# How do I pay my rent in $US?



## yale69 (Jul 21, 2009)

Hi all--

I'm going down to Chapala in August to secure a long-term rental. I know I'll need to pay a significant amount upfront, as well as make monthly payments. How do I make these transactions in $US? I don't expect anyone to take a check drawn on a US bank, and ATM withdrawals are both expensive and limited in amount per day. What is the preferred method of doing this?

thanks,

-david


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## RVGRINGO (May 16, 2007)

Welcome to the forum and welcome to Chapala. Most landlords will accept your check on a US bank or the peso equivalent. In our case (we have a rental which will become available in October), we even make arrangements for direct deposits to our account in the US, especially for tenants who agree to pay annually. I think you will find most folks here pretty flexible. If you are going to be living here, you can also open an account with one of the local investment houses and have your bank wire funds to them directly. That provides you with immediate access to amounts larger than an ATM permits.


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## yale69 (Jul 21, 2009)

Thanks for the help on that.

btw - this bulletin board is a bit confusing to me. it came back with a reply box that had your comment in it. kinda confusing. so i just erased it and wrote this over it. is that the proper etiquette?

do you have a renter for your home. mind telling me about it, or where i might look for homes when i get down there?

thanks

daivd


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## RVGRINGO (May 16, 2007)

If you use "Reply", the previous poster's comments will be quoted. You can do, as you did, use them for reference and then delete them or, if you scroll down further, use the Quick Reply option down below.
Our tenant is, unfortunately, losing her sight and must move to assisted living. I will send you a private message so that you can contact me by e-mail. In that way, I'll be able to send you the details and photos of our rental.


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## davidhume (Jul 23, 2009)

you can do simple bank transfer or use paypal


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## Joycee (Jul 22, 2009)

Hi 
I hope this isn't off topic but how do brokerage accounts work. Do they eliminate the outrageous bank fees. When we sent money to purchase property we did a wire transfer to a Mexican bank. It was in the account several months. Not only did we not get interest when we withdrew it, but they charged a fee of several hundred dollars.
Thanks
Joycee


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## yale69 (Jul 21, 2009)

davidhume said:


> you can do simple bank transfer or use paypal


that sounds easy enough. thanks


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## RVGRINGO (May 16, 2007)

Joycee,
A Mexican investment house sells mutual funds and other products, as elsewhere. You may keep a short term account for quick access to funds, cashing checks, wire transfers, etc.
That is what most expats do, as the banks are expensive and difficult to deal with, as you have discovered.


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## sparks (Jun 17, 2007)

yale69 said:


> Hi all--
> 
> I'm going down to Chapala in August to secure a long-term rental. I know I'll need to pay a significant amount upfront, as well as make monthly payments. How do I make these transactions in $US? I don't expect anyone to take a check drawn on a US bank, and ATM withdrawals are both expensive and limited in amount per day. What is the preferred method of doing this?


You don't pay in US$ in Mexico ... you pay the peso equivalent. Bring enough cash to pay the upfront ... and then use an ATM for monthly. I wouldn't rent a place listed in US$

I pay 1% on ATM withdrawals and have a $500 a day limit. Find another bank or Credit Union if you can't do that well


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## RVGRINGO (May 16, 2007)

You may find certain areas, like Lake Chapala, where most real estate is listed for sale or for rent in USD, since most are of interest to expats from the US/Canada. In areas where there are fewer expats, listings will be in pesos.


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## mexliving (Mar 30, 2009)

i use scotia bank since they dont charge those crazy bank atm fees most mexican banks charge... also new law this year regarding fees for deposits exceeding 20,000 pesos.... direct deposit or wire transfer..


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## sparks (Jun 17, 2007)

mexliving said:


> i use scotia bank since they dont charge those crazy bank atm fees most mexican banks charge... also new law this year regarding fees for deposits exceeding 20,000 pesos.... direct deposit or wire transfer..


Mexican banks don't charge crazy ATM fees ... it's your US bank that may. Mexican ATM's warn you about a 7.5 peso fee but I've never seen it billed and thats not much for a $500us withdrawal

Whos new laws


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## jlms (May 15, 2008)

RVGRINGO said:


> You may find certain areas, like Lake Chapala, where most real estate is listed for sale or for rent in USD, since most are of interest to expats from the US/Canada. In areas where there are fewer expats, listings will be in pesos.



That may be true, but it is actually illegal.


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## yale69 (Jul 21, 2009)

hi sparks--

i've read other people say to only rent places quoted in $US. why do say to avoid these rentals?

thanks

--david


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## RVGRINGO (May 16, 2007)

Legally, rental contracts must be in pesos but the advertising is often in US dollars or Canadian dollars, depending upon the target clientele. One assumes that we can all do the math.


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## yale69 (Jul 21, 2009)

that only makes sense. someone i read said they wouldnt do a rental in pesos because the exchange rate fluctuated. i couldnt understand their point. it fluctuates whatever currency you're using. the question is what currency you have your savings in.


