www.CostaRicaTicas.com

Perhaps some of our resident and/or vets of CR can explain what the recent changes in Exchange Rate rules mean to the visiting tourist?

this article in todays paper


Public banks report similar
dollar exchange rates




By the A.M. Costa Rica staff


The new system of exchanging money went into effect Tuesday, and those who didn't know what the buy and sell rates meant, still didn't.

The Banco Central has let the colon float within limits, but its one thing to shop around for a good price for a new car. Doing the same thing with pockets bulging with dollars is another.

The Central Bank envisions the savvy economic man, but there was not a lot of difference in the rates offered by the public banks Tuesday. There was a 3.5 to 4 colon difference in the buy and sell rates.

The story was different at smaller, private entities. One reported that it would give customers 470.60 colons for each dollar. That was well below the average of about 521 colons to the dollar. That was another way of saying they had enough dollars or maybe "Tourists welcome."

The market showed some movement Tuesday, mostly because of the pent-up demand from a three-day weekend.

The Central Bank will be publishing a daily reference rate that will be the rough average of all transactions at supervised entities.

Some expats think that the market will take a month or two to get evened out. The rates will show seasonal changes as tourists and seasonable businesses make deposits and withdraw funds.

For many, the uncertainty of tomorrow's rate represents a de facto dollarization of the economy.

The Central Bank expected to get off the hook in supporting the colon. Officials there say that the floating colon will reduce inflation. Others expect the colon to devalue quicker under the new system than it would have had the 20-year-old system of daily mini-devaluations stayed in place.

More than half the debt in Costa Rica is denominated in dollars, as is the exterior national debt. A drop in the value of colons could have serious effects on individual borrowers and the government. which collects its funds in colons.

Perhaps the biggest beneficiaries of the new system are those shady guys who hang around the boulevard and Calle Central with calculators in their hands. They offer tourists and others better rates, and looking for a better rate is being encouraged now.

Of course they offer better rates because many of the dollars they sell say hecho in Colombia in small letters under the engraving of Pablo Escobar.

_________________
The difference between a Sea Story and a Fairy Tale is that a Fairy Tale starts out 'Once Upon a Time..' and a Sea Story starts out 'This is no Shit...'

(export version only, some restrictions may apply, some assembly required, not valid where the sun don't shine...

if you live in the states of Poverty, Darkness or anywhere outside of The Blessings of Civilization Trust, Inc...other rules may apply)

I've been watching this too and it looks like the biggest change for us (that care about getting the best rate) is to be aware of the "average" and that we'll have to shop for the best exchange rate as it will vary even from bank to bank. And of course it looks like many "smaller private entities" will take advantage of the situation to screw us over, if we let them. Big surprise there.

_________________

Living well is the best revenge
http://www.youtube.com/watch?v=MwUtj_YnNoY

Yesterday I exchanged some dollars for colones at the Colonial Casino.The rate was 52,000 colones for $100 (520) That is exactly what it was one week ago.

Casino's will remain competitive with each other as in the past.
Each bank will set a floor and ceiling rate for buy and sell that will fluctulate throughout the day.
Supposedly, this is a good thing and they wouldn't have done it unless the economy was strong. In addition, Costa Rica's credit rating has improved which is another reason for this. In the end, it should all shake out.
LVSteve

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Just an old horney, fat gambler.

This is yesterdays high and low exchange rate


Source: www.bccr.fi.cr (Numbers in colons)


Authorized organization Purchase Sale Differential Exchange

House of Global Change Exchange 470.60 536.90 66.30 Highest

Bank of Costa Rica 520.51 524.51 4.00

Cooperative Coopemex R.L. 521.06 523.49 2.43 Lowest

Floridaboy,
In this case, the "highest" is not a good thing. The bid, 470.60, is how many colones they'll give YOU for a dollar. The asked, 536.90, is how many colones you have to give THEM for a dollar. The difference is their profit and, as you can see, the "House of Global Change Exchange", whoever the Phuck they are, make a ridiculously HUGE profit, 66.3 or over 13%, on anyone foolish enough to exchange their dollars with them. One of the things you should look for are outfits that have exceptionally large ranges between the bid and asked and avoid those like the plague. More established and respectable operations like BCR have much more reasonable ranges (covers expenses and risk). I don't know who Cooperative Coopemex is but I'd probably just go with BCR since its rates are pretty close.

