Comprehensive and detailed guide to living and cultivating a lifestyle in Mexico, continually revised and updated. Free—no payment or subscription needed.

Complete and detailed guide to Living & Lifestyles in Mexico that’s continually updated

Our extensive guides and articles offer insights to anyone exploring prospects for living, working, retirement and cultivating your lifestyle in Mexico.

They provide practical insights, incisive local knowledge, and meaningful guidance that helps you to discover opportunities, consider your choices, and make informed decisions.

Discover what lifestyles Mexico offers, identify opportunities of interest to you, weight up the compromises, consider your options, and plot a course based on the things that are important to you.

Guides to lifestyles in Mexico, for all life stages

Our continually-updated guides help you to begin weaving together the key components which create a workable and realistic lifestyle plan in Mexico, whatever planning stage and life stage you are in presently:

• To those considering a move to Mexico, whether you are single, with your partner, or a family with young children, Mexperience helps you to discover the country and evaluate living and lifestyle choices available here.  Our guides also offer thoughtful guidance about setting out your intentions and reshaping your situations.
• To those planning their retirement or seeking a place to retire, Mexperience guides provide specific guidance about matters related to retirement planning and retirement lifestyles, as well as the practicalities of retiring in Mexico.
• When you’re already living in Mexico, our guides and articles provide practical insights that help you to settle-in, adapt, and cultivate your new lifestyle here day-to-day.
• Regardless of your life stage, the information we publish provides meaningful insights about the essential day-to-day practical matters of living in Mexico, adapting to the country, the climates and culture, and more—with extensive cross references and links to further information and helpful contacts who can help you to realize your Mexico plans.

Planning or redefining your lifestyle in Mexico

Obtain practical insights, get incisive local knowledge and meaningful guidance that helps you to consider opportunities, weigh up your choices, and make informed decisions about planning or redefining your lifestyle in Mexico.

Mexico as a place for your retirement

We publish comprehensive information to help you plan a retirement here, whether you’re planning ahead or already retired and considering Mexico as a potential retirement haven.

Exploring locations and finding a place to live in Mexico

Our extensive articles help you to consider key aspects as you explore your options and make choices about your lifestyle and potential location types in Mexico.

Getting your residency permit for Mexico

Mexico’s immigration laws are reasonable and allow non-Mexicans with the financial means or family roots, and/or skills, to live here legally. We publish extensive knowledge to help you, including:

Moving and settling-in to life in Mexico

When you’ve decided to move to Mexico and made key decisions about where and how you’ll live, there’s the move a period of adapting and settling-in.  We publish extensive guides and articles to help you settle.

Learn how to keep in touch when you’re in Mexico

Our guides include detailed information about how to keep in touch when you’re in Mexico: by phone, by internet, as well as using postal and courier services here.  Our local knowledge helps you to choose a mobile phone plan, explore choices for high speed internet in Mexico (even if you live in a remote area) and our cost of living guide includes a section about the cost of communications services.

Detailed insights into the practicalities of living in Mexico day-to-day

Our articles and guides also include comprehensive insights about day to day living in Mexico that help you to plan your lifestyle, settle-in, and make the most of your life and activities in Mexico.

Mexico’s living costs and managing your finances

Financial considerations are an important aspect of any move.  Mexperience helps you to calculate your cost of living in Mexico and offers practical tips for managing your money and finances here.

Mexico as a place for working-age professionals

Working-age professionals, especially those plying a trade in the knowledge economy, are also considering Mexico as a base to live and work.

And more… resources for Living & Lifestyle in Mexico

Mexperience offers you a comprehensive online resource of information and local knowledge to help you discover Mexico, explore choices, find opportunities and plan a new life in Mexico.  Our resources include:

• A regular Mexico Newsletter you can subscribe to for free
• Regularly-updated articles about lifestyle planning  in Mexico
• Insights about day to day living with Mexico Home Life

Signing for card purchases began to get replaced by ‘Chip & PIN’ cards in the early 2000s, but it was not until around 2015 that this technology —entering a PIN number instead of signing a slip of paper— became more commonplace in Mexico.

Contactless payment systems

Around the same time that ‘Chip & PIN’ became commonplace in Mexico and the US, debit and credit cards also began to feature a ‘contactless chip’ inside them, enabling cardholders to make smaller payments (usually less than US$50 worth) without the need to insert the card into a machine and enter the PIN number.

In 2014, Apple launched its Apple Pay service, and Google followed suit a year later with Android Pay.  These smartphone-based payment systems allow users to add one or more of their existing bank card details to an ‘electronic wallet’ on the device and use their smartphone to make and authorize contactless payments—without the small-purchase restrictions imposed by the ‘contactless payment’ system embedded on a physical bank card.

The adoption of the two principal smartphone-based contactless payment systems has been gradual as the technology depends on users having newer phones that can make electronic payments as well as stores adopting new terminals that can interface with the smartphones.

