What Money is Used in Guatemala? Your Comprehensive Guide

The official currency of Guatemala is the Guatemalan Quetzal (GTQ). It’s been the country’s monetary backbone since 1925, replacing the Guatemalan Peso. The Quetzal is divided into 100 centavos, and its name is derived from the national bird of Guatemala, the resplendent Quetzal, a symbol deeply embedded in the nation’s history and culture. While the Quetzal reigns supreme for most transactions, understanding its nuances, usage, and related financial aspects is crucial for anyone traveling to or doing business in Guatemala.

Understanding the Guatemalan Quetzal

The Quetzal, often abbreviated as “Q,” comes in a variety of denominations for both banknotes and coins. Familiarizing yourself with these will make your transactions smoother and less prone to confusion.

Banknotes

Guatemalan banknotes are colorful and feature prominent historical figures and national symbols. The most common denominations you’ll encounter are:

• Q1: Although still legal tender, it’s becoming increasingly rare to see these in circulation.
• Q5: Features General Justo Rufino Barrios, a former president known for his liberal reforms.
• Q10: Depicts Miguel García Granados, another significant figure in Guatemalan history.
• Q20: Shows Mariano Gálvez, another former president who promoted education and legal reforms.
• Q50: Features the image of Tecún Umán, a legendary Mayan warrior who fought against the Spanish conquistadors.
• Q100: Depicts Bishop Francisco Marroquín, an important figure in the early history of Guatemala.
• Q200: The highest denomination, featuring Rafael Landívar, a Jesuit priest and poet.

Coins

Guatemalan coins are also readily used for smaller transactions and come in the following denominations:

• 1 Centavo: Very rare in circulation today.
• 5 Centavos: Small and often used for exact change.
• 10 Centavos: Another common coin, often used in markets and smaller establishments.
• 25 Centavos: A widely used coin, facilitating everyday purchases.
• 50 Centavos: Less common than the other centavo denominations.
• Q1: A bimetallic coin featuring the national bird, the Quetzal.

Using US Dollars in Guatemala

While the Guatemalan Quetzal is the official currency, the US Dollar (USD) is widely accepted, especially in tourist areas, larger hotels, and some businesses catering to international travelers. However, it’s crucial to be aware of a few things:

• Exchange Rates: Always be mindful of the current exchange rate between USD and GTQ. Businesses accepting USD will often set their own exchange rates, which may not be the most favorable for you.
• Change: Don’t expect to always receive change in US Dollars. You’ll likely receive change in Quetzales.
• Small Denominations: Carrying smaller denomination USD bills (e.g., $1, $5, $10) is highly recommended, as larger bills may not be easily accepted, especially by smaller vendors or in rural areas.
• Authenticity: Be cautious about accepting US Dollar bills that appear damaged or counterfeit.

Exchanging Currency

Exchanging currency is a common need for travelers. You have several options in Guatemala:

• Banks: Banks generally offer the most reliable exchange rates, but they may have longer lines and require identification.
• Hotels: Some hotels offer currency exchange services, but their rates are often less favorable than those offered by banks or official exchange houses.
• Exchange Houses (Casas de Cambio): These are a convenient option, often offering competitive rates and faster service compared to banks. Look for reputable exchange houses with clear displays of their exchange rates.
• ATMs: ATMs are widely available in cities and tourist areas, dispensing Quetzales. Check with your bank about international transaction fees and withdrawal limits.
• Airports: Airports offer currency exchange services, but the rates are usually the least favorable. Exchange only a small amount at the airport for immediate needs.

Credit Cards and Debit Cards

Credit and debit cards are accepted in many establishments, particularly in larger cities, tourist destinations, and major hotels and restaurants. However, relying solely on cards is not advisable, especially when traveling to smaller towns or rural areas. Visa and Mastercard are the most widely accepted cards.

