Watching the dollar

There are 1,011 replies in this Thread which has previously been viewed 51,947 times. The latest Post () was by UK Man.

    Hello everybody,


    Just settling in now, I have the big computer and screens set up so I can work and play..


    I have a question about the use of foreign VISA cards in Argentina.


    I have been told that a new scheme is now in place to give foreign card users the 'tourist dolar' rate as opposed to the official rate..


    This:

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    The MEP dollar will be recognized for foreigners, currently at $290. Cardholders will be authorized to sell the currencies through the financial market to obtain a better price instead of doing so in the MULC. What will happen to the BCRA reserves?

The Government announced that as of Friday tourists who pay by card will be able to access the financial dollar, that is to say, they will recognize an exchange rate close to $290 instead of $160 as it was until now. This is a substantial benefit for foreigners visiting Argentina, who in this way will no longer need to go to a "cave" to exchange dollars to obtain a better price.

The measure had been being analyzed for weeks by the Minister of Economy, Sergio Massa, and the Minister of Tourism, Matías Lammens. It will come into force from Friday and they released the details of the new rule. In recent days, a large number of photos of foreigners paying in restaurants with a large number of bills on the table have been published. Tourists had also been choosing to pay in cash at hotels, as it was more convenient than paying with a card.

As they explained from Economy, tourists consume with the card. The card converts this expense at the exchange rate set for foreign tourists. Tourists pay the cards in dollars and the cardholders sell those dollars in Argentina through the financial market and then pay the shops or services in pesos.

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    This is new to me, as I bring cash and exchange with family and friends to get the 'dolar blue' rate.


    Does anyone have comments/advice/experience before I go and test my card with a small purchase.


    Cordialement,

    Sarran1955, this is a new system announced by the government about a month ago.


    The rate offered is a few pesos below the MEP and maybe as much as 10% below the blue rate.


    It is still not working efficiently.


    Visa processes the transaction at the new rate.


    Mastercard processes the transaction at the official rate but then deals back a "refund" a few days later.


    The blue rate or the WU rate are still the best.


    What will this year hold?


    No one, not even the government, knows.

    You can check VISA exchange rates here


    https://usa.visa.com/support/consume...alculator.html

    And Mastercard here


    https://www.mastercard.us/en-us/pers...-currency.html



    A friend told me that they processed a partial refund four days after the transaction was posted

    Visa was processing transactions today at 303.8


    The MEP rate is 327.9


    And the blue was just above 340.

    Hello everybody,


    Thank you Glasgow john for making matters much clearer, I shall try the card out very soon.


    If this works it will make a big difference, as each time I come over I bring 10 000 USD, which has to be locked away in the safe, This would be exchanged in chunks as needed.


    I can see the security advantages and also the advantage to the Arg economy.


    A huge thunderstorm last night, so it is much more comfortable today, I will look for my crash helmet and get the Zanella shopper out if his shed...


    Cordialement,

    Hello GlasgowJohn,

    Quote from GlasgowJohn

    Probably best to try a small transaction to see if it works for your card.


    One of My US friends who arrives this week , says he will try a small ice cream from Freddo to see what happens.

    Good advice..

    I've had a productive morning so far, I got the Zanella out of it's garage, ignition and petrol on, 3 prods of the kick starter with full choke..and away he goes. I will start by buying some petrol on the card.

    If this MEP all works, it will fundamentally change my money planning on my Patagonian trip. Once I am confident that all the International communication/banking on line/mobile phone is working, then I can pass my dollars to my son and he can pass euros via PayPal to my French account. I will then only need to carry enough cash for 'walking around ' money and so on.

    My son here has MasterCard and did not even know of this... saying 'so that is why I have been getting cash back on my account'


    I did a dry run this morning and was able to log on to my bank, with the 2 step confirmation on my portable phone.


    onward and upward...


    Cordialement,

    While I can definitely see the advantage of bringing along a plastic card instead of a stack of pesos (some days, I can't even fold my men's wallet because there are too many bills inside), take into account that cards may not be accepted in smaller shops and remote areas.

    I would never rely on cards for a trip in Argentina, especially in remote areas like those you are going to visit.


    Exchanging little by little is an option. I personally do like that. Yes, it is not very practical and it is a hassle we didn't have in Europe.


    Cash is king!

    I agree about cash because when I rode up to Salta on my motorcycle in 2016, I filled the tank at numerous out of the way service stations hoping to pay by card, only to spot a scruffy A4 sheet of paper stuck to the window saying "Tarjetas suspendidas". Or, they will hammer you with a 15% surcharge for paying by credit card.

    But I went prepared, with a money belt hidden about my person.

    I don't expect much has changed since then.

    Yip , for small amounts it makes sense and you can now avoid the long lines at WU.


    I am very lucky as the local WU lady is now a friend - when I want 100,000 pesos, I send her a text message to ask does she have that amount. When she gives me the thumbs up, I do the transaction. I send her the reference number and the cash is waiting for me when I arrive.

    Quote from GlasgowJohn

    Yip , for small amounts it makes sense and you can now avoid the long lines at WU.

    I use a foreign debit card (Wise) to pay for the digital subscription di Adobe Acrobat Pro in Argentina.

    The last amount paid was on Dec 12, 2022 and I was debited 1010,94 ARS or 4.87 GBP (exchange rate AR$ 207.58 = £ 1). However, on Dec 19, 2002 I see a refund for 2.54 USD from Adobe.


    Note: the debited amount was in pesos because I have an Argentinian subscription (i.e. associated with an Argentinian billing address). For some reason, I was able to add as a payment method a foreign card with a foreign billing address. I was debited British Pound because I don't have any balance in pesos, so Wise automatically decides for me which balance to charge my account. However, the refund was accredited in USD directly and wasn't converted to any other currency. I have a USD balance on Wise, but never noticed the refund.


    It is hard to do the math, but I get the sense that I got a refund because of the new law on purchases made with foreign cards.