Apple Pay and Android Pay in Mexico

From around 2022, new payment terminals started appearing in stores and restaurants across Mexico that could take payment from physical bank cards with a ‘contactless payment’ chip inside them (for small purchases only), and which are also capable of accepting payment via smartphones using Apple Pay and Android Pay.

Payments using Apple Pay and Android Pay are as or even more secure than using a physical card—people are less likely to misplace their smartphone, and the card details are never revealed to the merchant so cannot be stolen or ‘skimmed’ as may happen when you present a physical bank card. The signal between the smartphone and the payment terminal is secure and you must use your fingerprint or face ID via the smartphone to authorize the payment.

Payments you make are transacted through existing bank card(s) you have that get added to your smartphone’s “wallet.”  Apple and Google do not replace your bank or credit card company; instead their devices act at a payment gateway. You can add credit and debit cards to your smartphone’s wallet, and the process to do this is straightforward.

Payment at stores in Mexico using your smartphone

Lots of stores, supermarkets, and restaurants across Mexico have already upgraded their payment terminals and now actively accept payment via your smartphone set up with Apple Pay or Android Pay (aka Google Pay).  Even some bus companies now accept payment for tickets this way when you buy at the bus terminal.

Getting cash from ATMs using your smartphone

The next likely step for this technology is for smartphones to facilitate cash withdrawals from ATMs instead of using a physical bank card. This is already possible today in some countries, but Mexico’s banks have not launched this service at their ATMs yet. If you intend to withdraw cash from an ATM in Mexico, you must still use your physical debit or credit card to do that.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about Money and finance in Mexico

The information published in this article is provided for general information in good faith and is not intended as personal, legal, financial or investment advice.

This article introduces you to all of Mexico’s principal retail banks, and a description of the services and facilities banks in Mexico provide with some comments to guide you when considering use of the service.

Summary profiles of Mexico’s retail banks

This section contains a list of Mexico’s principal retail banks and a brief overview of their history, size, and services.  Connect to their websites for more information.

Services and facilities offered by banks in Mexico

All of Mexico’s principal banks offer a range of bank accounts as well as other financial services including loans, credit cards, mortgages, and insurance. The principal financial services offered by Mexican banks are described here, accompanied by some comments to guide you when considering use of the service.

Payroll accounts

Legislation requires that all Mexican banks offer a “basic” bank account, known as a Cuenta de Nómina (payroll account).

These accounts are intended for receipt of wages or salaries; they must not charge fees or commissions and provide the account holder with an ATM / electronic payment card so that funds from the account can be accessed in cash or spent at stores.  Banks require a regular amount of money to be paid into these accounts (payroll) to keep them open.

Checking accounts

Every retail bank offers checking accounts. In Mexico, these often require a minimum deposit to be made each month, or a minimum balance to be held on account, to prevent charges from accruing. Banks usually give a set number of free ATM withdrawals per month; thereafter fees are applied to withdrawals.

Deposit accounts (instant access)

Deposit accounts where the money may be withdrawn ‘on sight’ (no notice required) are usually accompanied by a plastic debit card for use in ATMs and stores.

These accounts usually carry an aperture fee and require a minimum balance to be held on account (usually around $1,000 pesos) and pay a paltry rate of interest. If the balance goes below the minimum, a fee is applied each month until the account balance is restored to the minimum balance required.

Deposit accounts (term accounts)

The second type of deposit account in Mexico are ‘notice accounts’ sometimes called ‘term deposit accounts.’

With this type of account, you agree to deposit your money for a pre-defined period: usually 30, 60, 90, 180 or 360 days.  Longer term accounts might also be available (3-5 years), but these are usually ‘investment’ or ‘unit trust’ accounts.

Interest rates on these accounts are better than ‘sight’ accounts.  Some of these types of accounts will charge a penalty fee for early withdrawal of your money, and others will simply not allow you access to the funds until the end of the term.

Mortgages

All major banks in Mexico offer mortgage products. The mortgage market is varied in Mexico but note that interest rates are higher than the US and Europe.

Borrowers need to place a deposits of at least 5%-15% to obtain a mortgage and there are set-up fees to pay when you apply for the mortgage loan.

Some mortgage products offer discount or “teaser” interest rates that switch to charging higher rates after an initial period; some offer lower aperture fees in return for higher interest payments and vice-versa.

See also: Financing real estate in Mexico

Automobile loans

Banks in Mexico offer specific products for the financing of personal automobiles and commercial vehicles in Mexico.

These loans are some of the most competitive in Mexico and are sold through dealerships or direct by the bank.

Car loan agreements often package-in the car insurance policy as well as other ‘extras’ you may purchase, but it might be less expensive to pay these separately if you can afford to do so—and if the terms of loan allow it.

Note that most banks (and car dealerships) will not offer car loans to foreign nationals who do not have permanent residency (Residente Permanente) status in Mexico.

