Traveler's Checks In Cuba: Do They Work?

Cuba has two distinct types of currency: the Cuban convertible peso (CUC) and the Cuban peso (CUP). The CUC is an internationally unsupported currency that is pegged to the US dollar, while the CUP is the country's only official currency. Due to restrictions on US tourist dollars entering the Cuban economy, it is generally recommended to bring other currencies, such as euros, British pounds, or Canadian dollars, which can be freely exchanged at CADECA branches and most banks. Credit cards originating in the US will not work in Cuba, and there are limited ATMs available. Traveler's checks are accepted at most major hotels, government-run or chain restaurants, and major attractions, but only if they are payable against banks that are not based in the US. It is also required to have the receipt showing the purchase of traveler's checks, including the number series of the checks.

Traveller's cheques are accepted at major hotels, restaurants and attractions, but you must have the receipt showing that you purchased them

Traveller's cheques are accepted at most major hotels, government-run or chain restaurants, and major attractions in Cuba. However, they are far less readily accepted than credit cards. The same prohibition against US bank-issued tender applies to traveller's cheques. Traveller's cheques issued by Thomas Cook and Visa outside of the US are accepted in Cuba.

To use traveller's cheques in Cuba, you must have the receipt showing that you purchased them, and this receipt must indicate the number series of your cheques. Without this receipt, you will not be able to use your cheques in Cuba. Most banks, CADECA offices, hotels, and businesses charge commissions of around 3% and 4% on weekends for cashing traveller's cheques.

Traveller's cheques from any country are a pain to cash and can only be done in large hotels in big cities

Traveller's cheques are becoming increasingly obsolete, with many former issuers, such as Thomas Cook, Bank of America, Chase, and AAA, having discontinued their traveller's cheque programs or going out of business. Nowadays, credit cards and prepaid debit cards are much more widely used and accepted than traveller's cheques.

In Cuba, traveller's cheques can only be cashed at major hotels, government-run or chain restaurants, and major attractions. They are not accepted everywhere and are much less readily used than credit cards. Additionally, traveller's cheques issued by US banks are not accepted in Cuba. If you are using traveller's cheques in Cuba, your best bet is to use those issued by Thomas Cook or Visa outside of the US.

Moreover, traveller's cheques often come with initial purchase charges and may be subject to additional fees when cashed. They also require you to carry the physical cheque with you, which can be inconvenient and risky if lost or stolen. In contrast, credit cards and prepaid debit cards are more convenient, widely accepted, and offer more protection in case of theft.

Therefore, if you are travelling to Cuba, it is advisable to use credit cards, debit cards, or cash instead of traveller's cheques. Credit cards and debit cards are widely accepted at hotels, car rental agencies, restaurants, and shops in Cuba, although cards issued by US banks may not work. It is always a good idea to bring multiple forms of payment and currencies, such as euros, British pounds, or Canadian dollars, as backup options.

US-issued credit and debit cards do not work in Cuba

However, this is slowly changing, and some American companies have decided to take the risk of being the first to do business on the island. Stonegate Bank, a local Florida bank, has opened an account with the Cuban government, and its cards do work in Cuba, although they have a 3% foreign transaction fee. This will make it easier for American Express and MasterCard to process transactions made by Americans in Cuba, as they have already stated their cards could work there.

For now, travellers to Cuba are advised to bring cash to cover the duration of their trip. Euros, British pounds, and Canadian dollars are recommended, as US dollars are penalised by a 10% surcharge on all money exchange operations.

Cuban pesos can be exchanged legally for CUCs (and vice versa) at CADECA money exchange offices, some banks and many hotels

Cuban pesos can be exchanged for Cuban convertible pesos (CUCs) and vice versa at CADECA money exchange offices, some banks, and many hotels. The official exchange rate is around 24 Cuban pesos to 1 CUC. While opportunities to spend Cuban pesos may be limited, exchanging a small amount of CUCs into pesos after arriving in Cuba may be a good idea. Some meals, movie tickets, and other goods and services may be purchased in Cuban pesos, resulting in substantial savings. However, vendors often try to insist that tourists pay in convertible pesos, often at a one-to-one rate of exchange.

It is important to note that Cuban pesos are not convertible outside of Cuba, and any remaining CUCs should be exchanged back into your preferred currency before leaving the country. Additionally, there is a 10% surcharge on exchanging US dollars, so it is recommended to carry other currencies such as euros, British pounds, or Canadian dollars.

It is illegal to change money anywhere except for authorised entities

Cuba has a complex currency system, with two distinct types of currency in circulation: the Cuban convertible peso (CUC) and the Cuban peso (CUP). The CUC is an internationally unsupported currency that is pegged to the US dollar, while the CUP is the national currency. Both currencies are divided into 100 centavos, and both use the "$" symbol, which can be confusing for tourists.

When exchanging money in Cuba, it is important to only use authorised entities such as banks and the official foreign currency exchange bureaus (CADECA). It is illegal to change money anywhere else. There is an informal or "black market" for currency exchange in Cuba, but this is not a recommended option as it is not legal.

At CADECA branches and banks, you can exchange US dollars, euros, British pounds, and Canadian dollars. It is important to bring new, unmarked bills as Cuban banks may refuse to accept bills with tears or markings. Credit and debit cards issued by US banks do not work in Cuba, so it is advisable to bring enough cash to cover your expenses.

When exchanging money, it is recommended to only change a small amount at a time, as you will likely encounter situations where you need to use both CUC and CUP. For example, you may pay for a drink in a bar in CUP and then leave a tip in US dollars or euros. It is also a good idea to have some small bills for tipping and incidental purchases.

In summary, when travelling to Cuba, it is important to be aware of the country's complex currency system and to only exchange money at authorised entities such as banks and CADECA offices. Cuba is a predominantly cash-based economy, so bringing enough cash to cover your expenses is essential.

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