. Is that a Mexican Bank name or abreviation or is that the Bank that owns the ATM's at the Mexico City airport ?


Rolly


Sep 2, 2004, 4:20 AM

Post #9 of 40 (7911 views)

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Re: [rondavis] ATM Fees in Mexico

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BofA = Bank of America

Rolly Pirate


NEOhio

Sep 2, 2004, 5:16 AM

Post #10 of 40 (7909 views)

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Re: [Rolly] ATM Fees in Mexico

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Rolly, you are right about the fee waiver agreement with BofA/Serfin, and $2 can add up quickly.

Having read about these ATM questions and limited credit card usage SoB it was evident to me that anything I had access to in Ohio wasn't going to be adequate or without a lot of fees. When I looked into the fees and exchange rate offered by our bank without a sister bank in MExico the costs were substantial.

The BofA website is very comprehensive. I opened a checking account with a ATM/debit feature and a savings account over the website to use just when we travel to Mexico and to establish a relationship with them before we move. There are no BofA branches in this area. Transfers from another banks accounts can be done on line, from Mexico, if need be. I will be able to open a Serfin account if I want without any hassle (or so they say). They will send pesos to the house within 3 days of ordering before we leave on a trip. And they anticipate establishing a mortgage program for Mexican property within a few years.

I figure not having ATM fees and having an established relationship with a sister bank in Mexico will ease our move.

I was also astonished, as I looked into this, at the amount of money that moves over the border thru individuals. BofA has a special program debit card just for that, make a deposit here it is immediately available to the Mexican individual with the card on the other end. I noticed too that Western Union has moved to a small fee scale for sending money to Mexico.


ncferret

Sep 2, 2004, 5:23 AM

Post #11 of 40 (7906 views)

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Re: [Rolly] ATM Fees in Mexico

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Another idea for "free" ATM usage is to open an ETrade online account. They charge nothing for the use of ATM's and actually reimburse for the other bank's withdrawl fees. Their interest rates for checking accounts are some of the highest in the US (currently 2%).

On a slight side note. I recently found out that Wells Fargo offers a service called InterCuenta Express. For a $10 annual fee you can add an InterCuenta Express account to your regular Wells Fargo Account. You can then transfer up to $3000 a day to a Bankcomer account for only $10 - the funds being available the next day. You must have a Bankcomer account to transfer the funds into. Bancomer doesn't charge for ATM withdrawls from their own machines and I have found their exchange rates to be better than Serfin or Banomex.


mrchuck


Sep 2, 2004, 5:54 AM

Post #12 of 40 (7900 views)

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Re: [ncferret] ATM Fees in Mexico

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Here on the Baja penisula in La Paz or San Jose del Cabo or Cabo San Lucas, using the ATM's available is a weekly routine for our Pesos. We live much easier with these machines working here.

Yes, Wells Fargo Bank charges 2 or 3 dollars, each time, for using their ATM card in Mexico, and has no plans to ever change. I am presently closing my accounts with them for this after 44 years of being a faithful customer. Period.
The management told me don't let the door hit me in the ass while leaving.

Bank of America has ownership in 3 Mexican Banks. They are HSBC, Santander Serfin, and Scotia Bank.
Therefore, I receive NO Charge when using these 3 Mexican Bank atm"s with my Bof A atm card.
This is wonderful. This is marvelous.
This information is on their(b of a) website, and I e-mailed them and they answered me in writing that no charges are charged.
I have a higher withdrawal limit which I authorized with Bof A when in the USA. This feature allows me access to all the pesos I need.
I have also noticed like yesterday when I used an atm, a notice from the Mexican bank flashed up on the atm screen that they were going to now charge me 7 pesos for a withdrawal, 3 pesos for an account balance. But this DOES NOT come thru on my USA balance when I get back home here and check my B of A balance online. Also, the latest withdrawal is shown almost immediately posted. Amazing!!
I don't know about the mainland, but the 2 atm machines here in Los Barriles, were both physically ripped out of their foundations and stolen by robbers here, many months ago, and have been never replaced!! Also no plans to put new ones back in either. So, we have to visit the cities near us now for an atm.
When in SJDC and CSL a few days ago getting pesos, I also noticed several atm's were also broken into and stolen by robbers.
That is quite a rash of robberies on them over here.

