Finances While Abroad

A major question you are likely to have is how much money to bring and in what form. Your fees cover all living and travel expenses during the program including all entry/exit charges between countries when traveling as a group (Any individual travel that involves border crossings will require that the student pay the entry/exit fees.) .You need to cover the following: your travel to and from the program; your required class texts, some of which must be bought in the U.S.; toiletries and personal expenses, such as haircuts; any independent travel you plan for 3-day weekends or other times; and any medical expenses incurred while in abroad that the insurance does not cover up front.

The unit of currency in Mexico is the peso. See the current exchange rate here.

The unit of currency in Guatemala is the Quetzal. See the current exchange rate here.

The unit of currency in Costa Rica is the Colón. See the current exchange rate here.

You likely will need to pay for some medical expenses yourself and then file a claim for reimbursement, and you will have to pay for transportation to appointments with doctors and/or therapists. Given this, the amount of money you will need depends on your health while abroad and your lifestyle:  the number and cost of gifts and souvenirs you purchase, how much you like to go out to the movies or go dancing in clubs, and how much additional travel you plan, as well as how simply or extravagantly you do it. The week after the program ends offers an excellent opportunity to travel, perhaps with family or friends who may be able to visit, or with other program participants.

In the past, most students have spent between US $500 and $1,500. Many students spend U.S. $500-$1,000 while fewer spend U.S. $1,000-1,500. How much you bring obviously depends upon how long you will be there, your own spending patterns and financial capabilities. YOU MUST HAVE AT LEAST $300 USD ON HAND FOR MEDICAL EXPENSES, including medicines for colds, allergies, and other normal, minor illnesses. An office call, for instance, costs about $50. If you do have to pay for medical expenses, make sure to save all of your receipts for when you request reimbursement from the insurance company.

Again, because you will need to pay for medical expenses at the time of treatment, you will need to have a credit card (not debit card) available with at least $1,000 credit available. Hospitals in the region do not take debit cards, and may require a deposit of up to US$1,000. (If your expenses do not total that amount your credit card would be refunded.)

You will have the opportunity to buy crafts and jewelry from several artisan groups, including women’s cooperatives, associated with some of our guest speakers and visits. You will find that because some items are less expensive in Central America, you may feel rich and spend freely and quickly. Beware of this tendency!  Your money will disappear rapidly if you are not careful!

PLEASE CONSIDER BUYING A REFUNDABLE PLANE TICKET IF YOU THINK YOU MAY WANT TO TRAVEL AFTER THE SEMESTER, OR PLAN TO BUY A TICKET WITH SOME TIME AFTER THE SEMESTER ENDS. 

GIVEN COVID, IT IS ALSO WISE TO BUY A PLANE TICKET WITH CHANGEABLE DATES.

Please fill out this budget worksheet to understand how much money to have available while studying abroad:

CGEE recommends bringing cash in U.S. dollars (about $200 USD in small bills like $10, $20, and $50). Try to bring clean bills. Banks will not exchange any bills that are missing pieces, torn or with writing on it in pencil, pen or markers. Look around to find the best exchange rate, or CGEE staff can recommend the best places to change money.

Bring an ATM card with your PIN number so that you can withdraw money regularly from an ATM. If you bring an ATM card make sure it has the PLUS and/or CIRRUS logo. Note that most US banks charge a flat fee to withdraw money from an ATM not associated with their bank. Additionally, some ATMs offer bad exchange rates, and you should click decline exchange rate on ATMs that offer poor exchange rates to receive your bank's exchange rate. Also make sure to call your credit card company/bank to let them know you will be using your card(s) abroad. In Costa Rica you can exchange U.S. currency. 

Most students prefer using their ATM cards to carrying large amounts of cash. If you’d like to bring a Visa card or MasterCard, you will find that many of the fancier stores, hotels and restaurants accept credit cards. A Visa card or MasterCard can be used for cash advances in the local currency at Credomatic offices and some banks, although this can be very costly. Check with your credit card company to see if & what they will change your for foreign transaction fees. Additionally, when paying with card, if you see an option to pay in local currency or USD, always select the local currency. This way, your bank will set the exchange rate instead of the vender, which is almost always better then the vender setting the exchange rate. We strongly urge you to bring an ATM card and to use money belts or body pouches for the bulk of your money while traveling.

If you want a Venmo or Cashapp alternative while traveling, we recommend either PayPal or Wise. Get your first transfer fee-free with Wise using this link: https://wise.com/invite/ata/arianamelissan. Tipping at restaurants is expected, but only at 10-15% for typical service. Often tipping will be expected in other situations, such as when someone helps with a bag, for washing a car window, singing in a restaurant, or for helping with parking.

Traveler’s checks can be extremely difficult and time consuming to cash, the exchange rate will be less than if you exchanged cash or used a credit card, and there are fees for cashing them.  We don’t recommend that you bring them, but if you do, be sure to bring American Express checks, NOT Visa.

Fraud can happen anywhere, but foreigners may be especially susceptible due to not mastering exchange rates, unfamiliarity with tender, and the tendency to spend more money while traveling. Here are a few tips for avoiding scams and fraud, and what to do if you fall victim to fraud.

• Fake bills - ALWAYS check your bills before leaving the bank - count them, and inspect them for anything suspect. DO NOT leave the bank with fake bills, as it is much more difficult to turn in fake bills after leaving the bank premises. If you get fake bills, or what you expect are fake bills, go talk to a teller, and ask them to review the bank footage in necessary. If you do leave the bank with fake bills and do not realize until later, return to the bank. Likely, they will not help you, but it is a necessary step your bank wants to see. Then, call your bank, and explain the situation.

• ATM does not dispense money - If an ATM does not dispense money, talk to the store owner or bank teller. If they do not help, immediately call your banks fraud line to explain the situation. Save the fraud number of your bank in your phone.

• Lost/Stolen cards - most robberies do not happen in a dramatic way - rather your wallet may be stolen without your knowledge, or you may accidently leave it in an Uber and get it back without your cards. If that happens, IMMEDIATELY  call your bank and cancel your cards. It is important to have someone in the US who can help you withdraw money in the event your information is stolen, or better yet, only carry one card at a time so only one card can be stolen at a time. PLEASE CARE FOR YOUR BELONGINGS - if you lose all your cards at the start of the semester, you might be plagued by the annoyance of not having a card for a long time.

• Safe ATMs - the CGEE staff will direct you to ATMs that are safe to use.

Money can be the source of many conflicts during study abroad. We ask that you be conscious of differing financial situations while making plans with your new friends. Try to mix activities that are more expensive with activities that are less expensive, or enjoy spending time together at each others homestays houses. 

Consider the following questions:

1) How much can I afford to spend studying abroad? What sacrifices may I have to make to spend what I want to spend while abroad?

2) How will I make sure I am sticking to my budget while I am abroad?

3) How will I talk to my friends about what I can and cannot afford while abroad? How will I be inclusive to students with different class backgrounds in my semester program when planning activities?

Check out the following comic to explore a little more about activity/trip planning, money, and friendships. https://thewokesalaryman.com/2023/04/06/grad-trip/