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## RVGRINGO (May 16, 2007)

In actuality, whatever the landlord and tenant agree to will work. It is only when major disagreements lead to legal action that the laws requiring Spanish language contracts in pesos would come into play. That hardly ever happens. Mexico is not a litigious place.


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## sparks (Jun 17, 2007)

yale69 said:


> hi sparks--
> 
> i've read other people say to only rent places quoted in $US. why do say to avoid these rentals?
> 
> --david


Because they are aiming only at the ****** market and probably those new to Mexico. That usually allows them add 25-50% to the rent

My 4000 peso rent over the last three years has gone from $410 to $285us ... so I would say the fluctuation has worked in my favor


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## pvtexmex (Aug 17, 2009)

yale69 said:


> Hi all--
> 
> I'm going down to Chapala in August to secure a long-term rental. I know I'll need to pay a significant amount upfront, as well as make monthly payments. How do I make these transactions in $US? I don't expect anyone to take a check drawn on a US bank, and ATM withdrawals are both expensive and limited in amount per day. What is the preferred method of doing this?
> 
> ...


I have lived for 6 years in Puerto Vallarta and have basically lived by taking ATM withdrawals against my American checking account. There is a $5 non-bank ATM charge plus a 1% foreign exchange fee (at my bank). I always withdraw the maximum amount to minimize fees. Now I also have a Mexican checking account set up so that I can wire money to that account from the US. I also stash my "surplus" dollars in the Mexican account, and of course there are no ATM fees or foreign exchange fees on that account. There actually are a limited number of ATMs here that I can use without the non-bank ATM fee but they are not conveniently located for me. I had rather walk a few blocks down the street and pay the $5. I suppose the "preferred method" is whatever works for you. Mexico is a continual learning process.


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## El Toro Furioso (May 13, 2007)

sparks said:


> Because they are aiming only at the ****** market and probably those new to Mexico. That usually allows them add 25-50% to the rent
> 
> My 4000 peso rent over the last three years has gone from $410 to $285us ... so I would say the fluctuation has worked in my favor


Our $4000 peso rent over the last four years has done the same. Two bedroom, two baths, gardens, lawn, automatic garage door, mature fruit trees. That's the place in San Antonio Tlayacapan. We now own our primary residence in La Manzanilla just 16 km north of Sparks. Rumor has it, though, that Sparks is moving to Jocotepec. True?​


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## circle110 (Jul 20, 2009)

I have my money with a US investment firm that gives me a checking account as part of their package. They refund all my international ATM fees (including the 7.5 peso charge). So, I don't have to pay anything to access my money and the maximum daily withdrawal is high enough that it hasn't been an issue for me. It's something you may want to look into if you have options on where to put your US money.


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## yale69 (Jul 21, 2009)

pvtexmex said:


> I have lived for 6 years in Puerto Vallarta and have basically lived by taking ATM withdrawals against my American checking account. There is a $5 non-bank ATM charge plus a 1% foreign exchange fee (at my bank). I always withdraw the maximum amount to minimize fees. Now I also have a Mexican checking account set up so that I can wire money to that account from the US. I also stash my "surplus" dollars in the Mexican account, and of course there are no ATM fees or foreign exchange fees on that account. There actually are a limited number of ATMs here that I can use without the non-bank ATM fee but they are not conveniently located for me. I had rather walk a few blocks down the street and pay the $5. I suppose the "preferred method" is whatever works for you. Mexico is a continual learning process.



my bank in the states, compass/bbva is a sister bank to bancomer. i only get charged a 1% fee for atm withdrawals at bankcomer, which is just down the street. works out fine for me.

thanks


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## pvtexmex (Aug 17, 2009)

I have been doing this for over 6 years. You get the best exchange rate at an ATM, plus they are avaialble 24 hrs. a day. I have an account at a brokerage-cambio house where there are no charges at all, plus there some ATMs where I can uses my card without charge. I would rather walk the short way to the ATM at my Mexican bank and pay the 5 dollars (on my US account, free on my Mexican account) than to take a taxi or a bus and use up a large part of the day just to get money. My total charges run about 35-50 dollars a month, and I am willing to pay for the convenience.


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## yale69 (Jul 21, 2009)

yale69 said:


> my bank in the states, compass/bbva is a sister bank to bancomer. i only get charged a 1% fee for atm withdrawals at bankcomer, which is just down the street. works out fine for me.
> 
> thanks


hii

that's exactly what i've started doing, as i use compass bbva as well. i was thrilled to see they only charged me 1% (and refunded that when i got back to the states)


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## pvtexmex (Aug 17, 2009)

I have an account with BaNorte, but it is not affiliated with my US bank. The ATMs that I can use without charge are not convenient for me, so I pay the non-bank ATM fee plus a 1% foreign exchange fee when I draw on my US account. Withdrawals from my Mexican account are free, of course. This is really not a big deal. I am not going to have to sell Chiclets on the street to recoup the money.


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