Credit cards

The credit card market in Mexico began to take off significantly from around the year 2000. Mexicans and foreigners living in Mexico have willingly taken up the offers of widespread and abundant credit.

Note that most banks will not issue a credit card to foreign nationals who do not have permanent residency (Residente Permanente) status in Mexico.  Banks will issued a debit card to foreign nationals with Residente Temporal status.

Many stores offer 6- or 12-month interest-free credit deals through credit card companies on certain goods and services. In these cases, the good or service is charged to your Mexican credit card by means of six- or twelve-monthly charges, equal to the purchase price with no interest added. Beware that missed payments may incur penalty charges and may void any interest-free arrangements you have in place.

Interest rates on credit cards in Mexico are high by US, Canadian and European standards. Rates of 50% or higher (per year) are common. Credit cards (and store cards) are the most expensive means of borrowing money from banks in Mexico.

Personal loans

Personal loans for a specific or non-specific purpose are also available in Mexico.

These loans are termed as “Prestamos de Nómina.” The word Nómina refers to salary payments made by your employer to your bank account every 15 days, thus the loan refers to the ‘security’ of your regular paycheck arriving at the bank as a form of collateral for the loan.

Note that most banks will not offer personal loans to foreign nationals who do not have permanent residency (Residente Permanente) status in Mexico.

Foreign currency exchange services

Retail banks offer foreign currency exchange services, but exchange rates might not be as attractive as those offered by the Casas de Cambio.  Most retail banks will offer these foreign currency exchange services:

• Buying foreign cash currency and converting it to Mexican pesos (major currencies)
• Converting your Mexican pesos into a foreign cash currency (major currencies currencies)
• Wire money to foreign banks
• Receive money from a foreign bank and convert it into Mexican pesos in your account.

Some banks might also

• Cash paper checks drawn on banks in the United States into Mexican pesos
• Function as agents for over-the-counter wire transfer services
• Cash paper-based travelers checks

Some banks may require that you hold a bank account to transact some types of foreign business with them e.g., cashing traveler’s checks; in other cases, you do not need to be the bank’s own customer to transact foreign exchange services, e.g., over-the-counter wire services.

See also: Money Exchange in Mexico

Property trusts (Fideicomiso)

If you buy property in Mexico that is within 50km of the coast or 100km of a land border, you need to place the property into special trust known in Spanish as a fideicomiso.  Mexican banks set-up and manage these trusts.

The trusts carry a set-up fee, an annual management fee, and also carry a closure fee if you sell the property and close the trust down.

Insurance services

Banks are agents for a wide range of insurance products including auto, home, health, travel insurances, as well as sellers of life assurance policies.  Insurance services are offered on a stand-alone basis, or sometimes ‘bundled’ with other services, for example, the bank might sell an auto insurance policy as part of a car loan agreement.

AFOREs – Mexico’s retirement savings accounts

All Mexican banks are agents for government-approved pension products known as AFOREs.

AFOREs (similar to the 401k accounts in the USA) provide a tax-efficient savings vehicle whereby an employer, an employee, and the government each contribute into a tax-efficient savings pot which is then invested into equities and investment funds which are approved by the financial authorities.

Private banking services in Mexico

For individuals with high salaries, or people who have a significant amount of money to invest in financial products (people known by the banks as “high net worth individuals”), Mexico’s banks offer a range of private banking services that include preferential rates for banking and credit services as well as asset and investment portfolio management services.

If you are living in Mexico and are earning a significant salary, or plan to move or retire to Mexico with significant assets you want to invest in Mexico, banks here have an entire infrastructure of staff and services ready to service your individual requirements. Check individual web sites for details under the sections entitled Banca Privada.

Banking services for businesses and the self-employed

If you plan to run a business or work as self-employed in Mexico, Mexican banks offer a range of services specifically tailored to small businesses.

Services include corporate credit cards, corporate payment cards, payroll services, and loans for commercial vehicles and property. Business charges and rates are higher than charges for personal customers.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about money and finance in Mexico
• Latest articles about health and safety in Mexico 

The information published in this article is provided for general information in good faith and is not intended as personal, legal, financial or investment advice.

Comprehensive guides to money, finances and banking services in Mexico—continually updated

Money, finances, and banking services in Mexico

Complete guides to money, currency and banking services in Mexico.

Our guides and articles give you a comprehensive overview of Mexico’s money system as well as the banks and banking services available that help to facilitate the commercial interactions you’ll need to engage with while you’re here.

The local knowledge shared here helps you to consider your needs and
formulate a plan to manage your money and any investments you have in Mexico, as well as arrange banking and financial services that provide essential support as you begin to realize your living and lifestyle plans.

