Retiring in Yelapa--Can I Visit my Money?

After nearly three years in Yelapa, I find that all my banking needs can be handled via one plastic card at an ATM (cajera automatica). Our home bank is located in southwest New Mexico, my wife spends a large portion of the year in southern California, and I reside in Mexico. Neither of us has seen the inside of a bank in years.

Unless you operate a business in Mexico, THERE IS ABSOLUTELY NO REASON TO OPEN A MEXICAN BANK ACCOUNT. Mexican banking regulations, fees, hold periods, etc. are different than what we experience in the states.

Allow me to share a word/s of advice. In advance of your stateside departure, alert your bank that you will be traveling into Mexico (give them the dates) and identify your need to use both debit and credit cards. Confirm your daily limits as to cash withdrawals and/or purchases. Also find out in advance what your bank’s fees are relative to international cash withdrawals. Be forewarned that you generally encounter fees on both sides of the transaction: 1) when the transaction is performed at the ATM in Mexico and 2) when the same transaction is processed by your home bank. If you determine that the fee situation is not to your liking, locate another institution that you can use as an intermediary for depositing funds electronically and subsequently out via debit card. Puerto Vallarta enjoys a presence of all the major banks of Mexico as well as many of the internationals. Those of us who desire to cut expenses/avoid fees have shopped the various local banks to determine their international ATM assessments. The range of per transaction as of this writing approximates $3.50 USD (BanNorte) to just over $5.00 USD (Bancomer). Most stateside banks will then slap another $7.00 to $12.00 assessment once they process the same transaction. At that point, you just paid $15.00 USD in fees to complete your $200.00 cash advance. You get the point, right?

I enjoy a long term financial relationship with a wonderful credit union. I know the senior operations officer by first name and we communicate periodically via email or phone when either my wife or I move between California and Mexico.  All my income is deposited electronically, (no charge), I am extended a VISA account at half the big bank rate (no annual fee), and my international transactions are free (no fee). I pay my obligations online (no charge). What is there not to like about this relationship?

Mexican ATMs will generally display screens in English or dual language format once your card is read. Be sure to read each screen carefully. Just a reminder that the amounts on the screen are Mexican pesos not American dollars. On my first use of a Mexican ATM, I identified the amount of 200, thinking that I was removing $200 USD. To my befuddlement, my hand held 200 pesos, the equivalent of $16.00 not the $200.00 I had desired. You are never too old to learn, right?

All of my transactions are performed in the air conditioned booths of the ATMs at BanNorte in the Zona Romanitica. They are a five minute walk from Los Muertos Pier and on my route to the buses to head out on my errands. In addition to the comfort of an individual air conditioned cubicle, they have doors which you lock behind you. This feature alone, allows you to privately conduct your transaction, place the cash into your wallet without someone else observing.

Keep in mind, there are no ATMs in Yelapa. Very few establishments (lodging, eating) accept credit cards. Plan to pay cash for everything. Insure that the cash remains on your person at all times. Travel wisely and you will be just fine.    

Enjoying a trip/stay in Mexico need not be daunting. Plan ahead with a cash reserve for the first week and enter the international direct phone numbers for contact people at your bank. What is that adage about a penny of prevention is worth a dollar of cure? You’ll work it out. Enjoy your stay.   

Adventures with Teo--update!
Be sure to check the Yelapa Memo Face Book page periodically to follow the progress of the enchanting children's series of adventures in Yelapa.