Hope this helps people in using their atm cards here in Mexico.

Saludos, mc


(This post was edited by mrchuck on Sep 2, 2004, 9:03 AM)


Carron

Sep 2, 2004, 6:46 AM

Post #13 of 40 (7879 views)

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Re: [Don] ATM Fees in Mexico

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Serfins are now a part of the international Santander banking operation, which as mentioned above is one-fourth owned by BofA. We have had an account with Santander for almost 6 years and find sucursals just about everywhere.


johnv

Sep 2, 2004, 7:37 AM

Post #14 of 40 (7865 views)

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Re: [rondavis] ATM Fees in Mexico

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Citizens bank has the Circle Gold checking account. No fees are charged by Citizens Bank for ATM withdrawals at any machine in any country. I go to either, Banamex, Bancomer, or Banorte ATM's where I live, and they also have no charges. Therefore, I pay $0.00 for ATM transactions.


gpk

Sep 2, 2004, 7:49 AM

Post #15 of 40 (7861 views)

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Re: [rondavis] ATM Fees in Mexico

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The airport ATM probably charges a premium since many who use it have no alternative--corporations love a customer who has no choice. Anyway, your US bank sets its own policies, but here in the state of Guanajuato ALL the Mexican banks seem to be charging 7.5 pesos for a withdrawal with a US bank card. A recent law makes the banks disclose this information on the ATM before you request the withdrawal.


lbc

Sep 2, 2004, 9:11 AM

Post #16 of 40 (7835 views)

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Re: [ncferret] ATM Fees in Mexico

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could you, please, elaborate on that feature a little:

"ETrade online account. They charge nothing for the use of ATM's and actually reimburse for the other bank's withdrawl fees."

Is it anything like Paypal?
Thank you.


Bubba

Sep 2, 2004, 9:23 AM

Post #17 of 40 (7833 views)

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Re: [gpk] ATM Fees in Mexico

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It's interesting the diverse experiences people have had with ATM withdrawals. We pay a $1.00US withdrawal fee for each ATM transaction at any Mexican bank and always withdraw $5,000 Pesos each time to lessen the fee as a cost of the tranaction. Our account is with Charles Schwab and transactions are cleared through a commercial bank. Schwab would provide us with a totally free account but that would be a non-interest bearing account so the interest on our Schwab One account more than offsets the minor ATM chargees when aggregated. If I am not mistaken, the cost of that $1.00US fee per transaction assuming each transaction is for $5,000 Pesos, is around 0.02% at 11 Pesos to the dollar, a pittance for the convenience. My first trip to Mexico was in the 60s and, for you folks who were not traveling about this country at that time, I promise you that getting cash now is a true pleasure compared to those days and the actual cost in fees, float and time required for negotiating travelers' checks in those days was way over what you pay now - unless you find an airport machine that charges you $10US per transaction. The next time you find yourself in a bind and needing to use a machine that is ripping you off, you should minimize your net cost by maximizing your withdrawal amount if possible.

Banker's axiom:

Know your banker if possible personally, keep as much money as feasible in that bank branch and if you are being charged what you consider an unfair ATM withdrawal fee, try to negotiate a lesser fee or change banks.

It is ironic but I can confirm what you all already suspect. The people most able to afford bank service charges don't pay bank service charges. In fact, the people most able to afford bank service charges not only do not pay bank service charges but are invited to dinner at some of the best restaurants in town several times a year for lavish feasts on the bank. We call these people Republicans. Part of my job description was to take these people to dinner and boy was it fun.


johanson


Sep 2, 2004, 10:32 AM

Post #18 of 40 (7816 views)

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Re: [Bubba] ATM Fees in Mexico

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Gee Bubba, and I thought you didn't like Republicans. Are you saying that if you are smart enough to be able to transfer funds to Mexico for free, that you are a Republican? And that they also get a free lunch?

Darn, I'm an independent. Sure I transfer my money to Mexico without paying a fee, but I have never gotten a free lunch.
I simply transfer funds from my BofA account in Seattle to a Fondo Lloyd BofA account in San Diego.

By the way in Seattle, if you want to go to those lavish parties, it's better to hide your party affiliations and tell them you are an independent.

