Why do we have to pa in u.s money

[Rob]

I think JRob's point is valid. It costs a fee to convert currency. Someone who has already paid a fee to convert to JA will pay another fee to convert that JA to U.S.. That being the case it makes sense to have some US currency to use at those locations that insist on charging in US dollars.

It is illegal for any Jamaican business to "insist on charging in US dollars." They MUST accept Jamaican dollars. As a convenience, they can accept other currencies, but they can in no way insist on charging in US dollars.

The reason some businesses use US$ prices is that the US$ is currently the most stable currency. As Mangogirl pointed out, if they had their prices in CND$ they would have to change it daily (probably a slight exaggeration, but it does make the point). Same is true for the Jamaican dollar. The JA$ fluctuates to the point that prices would need to be changed too often for most businesses. I am sure that frequent visitors have seen menus in the smaller places that have chalk board prices or printed menus with the prices taped over with the new prices. Their menus are often printed with no prices and the prices are just "taped" in....

[Craig123]

It is illegal for any Jamaican business to "insist on charging in US dollars." They MUST accept Jamaican dollars. As a convenience, they can accept other currencies, but they can in no way insist on charging in US dollars.

That's very true Rob and thanks for pointing that out. What I should have said was they insist on PRICING in US dollars. My point is that another "conversion" will happen when changing the US price to a JA price. You can bet the tourist will come out on the short end of that "conversion" every single time.

[Crusher]

The only way for this to improve in Canada is by increasing the main lending rate and for oil prices to improve. Both of which will cost Canadians more money than the extra costs for travel we are experiencing. We made the decision to not have a summer vacation as we usually would do a weekend in Vegas and concentrate on getting our funds together for Negril. There really is no other place I would rather be in January. So we are going to suck it up, wait until sometime in mid September to start looking at flights(that's when they went down last year) and hope we catch a break on the flights. If not we will take our medicine and eat more in the room.

[Rob]

That's very true Rob and thanks for pointing that out. What I should have said was they insist on PRICING in US dollars. My point is that another "conversion" will happen when changing the US price to a JA price. You can bet the tourist will come out on the short end of that "conversion" every single time.

Tourist rarely if EVER come out on the short end of the conversion rate. The current rate at the Cambio today was 114.7 to 1 (JA$ to US$). For ALL the places charging LESS than 114.7 to 1, the tourist as well as Jamaicans are receiving a "local discount" by paying in Jamaican currency. I know of no restaurant, bar or hotel charging even 114.8 to 1 or more. The tourist, by paying in Jamaican, is ALWAYS getting the LONG end of the "conversion" every single time.

[Craig123]

The current rate at the Cambio today was 114.7 to 1 (JA$ to US$).

Despite apparently knowing the cambio rate, for some reason establishments don't bother to post the current cambio rate. Why not a little full disclosure? Just saying

[Rob]

Despite apparently knowing the cambio rate, for some reason establishments don't bother to post the current cambio rate. Why not a little full disclosure? Just saying

Craig123,

The average business in Negril is not a Cambio, and does not and cannot legally operate as one. Their only requirement for "full disclosure" is to let you know what rate, if any, they are giving for foreign currency. They are not required to accept foreign currency at all. It is done as a convenience to their clients.

The current Cambio US$ rate is 114.7 to 1 - so a us$10 dinner, if paid in US$, in current cambio rates would be Ja$1147. If the restaurant has an exchange rate at 110 to 1, which many are doing to keep the conversion simple, you are paying Ja$1100 for that same dinner. Ja$1100 is LESS than Ja$1147. The tourist and local paying in Jamaican currency are getting the better deal than paying in US$, although it only works out to be about 47 US cents.

To make it very simple, a popular bar on the beach charges us$2.50 or Ja$250 for a beer. Exchange your us$20 at the Cambio and you get Ja$2294 back. US$20 at the bar will buy you 8 beers with no change. Ja$ will buy you 9 beers and have Ja$44 left over. Once again, paying in Jamaican currency comes out ahead for both tourists and locals.

I have never heard any tourist or local getting a "worse deal" by paying in the local Jamaican currency at any bar or restaurant.

[Craig123]

Sorry that I seem to have struck a nerve. I always pay in ja. Remember that not everyone comes with US cash which adds another layer to the conversion. Needing to convert a U.S. price to ja and then the ja to ca for a Canadian perspective IS a bit of a pain. It's just as simple as that.

[Rob]

Sorry that I seem to have struck a nerve. I always pay in ja. Remember that not everyone comes with US cash which adds another layer to the conversion. Needing to convert a U.S. price to ja and then the ja to ca for a Canadian perspective IS a bit of a pain. It's just as simple as that.

Criag123,

You are not striking a nerve, I am just trying to correct inaccuracies. In your first post you state some businesses here "insist" on being paid in US$. That is illegal. ALL Jamaican businesses must accept Jamaican dollars. With about 70% of all visitors to the island being from the US$, bills are often presented in US$ as a convenience to 70% of Jamaica's visitors. If the JA$ amount is not on the bill, just ask them for it as you intend to pay in Jamaican dollars. We deal with this often in bars or restaurants in other parts of the island. And yes, they assume Lisa/Bnewb is American.

You then say that if a visitor pays in Jamaican currency they always get the "short end". That is not accurate. If a visitor or local pays in the Jamaican dollar, they never get the "short end". Visitors and locals will always get the best value possible by paying in Jamaican dollars.

Now about this extra "layer" of conversion for Canadians. Lisa is Canadian understands the Canadian perspective intimately. There is no need for any non-American to have any US$ on them at any time. Canadians and visitors from the European Union, Britain, Russia, Japan, Cayman Island, Mexico, Brazil and even Greece (grin), etc. can change their local currency at the cambio or bank into the Jamaican local currency and get the best deal possible.

You admit you always pay in JA$. That is smart advice for everyone to follow as paying in any other currency you will not get the going cambio/bank rate. The exchange rate you get from the bar or restaurant will have a convenience charge as businesses are doing this as service for their clients and not acting as a cambio.

[Accompong]

Darn it! I was planning to bring my Drachmas and pay for things on my next visit and now you tell me paying in Jamaican Dollars in Jamaica is a better deal? Who would have thunk it??


Just a joke!