Belize Exchange: Exploring The Pros And Cons

If you're travelling to Belize from the US, it's not necessary to exchange your US dollars, as the Belize dollar is pegged to the US dollar at a rate of BZ$2 to US$1. This means that both currencies are used interchangeably in Belize, and you can pay for goods and services in either currency. However, you will receive your change in Belize dollars, and US coins are not accepted, so it's best to avoid bringing these. While it's not necessary to exchange currency, it's still a good idea to bring a mix of cash, credit cards, and traveller's checks when visiting Belize. ATMs are available in most major towns and tourist areas, but they only dispense Belize dollars and may charge fees for each withdrawal. Credit cards are widely accepted, but it's a good idea to carry more than one, as some cards may not work for various reasons.

Exchanging US dollars for Belize dollars

The Belize dollar (BZ$) is the official currency of Belize, but it is pegged to the US dollar on a 2:1 ratio, and the two currencies are used interchangeably in Belize. This means that two Belizean dollars will always equal one American dollar, so you don't need to worry about calculating exchange rates.

US dollars are widely accepted in Belize, and you can receive your change in either American or Belize dollars. However, you cannot pay using US coins, so it is best to leave those at home. It is also worth noting that smaller establishments may only take Belize dollars.

If you are travelling from the US to Belize, you do not need to exchange your US dollars. The exchange rate you will get in Belize is 2 BZ$ for 1 US$, and some sources advise that the rates will be worse than this, so it is not worth exchanging your money. You will also struggle to exchange Belizean dollars for other currencies once you leave the country, so it is best to convert all remaining Belizean dollars before you depart.

If you do want to exchange your US dollars for Belizean dollars, you can do this at most banks and some upper-end hotels. You may find a slightly more favourable exchange rate of 2.01 BZ$ per 1 US$ depending on where you go. All licensed money changers will require you to fill out a form with personal information. It is best to avoid freelance money changers ("peseros") who do not require any paperwork. These can be found in border areas with Mexico or Guatemala but are not recommended.

Using credit cards in Belize

Credit cards are accepted in Belize, but they are more commonly recognised in tourist areas. In non-touristy regions, cash is king.

Where are Credit Cards Accepted in Belize?

Larger hotels, restaurants, and shops typically accept Visa and Mastercard. Some places accept American Express (AmEx), but it is rare to find establishments that take Diners Club or Discover.

Fees for Using Credit Cards in Belize

Every time you pay with a credit card in a foreign currency, you will be charged several fees. These are applied by your credit card company, your bank or credit card provider, and the ATM network (if you're withdrawing cash).

If your credit card is designed for international spending, you may be exempt from some of these fees. However, it's always a good idea to check with your card provider to see which fees you will be charged for spending in Belize.

Alternatives to Credit Cards in Belize

A cheaper alternative to using a credit card in Belize is a prepaid travel debit card. These are issued by companies like Visa or Mastercard and provide a way to pay while visiting Belize, often with lower fees and exchange rates.

Tips for Using Credit Cards in Belize

• It's a good idea to notify your credit card company and bank before travelling abroad. That way, they won't get suspicious when foreign charges start appearing.
• Always carry more than one card. A card may not work for several reasons, so having a backup is smart.
• Change your PIN to a four-digit PIN before travelling. While many ATMs in Belize will accept five- and six-digit PINs, some will only accept four-digit PINs.
• Keep a record of your transactions and reconcile your credit card statement when you get home.
• If you plan to use cash as well as your credit card, bring smaller bills in good condition. $1, $5, $10 and $20 USD bills are recommended, as larger bills may be hard or impossible to cash in smaller villages or shops.
• Some establishments will include a 2-5% surcharge for customers using a credit card.

ATM availability and fees

Belize has four banks: The Belize Bank, Atlantic Bank, Heritage Bank, and the National Bank of Belize. All of these banks have ATMs, which are available in all cities and towns. ATMs in Belize dispense cash in Belize dollars and accept Visa and Mastercard credit and debit cards.