But of greater importance, it's been raining a lot in Ajijic lately. How is the lake level?



abq

Sep 2, 2004, 11:26 AM

Post #19 of 40 (7806 views)

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Re: [johanson] ATM Fees in Mexico

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Like NC Ferret, I've switched to ETrade checking. They not only don't charge an ATM fee but reimburse for fees other banks charge. Though their ad says anywhere in the US, I haven't been charged for any withdrawels in Mexico, including the .75 local charge. BTW, I also got around 40,000 frequent flyer miles for opening both the checking and savings account.

Their website is really user friendly and I like I can print copies of my cancelled checks right from the site.


gpk

Sep 2, 2004, 11:55 AM

Post #20 of 40 (7799 views)

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Re: [johanson] ATM Fees in Mexico

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If you withdraw pesos from your Lloyd account, you are paying a fee--Lloyd has a terrible exchange rate.


Bubba

Sep 2, 2004, 12:19 PM

Post #21 of 40 (7798 views)

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Re: [gpk] ATM Fees in Mexico

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GPK:

Am I missing something here? Who suggested using Lloyd as a bank? Lloyd is an investment house. One shouldn't use it normally for liquidity or everyday cash although it is good for supplemental liquidity.

As far as cost is concerned, Lloyd now charges $6.9 Pesos or about $.55 US for a withdrawal (check) charge vs. at least $1.00 US or more by a local bank. The charge is the same whether the withdrawal is for $100 Pesos or $100,000 Pesos. No currency exchange is involved when withdrawing funds from your Lloyd account as your account is already in pesos in all likelihood. The exchange risk was incurred when you opened the account.

The question of whether or not you want to do businesss with an investment house such as Lloyd, a local bank such as Bancomer or a U.S. bank has everything to do with what your goals are. For instance:

You will get a much higher return on your liquid money market funds at Lloyd that you will on your U.S. money market fund at present.

You will assume exchange and sovereign risk on funds you expatriate to any mexican investment house. That can be both good and bad.

Keep the argument simple. Or, maybe you should stuff your Pesos under your mattress.

If you are that concerned about how you acquire your every day working capital, why don't you join Talosian and spend your days comparing shelf pricing with pricing at the cash register and then writing a book on the subject that will sell zero copies but make you feel vindicated.


johanson


Sep 2, 2004, 12:38 PM

Post #22 of 40 (7792 views)

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Re: [gpk] ATM Fees in Mexico

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I am quite lazy and transfer funds the easiest way, and if I have to pay a little more, I guess I don't really care.

You say that Fondo Lloyd has a terrible exchange rate which is pretty strong language. I suppose that you don't get the best rate, if you walk into one of their branches and try to buy or sell foreign currency. But that is not what I do. I transfer maybe $5000 US at a time into their US BofA account. They then transfer said funds to Mexico. The rates aren't that bad especially if you ask for a preferred rate of exchange.

Yes you pay a little more at Fondo Lloyd, than at a bank, plus there is a small fee of about 60 cents each time I withdraw funds. But their coffee is free and they do give me fantastic service. Oh and they also speak English for those of you who choose not to learn Spanish.

But you can find a no frills service somewhere else for less money


Bubba

Sep 2, 2004, 12:43 PM

Post #23 of 40 (7786 views)

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Re: [johanson] ATM Fees in Mexico

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Pete:

I have responded to your inquiry concerning the lake level on another forum.

As for how I feel about Republicans or people with any other political affiliations,

I spent my sorry career catering to entrepreneurs of all political stripes. I made decent money and enjoyed their company immensely. Since I was a Bay Area banker with many industrious clients in places such as the Berkeley Marina, West Oakland and the San Francisco Financial District, my clientele was colorful, exciting and even charming. Some of them were actually famous but I attribute that fact to my good fortune rather that my cleverness. I don't fault anyone for their political affiliation and my remark about Republicans was meant to be amusing. But, I will say this:

If you claim to be a Republican and are not cashing in on the dinners at Le Cirque in Mahhattan tonight, then you are of no substance. And, if you are readiing this, my point is made.

