Both Visa and Master Card are widely recognized in Panama, as are American Express, Diner’s Club and Discover.  For your safety, carry more than one credit card with you as well as ATM cards.  It’s always wise to let your home country bank know that you will be traveling and that charges from Panama will be occurring on your card.

While the currency of Panama is technically the U.S. Dollar, you will notice a “transaction fee” when you receive your bill.  That will run between 2-3% per transaction.  Also, find out what the ATM fee for cash withdrawals will be from your bank prior to your leaving for Panama. 

It’s always wise to carry cash when traveling in a different country, just in case a credit/debit card is not honored.  Traveler’s Checks aren’t honored in many places, so avoid the cost of purchasing them.  For total safety, use a major credit card for cash withdrawals, just in case no cash comes out of the machine at the end of your transaction!