Todays Exchange Rates:

Viernes, 20 de Octubre de 2006
Kind of Dealer Authorized Dealer Buy Sell Exchange Gap
Bancos públicos Banco Crédito Agrícola de Cartago 515,00 521,00 6,00
Banco de Costa Rica 515,00 521,00 6,00
Banco Nacional de Costa Rica 514,85 518,45 3,60
Banco Popular y de Desarrollo Comunal 514,00 519,00 5,00
Bancos privados Banco BAC San José S.A. 514,90 521,90 7,00
Banco Banex S.A. 514,96 521,96 7,00
Banco BCT S.A. 514,96 523,50 8,54
Banco Cathay de Costa Rica S.A. 515,00 523,00 8,00
Banco Citibank (Costa Rica) S.A. 515,00 520,00 5,00
Banco Cuscatlán de Costa Rica S.A. 515,10 522,10 7,00
Banco Improsa S.A. 515,00 522,50 7,50
Banco Interfín S.A. 514,75 521,00 6,25
Banco Lafise S.A. 515,50 522,00 6,50
Banco Promérica S.A. 514,46 522,46 8,00
Banco Scotiabank de Costa Rica S.A. 514,75 521,00 6,25
Banco Uno S.A. 515,02 522,27 7,25
Financieras Compañía Financiera de Londres Ltda 516,00 521,00 5,00
Corporación Financiera Miravalles S.A. 514,75 521,00 6,25
Financiera ACOBO S.A. 514,69 521,00 6,31
Financiera Cafsa S.A. 515,00 522,00 7,00
Financiera Comeca S.A. 516,25 523,75 7,50
Financiera Multivalores S.A. 514,00 521,00 7,00
Mutuales de Vivienda Mutual Alajuela de Ahorro y Préstamo 514,96 522,00 7,04
Mutual Cartago de Ahorro y Préstamo 514,80 521,50 6,70
Cooperativas Cooperativa COOCIQUE R.L. 515,00 523,50 8,50
Cooperativa COOPEMEX R.L. 515,00 523,50 8,50
Cooperativa CREDECOOP R.L. 515,00 521,50 6,50
Cooperativa Nacional de Educadores R.L. (COOPENAE) 514,77 521,50 6,73
Cooperativa San Marcos R.L. 514,49 522,31 7,82
Casas de Cambio Casa de Cambio Global Exchange 470,89 537,24 66,35
Casa de Cambio Teledolar S. A. 514,96 525,26 10,30
Puestos de Bolsa Puesto de Bolsa Aldesa Valores S.A. 513,75 518,00 4,25
Puesto de Bolsa INTERBOLSA 514,40 523,40 9,00

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PS: I believe Casas de Cambio Casa de Cambio Global Exchange is the company that operates the money exchange at the arrivals area of the airport. There have been frequent posting here about what a rip off they are.

_________________
Pura Vida
Only Irish coffee provides in a single glass all four
essential food groups:
alcohol, caffeine, sugar and fat.
Alex Levine

I believe I am right in assuming when I use an ATM card at a regular bank AMT machine (Cajero Automatico) I get the current day's exchange rate. That is how I have always changed my money when traveling out of the country. My home bank charges me the same thing it does if I use any machine at home other that their own (0.75 per transaction), and I know I'm not getting ripped off by some private money changer. It also eliminates the necessity of carrying around huge amounts of cash.

I will never understand why guys travel with $1000 in their pocket, just to turn around and change it into the coin of the realm at the nearest Casa de Cámbio where, as mentioned, you're pretty much assuring yourself of the worst possible deal.

Delaware Guy wrote:



The rate that is used when you take cash from an ATM is Costa Rica is determined solely by the bank that issued the card. In the past I always found my bank used a rate that was very similar to the rate published by the Central Bank of Costa Rica but I do not know how it will be with the new system.

_________________
Pura Vida
Only Irish coffee provides in a single glass all four
essential food groups:
alcohol, caffeine, sugar and fat.
Alex Levine