Professor Bubba


pathall

Sep 2, 2004, 12:44 PM

Post #24 of 40 (7785 views)

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Re: [Don] ATM Fees in Mexico

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I have a Scotiabank card. Does anyone know which bank in Mexico is affiliated with Scotiabank? I know there are Scotiabanks in Mexico, but not in San Miguel de Allende.
Pat


Bubba

Sep 2, 2004, 12:49 PM

Post #25 of 40 (7782 views)

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Re: [pathall] ATM Fees in Mexico

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The bank in Mexico associated with Scotiabank is known as Scotiabank. Why, on earth does it matter?


pathall

Sep 2, 2004, 12:53 PM

Post #26 of 40 (2823 views)

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Re: [Bubba] ATM Fees in Mexico

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There is no Scotiabank in San Miguel de Allende and I would like to know which ATM in San Miguel would be the cheapest one for me to use. If there is a bank in San Miguel that is affiliated with Scotiabank, that would probably be the one for me to use to get the least or no fee to pay.
Pat


bournemouth

Sep 2, 2004, 1:11 PM

Post #27 of 40 (2819 views)

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Re: [pathall] ATM Fees in Mexico

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Scotiabank owns Inverlat and that's what you're looking for. Here is their website -www.scotiabankinverlat.com/
They promise replies to e-mails but don 't hold your breath on that one. I've no idea why my text has changed color but I imagine it doesn't matter.

It's best to ignore Bubba when he's in unhelpful mood - it seems to strike a lot.



gpk

Sep 2, 2004, 3:06 PM

Post #28 of 40 (2811 views)

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Re: [Bubba] ATM Fees in Mexico

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johanson said he transfers BofA money to Lloyd's BofA account. I assumed he then made withdrawals in pesos in Mexico--so there would be an exchange rate involved. Maybe I misunderstood.


Marlene


Sep 2, 2004, 4:25 PM

Post #29 of 40 (2803 views)

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Re: [pathall] ATM Fees in Mexico

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It is called Scotia Bank Inverlat in Mexico. The Canadian Expats like it because if they are customers in Canada they get a break on fees (or maybe don't pay ATM fees either). Scroll down the left side see "services outside Canada"
http://www.scotiabank.com

Someone posted that Scotia and the HSBC are affiliated with the Bank of America. I don't think that's correct. HSBC just bought Banco Bital in Mexico. They both have subsidiaries in the USA as in many other countries worldwide. Scotia is Canadian and HSBC is Asian. I would be interested to find out if they had anything to do with B of A because we has an HSBC account (formerly Bital) and that was not mentioned.

"Here is a little quote from their English site.
We are proud to be able to say that the banking service we now offer is among the most efficient in Mexico and that in order to fully satisfy your financial needs we have doubled our coverage over a period of only two years. We now offer more than 1000 ATMs at Scotiabank Inverlat branches and in shopping centres, gas stations, VIPs, and major retail chains, such as Soriana, Gigante, Comercial Mexicana, Superama, SAM's, Wal-mart and Oxxo."

The ATM locator on their site is wonky and doesn't scroll down properly for me, but I could see there is one in Leon, GTO (and other in GTO) before it cuts off. Maybe the website will work better for your browser and you will find one in your area.

P.S. I didn't realize this thread had gone into page two when I replied.


(This post was edited by Marlene on Sep 2, 2004, 4:51 PM)


johanson


Sep 2, 2004, 4:48 PM

Post #30 of 40 (2792 views)

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Re: [gpk] ATM Fees in Mexico

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GDK What I do is transfer US funds from my Seattle BofA account to Fondo Lloyd's San Diego BofA account. Lloyd's then converts that to pesos at a better rate than I would get if I were to walk into a Lloyd's in Mexico with a fist full of US dollars.


rondavis

Sep 2, 2004, 5:48 PM

Post #31 of 40 (2783 views)

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Re: [Rolly] ATM Fees in Mexico

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Thanks for your suggestion about BofA. I opened up an account with them today so I will be able to use the ATM's
in Mexico with the fees waivered by going to the proper banks ATM machines.


mrchuck


Sep 2, 2004, 6:23 PM

Post #32 of 40 (2779 views)

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Re: [johanson] ATM Fees in Mexico