Some ATMs in Belize charge a fee for each use and enforce a withdrawal limit per day (usually around BZ$500). It is important to note that Belizean ATMs usually charge a nominal fee of 3-5 BZD for international card withdrawals. Additionally, you will be charged two separate fees each time you withdraw money.

The Belize Bank has established the only nationwide ATM network in the country, with 45 ATMs distributed across the country. Their ATMs accept all cards bearing the Visa, Mastercard, Plus, and Cirrus logos. The Belize Bank ATMs allow out-of-town visitors to withdraw up to BZ$1,000 (US$500) per day and are clearly labeled with the Plus or Cirrus logos.

Other banks, such as Scotiabank, charge an ATM fee of $8, with a maximum withdrawal limit of $750 per day. Heritage Bank charges an ATM fee of $3, but currently does not accept foreign card withdrawals. Atlantic Bank does not charge a convenience fee, and the maximum withdrawal limit depends on the limit of the customer's card.

It is recommended to consult your local bank to see if your card will work in Belize and to notify your bank before traveling abroad to avoid any issues with foreign transactions.

Currency exchange options

The official currency of Belize is the Belize Dollar (BZD), which is pegged to the US dollar at a fixed rate of BZ$2 to US$1. This means that you will not need to worry about calculating exchange rates.

If you are travelling from the US to Belize, you can use your US dollars in Belize, and you do not need to exchange them for Belizean dollars. In fact, it is advised not to, as the exchange rate will be worse than the 2:1 ratio. You will likely receive your change in Belizean dollars, and you can also exchange your money at most banks and some hotels.

If you are travelling from another country, it is recommended that you exchange your money into US dollars before arriving in Belize. You can then exchange your US dollars for Belizean dollars at banks, some upper-end hotels, and currency exchange businesses.

ATMs are available in most major towns and tourist areas, and they usually accept foreign cards. However, they only dispense Belize dollars and may charge a fee for each withdrawal. It is also important to note that Belizean dollars are typically only accepted within Belize, so avoid withdrawing large amounts of cash, especially towards the end of your trip.

Credit cards are another option for accessing money in Belize. Major credit cards, such as MasterCard, Visa, and American Express, are widely accepted at larger hotels, restaurants, and shops. However, smaller establishments may only accept cash or have a surcharge for credit card use. Credit cards can also be used to obtain cash advances from banks or ATMs, but this can be expensive due to additional charges and interest.

It is always a good idea to notify your bank and credit card company before travelling abroad to avoid any issues with foreign transactions.

Tipping in Belize

Tipping is not mandatory in Belize, but it is customary in certain situations. While locals don't usually tip, tipping is more common among tourists, especially those from the US. It's important to note that the minimum wage in Belize is very low, so tips can make a significant difference to those working in the service industry.

Who to Tip

In general, it is common to tip people who provide direct services to tourists, such as hotel staff, tour guides, servers, and bartenders. This includes porters and housekeeping staff in hotels, and dive masters if you go scuba diving. Taxi drivers are generally not tipped, but you may wish to give them a small amount if they help with your luggage or provide useful information.

How Much to Tip

The standard tip amount in Belize is around 10% of the bill or cost of the service. For exceptional service, you may want to increase the tip to 15-20%. In restaurants, it is customary to tip waiters and waitresses a slightly higher percentage than bartenders, as they often share their tips with kitchen staff. In bars and cafes, you can round up the bill to the nearest significant amount or leave a small tip for each drink ordered.

When tipping tour guides, it is recommended to give them around 10-15% of the cost of the tour. For scuba diving tours, you can also tip based on the number of oxygen tanks used, with a suggestion of BZD 5-10 per tank.

How to Tip

It is considered polite to tip discreetly in Belize. You can verbally thank the person, shake their hand, and express your appreciation while handing over the bills. It is best to tip in the local currency, Belizean dollars, to avoid inconveniencing your service providers with high currency exchange fees. Cash tips are preferred, but credit card tips are also acceptable in some establishments. However, be aware that credit card companies may charge high fees, reducing the amount that reaches the intended recipient.

Frequently asked questions