Complete guide to money & banking services in Mexico

Our guides to Money & Banking Services in Mexico provides you with a definitive resource about managing your money and making use of banking services in Mexico.  The regularly-updated guides and articles include:

• The Mexican peso – learn about the country’s currency and its banknotes
• Bank cards – using debit, credit cards in Mexico
• Using ATMs in Mexico
• Money exchange – learn about different ways of exchanging foreign currency for Mexican pesos and vice versa
• Money transfers – how to transfer money to, from and within Mexico
• Money essentials – money and banking safety tips and local knowledge
• Opening a Mexican bank account – the requirements and mechanics of opening and running a bank account in Mexico
• Mexican banks and banking services – services and facilities offered by Mexican banks, as well as a profile of the principal banks and financial institutions
• Options for financing real estate in Mexico

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about Money and finance in Mexico

Making international money transfers to and from Mexico

You can transfer money electronically to and from Mexico between bank accounts, or you can use an over-the counter international money transfer service.

International transfer to and from a Mexican bank account

If you have a bank account abroad and a bank account in Mexico, you can make an international money transfer using the special numbers provided by the banks.  You can make the transfer in one of two ways:

Direct interbank transfer

You instruct the bank abroad to wire the payment to a bank account in Mexico, or you instruct your Mexican bank to make a payment to a bank abroad.

Both the sending and receiving bank will make a charge for the transfer, and they will also make money on the exchange rate. Check with the banks to ask about fees and exchange rates.

Interbank transfer using an intermediary

If you are sending money to Mexico, you can optionally use a money transfer intermediary who will wire the money and usually offer a better exchange rate and/or lower fees than direct interbank transfers.

Wise (formerly Transferwise) and XE.com are examples of intermediary services.  Note that these only work on transfers to Mexico; if you want to wire money out of Mexico you must use a direct interbank transfer through a Mexican bank, you cannot use an intermediary.

Over-the-counter international money transfers

If you are transferring smaller 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 money transfer 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 using the reference number provided to them by the sender. To send money from Mexico to a destination overseas, it’s the same process in reverse.
• Over-the-counter transfers work for smaller sums of money, e.g., a small few thousand dollars at most; the agencies offering this service impose limits for transfer amounts and the fee structure they have make larger transfers unattractive.
• It’s more expensive to transfer money using an over-the-counter service than using an interbank transfer.
• The main money transfer agencies are Western Union and MoneyGram are two leading over-the-counter money transfer companies operating in Mexico. Some banks and stores are agents for these companies.

Money transfers within Mexico

If you’re in Mexico and need to transfer money domestically, there are two ways to do this without the need to write and post a check. (The writing and posting of paper checks is not a common practice in Mexico, nor is it recommended.)

Interbank electronic transfers

Transferring money electronically between two Mexican bank accounts is straightforward. You can transfer money instantly from your Mexican bank account to any other Mexican bank account using online banking (web browser), the bank’s app (using a smartphone or tablet), or by visiting the bank in person and authorizing the transfer of the money.

Over-the-counter cash transfers and deposits

Convenience stores in Mexico, including OXXO and 7-Eleven, offer cash-transfer and bank deposit services. Ask at your local OXXO or 7-Eleven for details about the services, transfer/deposit limits, and current fees.

Transfers: You pay cash at one of the convenience stores and pass a code to the intended named recipient.  That other person can attend the same brand  convenience store in their locality and, using the code and an official ID, can receive the cash.

Bank deposits: You can also pay money into some (not all) Mexican bank accounts from OXXO and 7-Eleven convenience stores.  There is a small fee for making the deposit, but it can be quicker and easier than going to the bank branch.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about Money and finance in Mexico

The information published in this article is provided for general information in good faith and is not intended as personal, legal, financial or investment advice.

Exchanging your money for Mexican pesos

There are three main ways that most people exchange their home currency into Mexican pesos:

• Using a local ATM in Mexico to withdraw cash from an account based outside of Mexico; or
• Exchanging foreign currency cash for Mexican pesos; or
• Transferring money from a foreign bank account to a bank account in Mexico.

Also:

• Some local banks in Mexico might cash a paper check drawn on a bank in the United States of America; and
• see the important note below about the use of paper Traveler’s Checks.

Using ATMs to get Mexican pesos locally

As we described in a related article, holders of bank cards issued outside of Mexico can withdraw cash in Mexican pesos from local ATMs. That article describes the process and the typical charges involved.

• The number of pesos you withdraw is converted and charged to the account where the money is held in the local currency, e.g., US dollars, Canadian dollars, British pounds, Euros.
• This is a quick and efficient way to buy Mexican pesos using a debit card linked to a checking or savings account abroad.
• All ATMs in Mexico have an upper limit of pesos they will dispense in any one transaction, and the amounts vary by bank.
• Typically, an ATM will allow foreign card holder to withdraw between 5,000 and 10,000 pesos per transaction.  Also, check with your bank about any daily limits it may impose on cash withdrawals.

Exchanging your foreign currency cash for Mexican pesos

Some people bring cash with them from their home country to Mexico and exchange this for Mexican pesos.

Pesos can be bought for foreign currency cash at many retail banks, but the better places to sell your foreign currency for pesos are the exchange houses, Casas de Cambio—see notes below.

