One of the first things you’ll grow to dislike, once your travel for longer than your standard two-week vacation, are banking regulations.

When you visit for short spells, ATM and credit card transaction fees won’t amount to that much. In fact, you may avoid them all together if you use Traveler’s Checks and your bank provides them free of fees.

Another strategy is to convert to local currency all the cash you think you’ll be using during your stay. Both approaches may work, but only if you plan to stick to touristy places (that take traveler’s checks) or don’t mind carrying huge wads of cash with you (not recommended).

What to do? Here are some simple tips that will help you manage your money better during short-term or long-term stays:

Watch the Exchange Rates

Exchange booths at airports usually are among the worst offenders when it comes to horrible (for you) exchange rates. I recommend that you only exchange what’s necessary to get you through the day or weekend until you get to a bank.

Banks almost always offer better rates than airports and currency exchange booths at tourist-heavy areas (I’m looking at you, Niagara Falls area ripoff-artists).

Put Away That Credit Card (If You Can Help It)

Another option is to use ATMs to withdraw needed amounts from your Visa/Mastercard check card. The advantage of using a check card is that you stay away from the typically outrageous “advance fees” that credit cards charge.

The downside is that you will most likely get charged an ATM fee whether you’re using a check card or credit card. There are exceptions, however.

The Best Travel Card in the World

Before embarking on your travels, you’re well advised to open a Charles Schwab High-Yield Checking account – the greatest card ever for travelers. They will reimburse all your ATM fees and offer competitive exchange rates. And, get this NO FOREIGN TRANSACTION FEES! Most credit cards will charge you 1%-3% fee on any foreign transaction.

They also have excellent customer service. I’ve already called them twice about ATMs that malfunctioned and did not spit out the amount I requested, and they refunded the money both times, with zero hassle.

Beware of ATM Fraud

On the topic of malfunctioning ATMs, watch where you stick that credit/debit card. Don’t just jam it in whatever ATM slot you come across, as there have been cases here where crude skimming devices have been found affixed to machines. Please practice safe banking ;)

While traveling, I’ve yet to be hit with any fraudulent charges. I credit this to staying away from using my card for point-of-sale purchases, checking out all ATMs I come across for signs of tampering, and only using those ATMs that are inside banks or guarded by lock and key after the bank closes. No 24-hour accessible ATMs for me.

Banking in Antigua Guatemala

In 2011, there was a rash of complaints about fraudulent credit card activity near the ATMs in Antigua Guatemala‘s Parque Central. By collecting victims’ accounts of compromise, others were able to narrow the culprit down to specific ATMs belonging to BAC Bank that was transmitting user’s unencrypted information to the bank’s branch nearby. The unencrypted information allowed hackers to sniff out the data traffic and get ATM users’ account information.

Again, this is why I recommend using ATMs inside the bank, or visibly hardwired to a branch within the same physical structure.

For ATM withdrawals in Guatemala, you’ll be limited to only Q2,000 max per day if using a yellow 5B Bank ATMs such as this one – below is what they look like:

5B ATM Guatemala

5B ATMs

Banco Industrial (BI) blue ATMs will allow you only Q2,000 max per withdrawal, but up to 3 times, for a maximum of Q6,000 per day.

Banco Industrial ATM Guatemala

Banco Industrial ATM

BI and 5B ATMs are nearly everywhere, while Banco Santander ATMs (white and red) are a little harder to find. There’s a Santander ATM I’ve used inside Porta Hotels in Antigua.

Santander ATMs will also allow you three withdrawals of Q2,000, and offer the option to withdraw in dollars as well (I haven’t tried the latter option – why pay exchange rate fees twice?)

I haven’t tried BAC Bank ATMs’ (white with red Lion logo on the side), even though they’re right near Antigua’s Central Park. No need to when there’s a perfectly safe 5B machine inside the CitiBank branch (above), on the Northeastern side of the park.

Opening a Bank Account in Antigua Guatemala

Opening a foreign bank account is one of the greatest challenges you may face as an expat, depending on the country you choose to settle in. Just because the bank is the same as where your account is located in your country of origin, it doesn’t automatically mean that you’ll be able to use your account the same way or even open another account at the foreign branch – which is what happened to me at CitiBank.

I inquired at CitiBank about opening an account in Guatemala. The requirements to do so were the following:

1- Passport

2- Another foreign ID – Driver’s License for example

3- Application with information about Guatemalan Sponsor and said sponsor’s national ID (Cedula)

4- 1,000 dollars or 1,500 quetzals (Not a typo – doesn’t make sense to me either).

5- Copy of Utility Bill in your name

Meet all these requirements, and it still won’t guarantee you a bank account. Usually, other “required” documents tend to be asked for after the fact.

So plan your withdrawal strategy accordingly to avoid fees. It’s also a good idea to keep a reasonable amount on hand, safely tucked away at home. You never know when you might need to get out of a jam quickly should an emergency come up, as it’s not easy to get a hold of a significant sum quickly.

Happy travels and good luck banking in Antigua Guatemala!

 

*****

Check out my Pinterest page about Antigua Guatemala, one of the prettiest Spanish colonial cities in the world.

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11 COMMENTS

  1. This is great! Too bad I didn’t read this post in time to open an account before I left for a 2-week summer course in Madrid.

    • Bummer :(

      You can always open one anyway and your card can be waiting for you at home, ready for the next adventure :)

      -Rich

  2. Pretty good post. I just stumbled upon your blog and wanted to say that I have really enjoyed reading your blog posts.Any way Ill be subscribing to your feed and I hope you post again soon. Thanks so much!

  3. I know my comment might be a bit late on this page but…. Are there any U.S. banks in Guatemala?

    • Hi Louis,

      Citibank is here, although for all intents and purposes, it might as well be a Guatemalan bank, since US accounts are not accessible via the bank here, or viceversa. I don’t know of any other US bank here.

      -Rich

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