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To Marlene: It was I, mrchuck, who said Bof A is affiliated with Scotia Bank, Santander Serfin, and HSBC.
There is an alliance there in which when I use my Bof A atm card, no fee is charged to me for use in Mexico, and also if I ever went to Canada( I cannot even think of a reason why) and used my card there.
Again, this is an alliance that B of A is a part of, and my online B of A account shows absolutely NO charges for it's ATM use in obtaining pesos here at 5,000 pesos a whack, from any of the 3 banks here in Mexico where I live.
As Bubba stated, compared to the "old days of getting pesos", todays progress and technology is absolutely marvelous and very easy when you think of the old hassles we longtime ex-patriates used to have of cashing checks, using the Amer Express office, and the pounds of dollars we would bring down here in order to live on.
And remember the large real estate purchases back then was US dollars on the barrel-head, and all this money was brought in secretly in brief cases, right?
Long standing accounts with large substantial balances and friendship with your "personal USA banker", along with a dollar sixty-five, will get you a cup of coffee at Denny's.
In other words, it means nothing to them(the USA bank) when the bank's management has decided there is no courtesy for 100% waiver of fees for using another banks ATM, where ever in the world you might be.
This is Wells Fargo's current policy no matter how "big" you are.

So, after many months and several years of stewing over this, and the many personal eyeball to eyeball meetings with them, I moved retirement accts, auto deposits, venture capital accts, total of all, over to the welcome arms of Bof A who I also have had accts with them that go back into the late 50's.
I realize I could afford this 2 or 3 dollar drain on every atm use, but it is the principle of it, isn't it?
It was a very easy thing to do once I made my mind up.
ATM's here in Mexico is the biggest improvement there has ever been for the tourists and retirees living here.
Saludos, mc


pathall

Sep 3, 2004, 8:40 AM

Post #33 of 40 (2735 views)

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Re: [Marlene] ATM Fees in Mexico

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Marlene, thanks for the information about Scotiabank. I too had a problem scrolling down when I got to the ATM locator. But then I spied two little red arrows on the right side towards the top and I was able to scroll down to find ATMs in Leon, Celayo, Silao, etc., but not yet in SMA. Hopefully they will put an ATM in SMA soon.
Pat


kirkswig


Sep 6, 2004, 2:17 PM

Post #34 of 40 (2676 views)

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Re: [ncferret] ATM Fees in Mexico

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Do you know for sure that ETRADE doesn't charge a fee and will reimburse you for charges imposed by other parties?

I ask because I'm at their site now and they say what you say, but only for ATM machines in the US.

To boldly go where no wig has gone before.


ncferret

Sep 6, 2004, 2:47 PM

Post #35 of 40 (2666 views)

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Re: [kirkswig] ATM Fees in Mexico

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Etrade never charges an ATM Fee. They will automatically reimburse for the other bank's ATM fee, if its coded as a separate item (which some/all? Mexican banks don't do). In that case you have to ask for the fee. I asked and got the fee reimbursed although it took 3 emails - outsourcing issues.

Banomex charges 60 cents per withdrawl. We withdraw money twice a month. That's roughly $15 a year. ETrade will pay you $275 to open an online account. I figure that puts me way ahead of the game should they stop reimbursing the fees.

A much more important consideration, in my opinion, is the exchange rate. Bancomer and B of A do not give as good an exchange rate as Banomex or HSBC - at least here in Mazatlan. Think about it. $500 exchanged at 11.40 pesos versus 11.2 pesos is a $9 dollar difference. That adds up to $250 a year.

Wells Fargo's Intercuenta express, while appearing inexpensive, seemed to have the worst exchange rate when I checked last week (they set the rate in the US and wire the pesos to your Banomex account - probably Banomex gets something for each transaction as well).