Exchange rate fees when buying pesos with cash

Most exchange houses and banks do not charge commissions to exchange currency but make money through the “spread”—that’s the difference between the rate at which they sell pesos and the rate at which they buy them.

Some exchange houses in need of certain units of foreign currency for their operations (for example, if they need US dollars) will offer better rates on certain days than even perhaps the international exchange rate, so it pays to shop around at various exchange houses at the airport or downtown if you plan to buy pesos using foreign currency in cash.—

Currencies traded

Mexican banks and exchange houses will buy and sell all major currencies. US dollars, Canadian dollars, British pounds, euros, Australian dollars, and Japanese yen can be readily bought and sold across the counter at exchange houses and many retail banks.

Exchanging cash at the Casas de Cambio

The best place to exchange your foreign currency cash for Mexican pesos is at one of the local exchange houses, known as Casas de Cambio.

They tend to offer the best rates and their procedures for exchanging money are straightforward.

The ones at the Mexico City airport tend to offer the most competitive exchange rates; exchange houses situated in tourist hotspots offer the least attractive exchange rates.

Exchanging money using a local retail bank

Retail banks will exchange foreign currency cash for Mexican pesos, but their rates may not be as attractive as the local Casas de Cambio (check locally) and they might insist that you have a bank account with them to make the exchange.

Paying foreign currency cash at stores and hotels

Some stores might accept cash in foreign currency in payment of goods (exchange rates might not be favorable, though).

Hotels and resorts in Mexico are no longer allowed to accept cash payment in US dollars to settle stays, due to money laundering rules.

Transferring foreign funds to a Mexican bank account

If you have a bank account in Mexico, you can buy pesos by transferring money from your foreign bank account to your bank account in Mexico.

These funds get converted into Mexican pesos and become available for your use locally, where you can pay others electronically using online banking or a banking app; using your Mexican debit card to withdraw cash from a local ATM; or by making a cash withdrawal in person at the bank itself.

If you’re resident in Mexico this method is an efficient way to transfer funds from overseas accounts (e.g. your retirement income) to a Mexican bank where the pesos are held on account for your day-to-day use.  By transferring larger sums, you avoid ATM fees and save time and money in the longer term.

Cashing a US dollars paper check in Mexico

Some Mexican banks will cash a paper check drawn on a US bank and convert the sum into Mexican pesos. You usually need to hold an account at the bank where the check is cashed.

If you want to cash a US dollar check into Mexican pesos ask your local bank if it offers this service, and if it does, ask about what fees it charges and what exchange rate it applies to the transaction. Compare this against using an ATM to access your money or by making a transfer from your foreign bank account to a Mexican bank account.

The trouble with Travelers Checks

In a bygone era, Travelers Checks were the de-facto means for travelers to carry or transfer their money in a safe way for exchange into a local currency abroad. Paper-issued Travelers Checks have fallen out of favor as the widespread use of bank-issued ATM cards has made them obsolete.

While paper-based Travelers Checks are still accepted at some places in Mexico, they are difficult to exchange: the exchange rates offered are usually unfavorable and it’s often time-consuming to exchange them due to all of the verification steps that need to be undertaken.

“Plastic” Travelers Checks

The modern replacement product for paper-based travelers check is a plastic bank card —like a debit card issued by your bank and linked to your checking account— with a key distinction that they are not tied to a personal bank account.

Instead, you top them up with a cash balance from your bank account (or over the counter) and carry the card with you when you travel. When you need to draw cash from the balance on the card, you visit a local ATM to withdraw money in local currency.

They work like regular debit cards. Some electronic debit cards only allow use at ATMs, others also allow you to use them in stores; however, check with the card issuer about the foreign exchange charges they make for using the cards, as well as any other “per transaction” charges.

These ‘plastic card travelers checks’ are helpful if you don’t have a bank account in Mexico and want the convenience of using an ATM to obtain Mexican pesos, or if you don’t want to carry your bank cards in certain situations, for example, if you plan to travel into a remote region of Mexico and/or prefer to leave your bank cards at home or in the hotel when you’re touring.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about Money and finance in Mexico

The information published in this article is provided for general information in good faith and is not intended as personal, legal, financial or investment advice.

You need to be a legal resident in Mexico to open an account here, and you need to attend a local Mexican bank branch in person to make an application.

Choosing the type of account you need

When you attend the bank, a representative will talk with you about the types of account offered by the bank.

Most foreign residents opt to open a checking account that enables them to:

• receive deposits from other bank accounts in Mexico and banks overseas; and
• send payments to others using online banking; and
• make payments to traders and service providers (in person and online) using a debit card; and
• some accounts offer a paper check book, although paper checks are rarely seen and used in Mexico now.

Documents required to open a bank account in Mexico

When you attend the bank, the representative will ask you for various documents including:

• your current passport; and
• your Mexico residency card (not your residency visa); and
• proof of address in Mexico—usually a recent electricity bill; and
• banks may also ask for your RFC.