Important Considerations for Card Usage

• Inform Your Bank: Notify your bank about your travel plans to Guatemala to avoid having your card blocked due to suspected fraudulent activity.
• Transaction Fees: Be aware of international transaction fees charged by your bank for using your card in Guatemala.
• Security: Take precautions to protect your card information and be vigilant against card skimming, especially at ATMs.
• Cash is King: Always have a sufficient amount of cash on hand, especially when visiting smaller towns and markets where card payments may not be accepted.

Budgeting for Your Trip to Guatemala

Guatemala can be a relatively affordable travel destination, but effective budgeting is essential.

• Accommodation: Accommodation options range from budget-friendly hostels to luxury hotels. Prices vary depending on location and amenities.
• Food: Eating at local markets and smaller restaurants can significantly reduce your food expenses.
• Transportation: Public transportation, such as buses (chicken buses), is a cost-effective way to travel between cities. Taxis and private shuttles are more expensive but offer greater convenience.
• Activities: Entrance fees to attractions and tours should be factored into your budget.
• Bargaining: Bargaining is common practice in markets and when negotiating prices for transportation.

FAQs About Money in Guatemala

Here are some frequently asked questions about money in Guatemala:

1. Can I use Euros in Guatemala?

While some establishments catering specifically to European tourists might accept Euros, it’s not common. It’s best to exchange Euros for Quetzales or US Dollars.

2. Is it better to exchange currency before I arrive in Guatemala?

Generally, it’s preferable to exchange currency upon arrival in Guatemala to get better exchange rates. However, having a small amount of Quetzales or US Dollars for immediate expenses is advisable.

3. Are ATMs safe to use in Guatemala?

ATMs are generally safe to use in tourist areas and cities, but it’s essential to be aware of your surroundings and protect your PIN. Avoid using ATMs in isolated or poorly lit areas.

4. What is the best way to carry money in Guatemala?

A combination of cash and cards is recommended. Keep a limited amount of cash readily accessible and store the rest securely, such as in a money belt or safe.

5. Is tipping customary in Guatemala?

Tipping is customary in Guatemala, especially in restaurants and for services such as taxi rides and guided tours. A tip of 10-15% is generally appreciated in restaurants, provided a service charge isn’t already included.

6. What should I do if my card is lost or stolen in Guatemala?

Report the loss or theft to your bank immediately and cancel your card. File a police report and obtain a copy for your records.

7. Are there any restrictions on bringing money into or out of Guatemala?

There are no restrictions on the amount of money you can bring into or out of Guatemala, but you must declare any amount exceeding USD 10,000 or its equivalent.

8. Can I use traveler’s checks in Guatemala?

Traveler’s checks are not widely accepted in Guatemala and can be difficult to cash. It’s best to rely on cash and cards instead.

9. What is the average exchange rate between USD and GTQ?

The exchange rate fluctuates, but as of late 2024, it generally hovers around 7.7 to 7.9 Quetzales per US Dollar. Always check the current exchange rate before exchanging currency.

10. How much cash should I bring to Guatemala?

This depends on your travel style and duration of your trip. For a two-week trip, bringing around $500-$1000 USD to exchange into Quetzales would be a reasonable starting point, adjusted for your planned activities and accommodation.

11. Are there any hidden fees I should be aware of when using ATMs in Guatemala?

Yes, be aware of potential international transaction fees charged by your bank, as well as fees levied by the ATM itself. These fees can vary depending on the bank and ATM network.

12. How can I avoid currency exchange scams in Guatemala?

Exchange currency only at reputable banks, exchange houses, or ATMs. Be wary of individuals offering to exchange currency on the street, as these are often scams. Always count your money before leaving the exchange counter.

Understanding the nuances of the Guatemalan Quetzal, along with the acceptance of US Dollars and best practices for currency exchange, card usage, and budgeting, will significantly enhance your travel experience in Guatemala. By being informed and prepared, you can navigate the financial aspects of your trip with confidence and enjoy all that this beautiful country has to offer.