The Nicaragua Cash Guide

Planning a trip to Nicaragua is exciting, but navigating the local currency can often be the first source of stress. Should you bring US Dollars (USD)? Where should you exchange money? And what about those notorious ATM fees?

At Hola Hola Tours, we believe your adventure should start the moment you step off the plane, not when you struggle at an ATM. As your local expert, we’ve put together the ultimate cash guide to Nicaragua, ensuring you save money, stay safe, and always have the right cash for your journey.

Navigating Nicaragua Currency: Dollars vs. Córdobas

Nicaragua’s official currency is the Córdoba (NIO), but the US Dollar (USD) is widely accepted throughout the country. Understanding when and where to use each is key to maximizing your spending power.

Where to Use US Dollars (USD)

• Tours and Hotels: Major hotels, hostels, and established tour operators (like Hola Hola Tours!) gladly accept USD, often listing their prices in US Dollars. Fact Check: Paying for large items (like tours, private transport, or accommodation) in USD is generally the most straightforward option.

• Large Purchases: Restaurants in tourist areas (Granada, San Juan del Sur) and larger supermarkets will accept dollars.

• The Caveat: While accepted, paying with USD often results in change being given back in Córdobas, and the exchange rate used by the vendor may be slightly unfavorable.

The Rule of Thumb for Using Córdobas (NIO)

The Córdoba is king for daily life and smaller transactions. Always use Córdobas when:

• Street Food & Markets: Buying vigorón or quesillo from a street vendor.

• Local Buses & Taxis: Paying for shared transport or short taxi rides.

• Small Shops: Any transaction under $10 USD.

• Best Rate: You always get the best, official exchange rate when paying in Córdobas, as opposed to relying on a vendor’s approximation.

Expert Tip: Keep a small stash of Córdoba bills in small denominations (20s, 50s, and 100s) for market vendors and tipping. This is crucial as small operators rarely have change for a 500 or 1,000 Córdoba bill.

Smart Withdrawal Strategies: Avoiding Nicaragua ATM Pitfalls

While credit cards are accepted in large stores, cash is king in Nicaragua, especially when traveling through local areas or paying your final tour balances to local operators.

Which ATMs to Trust (and Why)

ATM skimming is a risk in any country. To stay safe and minimize fees, follow these guidelines:

BAC Credomatic

Most reliable, found in every major city (León, Granada, Managua).Offers both USD and NIO withdrawals. Fees can be high, but the ATMs are reliable.Use First: Often located inside or adjacent to major shopping centers with security.

Banco Ficohsa

Less common, but good availability in Managua and León.Generally a reliable network.Good Alternative: Use if BAC is out of service or unavailable.

Banpro

Widespread coverage, even in smaller towns.A common choice, but always check the machine for signs of tampering before using.Use in Rural Areas: Reliable for getting cash when other major banks are absent.

Crucial Safety Fact:

Never use a standalone, unprotected ATM on the street or in a poorly lit area. Only use ATMs inside banks, supermarkets, or well-established commercial centers.

The ATM Fee Strategy

Nicaraguan banks charge a fee for foreign cards (often between $3 and $5 USD per transaction). Your home bank will charge an additional fee.

• Withdraw Large Amounts: To save on fees, withdraw the maximum daily limit (usually around $250–$300 USD) once or twice, rather than multiple small withdrawals.

• Choose Córdobas at the ATM: When given the choice, always select "Withdraw in Local Currency (NIO)" rather than USD. This prevents your bank and the Nicaraguan bank from both applying an unfavorable exchange rate—a process known as Dynamic Currency Conversion (DCC).

Exchanging Money Safely: Airport vs. Banks

While it's convenient to exchange money immediately, the exchange rate at the airport is often the worst.

Managua (MGA) Airport

Very poor exchange rate, high convenience. Avoid for Bulk: Only exchange a small amount ($20–$50 USD) to cover your immediate transport costs.

Local Banks 

(BAC, Banpro) Official, fair rate, maximum security. The safest and most reliable way to exchange large sums. Bring your passport.

'Coyotes' 

(Street Exchangers) Often offer a slightly better rate, but high risk of fraud/theft. Never Use: The risk of receiving counterfeit currency is not worth the slight saving.

Tipping, Haggling, and Daily Budgeting

Being prepared with small bills makes daily life significantly easier and shows respect for the local economy.

Tipping in Nicaragua

Tipping is expected in certain services, but cash is always required.

• Restaurants: 10% service charge is often included ("propina"). If not, 10% is standard.

• Tour Guides: A standard tip is $5–$10 USD per person, per day for excellent service, especially on multi-day tours.

• Drivers/Taxi: Not mandatory, but often appreciated, especially for long drives. Round up the fare or add $2–$5 USD for great service on a private transfer.

Haggling and Pricing

• Tours and Hotels: Prices are generally fixed and non-negotiable.

• Taxis: Always agree on the fare before you get in the taxi.

• Markets (Mercados): Haggling is expected and part of the fun, but be respectful.

Ready to Go? Let Us Handle the Rest!

By following this guide, you’ll be prepared for any financial transaction on your trip. The best way to manage your cash is to minimize the daily logistics—and that's exactly where Hola Hola Tours steps in.

Whether you're volcano boarding or exploring colonial cities, we ensure your transport and major activities are pre-arranged. Remember, you only pay the remaining 85% of your tour package directly to the local operator in cash, a fair and transparent process that puts money back into the local community.

Focus on the adventure, not the logistics.

Explore our seamless, organized tours today and let us take care of the heavy lifting!