They will also ask you to make a deposit to open the account, equivalent to at least the minimum deposit balance required to maintain the account open.

Most new customers make this initial deposit in cash.  The bank might accept an international transfer-in to the account by prior arrangement; ask locally.

When the account is opened and set-up, you will be provided with:

• A bank account reference number associated with your name.
• A debit card (this might be provided on the day, or you might have to return later to pick it up).
• The bank’s system will also send you an email that contains a User ID and password to access your account online and via smartphone app.
• For security, the banks require you to visit a branch in person to complete the online/app set-up process.

Managing your bank account in Mexico

When your account is set-up and active you will be able to bank in Mexico.  As a minimum, customers are usually provided with the following facilities:

Your bank account number

You can quote your account number (CLABE or Card Number) to others so that they can make electronic deposits directly into your Mexican account in-person at the bank or convenience store, or via an online transfer using a smartphone app or internet banking access.

International payments into your Mexican bank account will require you to quote the IBAN number that your bank can furnish you with; this contains the international routing number for the bank in addition to your personal account number.

Debit card

The bank will furnish you with a debit card that you can use at ATMs in Mexico.  You might also be able to use this at ATMs outside of Mexico, depending on the account type; ask your bank representative for details, and about the charges the bank makes for use of your debit card outside of Mexico.

Some debit cards can also be used for purchases in stores and online.  Online purchases usually require you to authorize each purchase via the smartphone app, for security.

Online banking and smartphone apps

The bank will also provide you with the details you’ll need to logon to your account online (using a web browser) and/or via a banking app via your smartphone.

The bank’s smartphone app provides immediate access to a range of helpful banking transactions including. Features include:

• View recent and historical your account activity.
• Transfer money between your accounts.
• Make electronic payments to other Mexican bank accounts
• Top-up pre-pay Mexican mobile telephone numbers.
• Pay for utilties including electricity and phone companies.
• Authorize payments made using your card online.
• Some apps provide a ‘virtual card number’ for online payments. The security code changes with each payment and makes it virtually impossible for your card number to be cloned and misused by others.
• Set-up a ‘cardless’ cash withdrawal: the app gives you a code that anyone can take to an ATM and withdraw a prescribed amount of cash from your account.
• Buy a range of other financial services, like travel insurance.

Paper checkbooks

Some bank accounts in Mexico will furnish you with a checkbook to write paper checks, although this is not common these days.

Most people make and receive payments electronically using a debit card (in stores, online) or using direct electronic transfer to others—to individuals or a company they are trading with.  The smartphone apps (see above) make this easy to do.

If you want a paper checkbook, be sure to talk with the bank’s representative to ensure that the account you open can have a checkbook.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about money and finance in Mexico
• Latest articles about health and safety in Mexico 

The information published in this article is provided for general information in good faith and is not intended as personal, legal, financial or investment advice.

Mexico’s official currency

Mexico’s official currency is the Mexican peso. There are one hundred Mexican cents (centavos) to every peso.

• The symbol for the Mexican peso is $; its international currency code is MXN.
• To distinguish this from the dollar, you sometimes see it presented as MX$ or the value with the letters “MN” after it, e.g., $100 MN. The MN stands for Moneda Nacional, meaning National Currency.
• The Mexican Peso is a “free floating” currency in foreign exchange markets and like other similar currencies, its value against other world currencies fluctuates daily.

Discover Mexico’s banknotes and coins

In addition to its defined responsibilities for setting monetary policy, the bank of Mexico is responsible for the printing, minting, distribution, and management of Mexico’s physical currency.

Every ten years or so, bank note designs are updated to implement the latest in anti-counterfeit technologies.

Mexico’s banknotes are printed in denominations of 20-, 50-, 100-, 200-, 500- and 1,000-peso bills. The most seen and used are the 50-, 100- and 200-peso bills.

Mexico’s coins are minted in denominations of 50 cents, 1-peso, 2-pesos, 5-pesos, 10-pesos, and there are also some $20-peso coins in circulation.

Mexico’s current series of coins have remained unchanged for decades.  The old 20-cent coins are now out of general circulation and the 50-cent coins although still circulating are not often seen and used.

In addition to the bank’s standard set of current coins, commemorative coins have been introduced over the years which don’t tend to circulate widely as they are kept by consumers or bought by collectors.

Learn about managing your money in Mexico

Mexperience offers you a wealth of information about Mexico’s money, banking services, and banknotes.

• Learn more about managing your money in Mexico
• Articles about Mexico’s banknotes
• Latest articles about the Mexican peso
• Latest articles about Money and finance in Mexico

In this third part of the series we explore the need to develop negotiating and bargaining skills, for use everyday.