If you are going to live here, I would worry about the exchange rate, not the ATM fees.


johnv

Sep 6, 2004, 6:33 PM

Post #36 of 40 (2636 views)

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Re: [ncferret] ATM Fees in Mexico

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In the city of Guanajuato, I have withdrawn small equal amounts within minutes of each other, from Banamex, Bancomer, and Banorte, as an experiment to see exactly what the real differences in exchange rates are. There was no such difference such as 0.2 pesos. Here are the three exchange rates: 11.2697 , 11.2499,and 11.2533. As for all Mexican banks charging an ATM fee of US$0.75 as mentioned by someone above, I have never seen it printed on my slip, however, on some bank's screens a page appears in spanish that must be agreed to in order to proceed, and I have never read it, for fear of taking to much time and loosing my card. The difference between the above listed exchange rates and the rate posted on the XE.com currency converter for that time of day varies by approximately 0.12 pesos. On a US$100.00 withdrawal that amounts to about 12 pesos. A US$.75 ATM charge could be buried in that difference. I have never known why there is a difference between XE.com's currency converter rate and the actual rate at the machine. If anyone knows about this, please post.


kirkswig


Sep 6, 2004, 10:53 PM

Post #37 of 40 (2608 views)

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Re: [ncferret] ATM Fees in Mexico

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Well, the exchange rate was going to be my next question. I'm using JPMorgan/Chase, and I've yet to hit 11 on any ATM transaction over the past two months (I do get close, 10.98, 10.97.)

On top of that, they charge $3 per withdrawal.

So I'm out to find a new bank. The thing is, how do you find out what their exchange rate is, until you actually get the account? I have yet to find a bank website that lists it (or their policy in calculating it.) And I'm loathe to just open up bank accounts left and right, hoping I luck into a good one.

To boldly go where no wig has gone before.


ncferret

Sep 7, 2004, 4:38 AM

Post #38 of 40 (2597 views)

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Re: [kirkswig] ATM Fees in Mexico

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I got 11.42 from the Banomex in Mazatlan yesterday. 11.29 the week before.

Obviously its going to float based on the dollar/peso rate.

I have even seen the same bank (HSBC) charge to different rates in the same city.


ET

Sep 11, 2004, 4:29 PM

Post #39 of 40 (2523 views)

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Re: [johnv] ATM Fees in Mexico

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Quote
johnv writes:
....The difference between the above listed exchange rates and the rate posted on the XE.com currency converter for that time of day varies by approximately 0.12 pesos....


I don't believe you've given adequate consideration to your metric:

1. There is no central authority or "official" exchange rate for foreign currencies. Individual financial institutions negotiate their exchange rates with their business partners on a daily basis, with the rates varying from institution to institution. The exchange rate "published" by websites such as xe.com, Olson & Associates, and Yahoo Finance, as well as in newspapers are "composite" values, which are an indicator of the central tendency of what the exchange rates used by a number of large financial institutions and currency traders is on a given day. The actual indicator will vary (many are simple arithmetic means but more sophisticated sites may use metrics such as a geometric mean or the transaction value weighted average) depending on the source. The starting point for the exchange rate your financial institution is giving you is quite likely one of the data points used to calculate the composite value, but except for relatively rare occasions is not going to be the same as the composite value published, even if the institution is offering you their best possible rate.

2. The currency conversion rate information offered for free by xe.com is what xe.com calls the "mid-market" rate, which they define as the mid-point between the composite buy (bid) and sell (ask) rates for a pair of currencies. In xe.com's own words "....nobody trades at the mid market rate. Anyone who did would lose money.....". If you're making your withdrawals in MXP from a US bank account, comparison of the exchange rate you receive to the composite MXP ask rate would be a more accurate reflection of your probable transaction cost.


ET

Sep 11, 2004, 4:50 PM

Post #40 of 40 (2516 views)

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Re: [Marlene] ATM Fees in Mexico

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marlene writes:
....Someone posted that Scotia and the HSBC are affiliated with the Bank of America. I don't think that's correct. HSBC just bought Banco Bital in Mexico. They both have subsidiaries in the USA as in many other countries worldwide. Scotia is Canadian and HSBC is Asian. I would be interested to find out if they had anything to do with B of A because we has an HSBC account (formerly Bital) and that was not mentioned.....


To my knowledge, Bank of America does not have any significant financial interest in either Scotiabank (The Bank of Nova Scotia) or HSBC. Although the latter started off its life as the Hongkong Shanghai Banking Corporation Limited, it is not an "Asian" bank, per se, but rather a Great Britain-based global bank holding corporation (headquartered in London), which is the descendent of an imperialist trade bank founded by a Scot in 1865.
 
 
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