Best Banking Options for Expats in Mexico (2026)

Unlike Europe, where local IBANs matter for many services, Mexico's cash-heavy economy and acceptance of US cards means you can function without a Mexican account. Many expats, especially in tourist areas, use US bank accounts and ATMs indefinitely.

A Mexican account becomes useful for: paying rent in pesos (avoids landlord's conversion markup), Mexican utility direct debits, building Mexican credit history, and avoiding US card foreign transaction fees.

The decision often depends on how long you're staying and how integrated you want to be. Short-term or nomadic? US accounts plus Wise works fine. Long-term resident? A Mexican account adds convenience.

If you receive income in USD and spend in MXN, Wise typically offers rates 2-4% better than banks or ATMs. The savings add up quickly on regular transfers.

Wise provides both USD and MXN account details. You can receive USD from US sources, convert at the real exchange rate, and either spend via Wise card or transfer to a Mexican bank account.

The Wise card works at Mexican ATMs and businesses. ATM withdrawals in MXN use good exchange rates, though there are monthly free limits before fees apply.

US bank accounts remain useful in Mexico: receiving US income, online payments to US services, maintaining US credit history, and having a financial base if you return or travel.

Charles Schwab checking is popular among expats for its unlimited ATM fee rebates worldwide. You can withdraw pesos from Mexican ATMs with no fees on Schwab's side (local ATM may still charge).

The main costs of using US cards in Mexico: foreign transaction fees (typically 1-3% unless your card waives them) and potentially poor exchange rates. Cards that waive foreign fees (Schwab, some travel cards) make US accounts more practical for Mexico use.

Opening a Mexican bank account is easier than many countries—banks actively want customers. Requirements vary but typically include: passport, proof of address in Mexico (utility bill, rental contract), and often your CURP or RFC (Mexican ID numbers).

Temporary residents can open accounts at most banks. Some banks accept tourists with just passport and proof of address, though account features may be limited.

BBVA Mexico is often recommended for expats—their app is good, branches are everywhere, and they have experience with foreigners. Banorte is another solid option with competitive rates.

Most expats need a peso account for daily life: rent, utilities, local purchases. This is the standard account type and easiest to open.

Dollar accounts exist at Mexican banks but have higher requirements (larger minimums, more documentation) and limited utility. They're mainly useful if you receive large USD payments and want to hold dollars in Mexico.

For most expats, the better approach is: Wise for USD holding and conversion, Mexican peso account for local spending. This gives you good rates and local integration without the complexity of Mexican USD accounts.

While cards work at most businesses in cities, cash is still preferred or required in many situations: small shops, markets, tips, taxis (non-app), street food, and many service providers.

ATMs are widely available in cities. Withdraw pesos rather than using your card everywhere—it's often cheaper and more practical. Keep cash on hand.

This cash dependence affects banking decisions: having easy access to peso cash matters. Whether through a Mexican account with debit card, US account with good ATM terms (Schwab), or Wise card, plan your cash access.