Negotiation, trade, and bargaining are woven into the fabric of Mexican culture. In 1520, Hernán Cortés wrote to Emperor Carlos V of Spain describing Tenochtitlán as a city with “many plazas, where there are continuous markets and dealings in buying and selling”. These and other records show how Mexicans have been avid traders for many centuries.

Five hundred years later, whether you’re buying a piece of land, a home, a car, or a kilo of limes at the local market, you will need to exercise some negotiation skills, lest you may pay more, and possibly a lot more, than you need have.

How you negotiate (or bargain) will depend upon the precise situation you find yourself in. In most circumstances effective negotiation will require the use of Spanish —a notable exception being real estate purchases— so a basic conversational level of the language, as described in the first article of this series, is a prerequisite.

There are some places and situations where bargaining is not practiced in Mexico. These include the local supermarkets, department stores, and gasoline stations. Bargaining is not generally practiced at tienditas (family-run corner stores) and it’s not practiced at pharmacies.

Restaurants and comedores don’t usually bargain, either; although they might agree to a large group discount or special offer if you talk with the manager or owner before your intended arrival.

Situations where bargaining is practiced (and sometimes expected) include shopping in open-air food markets, flea markets, art and craft markets and fairs; and buying from ambulant vendors on the street and on public transport.

If you board a local taxi cab that isn’t metered or doesn’t charge a zonal fee, you should always negotiate your price beforehand. Many people are now using App Cabs which offer fixed pricing for fares in advance of the journey.

More formal situations where price negotiations are often entered into include the purchase of a vehicle (new or used), the purchase of jewelry or very fine clothing from a specialist suppliers, the bulk purchase of almost anything from a trade supplier, hand-made furniture bought locally, as well as land and property—whether for purchase or to rent.

When you have lived in Mexico for a while —and especially when you have lived in one place in Mexico for a while— you’ll notice that the prices asked for many local things you buy every day can be very elastic indeed. There are prices for ‘locals’ and prices for ‘tourists’—whether the tourists are foreign or Mexican.

Traders everywhere are alert to an opportunity. They will always try to make hay while the sun shines. With some experience of living in a place, you’ll learn what prices should be for things like a taxi cab ride, a kilo of meat or fish, a bagful of oranges, a hat or walking stick, a stack of fresh corn tortillas, and so on.

How? You start talking with people locally, you hear and see what others are being offered and gradually you get to know. Eventually, you might become sufficiently experienced and not have to ask the price for something you buy regularly; —for example, the fee for a local cab ride to a regular destination— you know what it should be and hand over that amount of money.

The acid test is to hand over a coin or bank note that requires some change in return and see how much comes back. In fact, this level of local economic intimacy is a gauge for you—the more you buy without the need to ‘negotiate’ the price, the deeper you have become entwined in, and part of, the local community.

Resources for bargaining and negotiating

Learn more about Mexican culture and traditions, including about negotiating, bargaining and shopping in Mexico:

• Guide to social etiquette and local customs
• Latest articles about Mexican culture and local customs
• Learn about tipping culture in Mexico
• Discover Markets & Shopping in Mexico

But on one particular kind of Friday in Mexico —viernes quincena— when pay day coincides with the last day of the week, the congestion is even greater.  Not just the traffic thickens. As the working people have money to spend, this day you can find yourself in long lines for restaurant tables, cinema tickets, or at the supermarket checkout.

People mill around at malls, and finding a parking spot can be like looking for a needle in a haystack. (Navigating the narrow underground parking lots is a particularly useful skill to develop in busy cities.)

The advent of direct deposit for wages did away with much of the lining-up at banks to cash checks, which in years past was about as daunting a prospect as can be imagined. But people in Mexico still often prefer to use cash so lines at ATMs have replaced many of the lines at bank branches.

What the British call a fortnight the Mexicans call the quincena—a 15-day period between pay days. And as most wages are paid bi-weekly, the pay day is also referred to as la quincena.

The noticeable buzz of commercial activity illustrates the fact that much of the working and middle classes, here as elsewhere, live from one paycheck to the next. Sales numbers from the retailers association Antad, and from its biggest member Walmart reflect this. Months that have an extra Saturday —a typical shopping day— tend to see bigger increases in sales, and the effect is even greater when the weekends coincide with payment of la quincena.

Officially, pay days are on the 15th and 30th of each month, or the nearest prior working day. So if the 15th or 30th falls on a weekend, wages should be paid on the Friday before. Pay days that fall on the Monday can be devastating for weekend plans.

And as there are 24 pay day quincenas per year (52 weeks), inevitably there are a number of quincenas largas, or long quincenas. These are usually following months with 31 days, and they can become even longer if the preceding pay was deposited ahead of a weekend.

Social media provides many examples of the anxiety surrounding the timing of deposits and the efficiency of HR and payroll departments. The X account @MundoGodinez addresses with considerable humor the daily life of the typical Mexican office worker, and la quincena looms large as a subject at the front of most minds.

See also: El Aguinaldo

Tipping in a variety of situations

The practice of tipping goes far beyond the restaurant table here. As our guide to tipping etiquette explains, there are many situations in Mexico where a small tip is appropriate, and keeping change on-hand, in the form of small denomination coins, is essential for this purpose when you are visiting or living in the country.

Key situations where a tip may be appropriate

There are three situations which are worth a particular mention as they are often overlooked by visitors and residents new to Mexican culture:

Chamber maids

The first relates to the unsung heroines (they are invariably women) of the hotel industry: chamber maids.   They will often travel a considerable distance to reach your hotel and spend the day cleaning and keeping guest rooms in good order, so that when you get back to your room, it’s waiting for you clean, fresh, and tidy.

It’s appropriate to leave a small tip and leave it each day because work schedules change, and the maid who cleaned your room initially may not be on duty the day you check-out.

The amount of the tip should vary depending upon the category of hotel: a sum in Mexican pesos, left in cash on the side table (next to the maid’s greeting card if one is present), equivalent to between US$1 (for economy hotels) and US$5 (for luxury hotels) per day is suggested and will be sincerely appreciated.

Supermarket bag packers and car park helpers

The second situation concerns students and retired folks working at supermarkets across the country to pack bags at the checkout counters. For students, the money they earn contributes to the funding of their education; for retired folks, the money they earn supplements their pension.

When you roll your shopping cart of out the store into the car park you might notice some people waiting and offering to help you.  They will take your cart to your car (or hail a local cab, if you need one) and load your shopping bags into the car’s trunk.  A small tip of $5-10 pesos is appropriate.

Bag packers and car park helpers are not salaried and work entirely on tips.

All-inclusive hotels and package tours

The third situation relates to “all inclusive” hotels and travel packages or tours.  A small few packages stipulate that ‘tips are included’ and in this case no further tipping is required.

However in most cases, guides, porters, the concierge, meal table waiting staff, and the chamber maids (see above) will appreciate a tip—even if, for example, the price of your meals (or just breakfast) is included in the room rate.

For local guides and tour leaders: a reasonable tip commensurate with the amount of time and knowledge they shared with you is appropriate.

For hotel and waiting staff: one US dollar (equivalent in Mexican pesos) per bag for porters; a 10% tip of the bill (or what the bill would likely have been if the plan was a-la-carte instead of all inclusive) left on the table after each meal or round of drinks at the bar; and a tip for the chamber maids (see above) will be very much valued.

Further insights on tipping culture

Mexperience offers more advice about local tipping etiquette:

• Latest articles about tipping in Mexico
• Read our guide to tipping in Mexico which contains a comprehensive list of situations and suggested amounts you may consider tipping in specific circumstances
• Learn more about local customs and traditions in Mexico

Events that led to the creation of the UDI

Unlike the global financial crisis of 2008-2009, or even the Covid crisis of 2020, the Tequila crisis was a home-grown Mexican economic blowout. In 1994, a year of political unrest which included the armed Zapatista uprising in southern Mexico and the assassination in Tijuana of the ruling party’s presidential candidate, foreign investors fled the country with their capital. By the end of the year, central bank reserves were depleted, and the government was unable to pay its debts. The peso was allowed to float against the dollar, bringing about a sharp devaluation.

Commercial banks failed one after another as rising inflation and soaring interest rates left people unable to pay off credit cards, mortgages, car loans, and corporate loans. Thousands of people had their homes or cars repossessed.

UDI: a unit of value protected against inflation

In April of 1995, the Mexican financial authorities came up with a plan that would allow people to meet onerous bank requirements in order to obtain home loans, or to refinance existing mortgage loans.

The UDI was introduced. With an initial value of one UDI to one peso, the investment unit was linked to inflation, and its peso value would rise each day depending on the rise in consumer prices.

The Bank of Mexico publishes the present value of UDI on its website. Daily values for the following two weeks are published on the 10th and 25th day of each month.

How UDIs operate in practice

Aside from mortgage loans, UDIs are used for investments that are protected against inflation, and some official measures still reference UDIs; for example, if you qualify for tax allowances when you sell your home in Mexico, the allowances for any capital gain on the residential property you sell are expressed in UDIs.

Interest charged on government bonds takes into account expectations for inflation over the life of the bond, with the idea that by the time the lender recovers the initial amount borrowed —say five, 10, 20 or even 30 years later— the loss of the peso’s value to inflation has already been factored in through the periodic interest payments.

The interest paid on UDI bonos —that is, government bonds denominated in UDIs— excludes inflation because the UDI’s value in pesos increases constantly. Therefore, UDI bonos carry a lower rate of interest. The government has issued UDI bonos for periods of three, five, seven, 10, 20 and 30 years.

Learn more about money and currency in Mexico

Read our latest articles and guides related to money and finances

• Guide to Money & Banking Services in Mexico
• Latest articles about money and finances in Mexico
• Discover Mexico’s banknotes
• Guide to the Cost of Living in Mexico