The currency used in Chile is the peso. Locally this symbol used to denote the peso is the dollar sign $. Each peso can be subdivided to room into 100 centavos and yet centavos have long ceased to be in circulation.
The peso that is in current circulation has been around since 1975. However, pesos of different types were actually the official currency between the years 1817 and 1960.
When the original peso was introduced in 1817 it had to devalue of eight Spanish colonial reales. Each peso was then further subdivided into 8 reales, which meant that it was not a decimal currency. The escudo was also in circulation and this was worth two pesos. The centavos were introduced in 1835 and then in 1851 the real and the escudo coins were taken out of circulation.
In 1851 the peso was set at the official rate of one peso to five French francs. Interestingly, the peso was set against the silver standard not to the gold standard, which is the norm. But, just to confuse things gold coins were also issued but to a different standard than that of the French franc and this situation continued until the gold standard was adopted in 1885, which set the peso against the British pound.
The issuing of pesos continued until 1960 and then in 1975 the second peso was introduced and this is the coin which is still in circulation and used today.
Coins that are currently used are issued in denominations of 1,5, 10, 100, and 500 pesos. Notes which are in circulation are the 500, 1000, 2000, 5000, 10,000 and 20,000 notes.
In Chile you may find that there are some nicknames for both bank notes and coins. These include luca or luka for a $1000 note and gamba for the hundred peso coin.
Bank notes are sometimes referred to by the name of the person depicted on the note. Sometimes the 5000 peso note is called a Gabriela after Gabriela Mistral.
It is quite easy to get hold of Chilean pesos, but you may wish to think about taking some money in the form of US Dollars including some of quite small denominations. Some people take traveller's cheques to Chile and the most well known traveller's cheques can be used quite easily in Santiago but you may find that they are less easy to cash in some of the smaller towns.
Credit cards can be used in most of the cities as well as the larger tourist hotels and some of the larger shops and restaurants. The major credit cards accepted include Visa, MasterCard, American Express and Diner's Club. Some people try to pay exclusively by credit card for the most of their purchases in Chile because they feel that the exchange rate will be higher. However, there is no guarantee of this and you will also have to pay interest on the credit card bill as well as a possible exchange fee. So it may not be worth it.
Prior to setting off for Chile, you should also check whether or not you can use your debit or credit card in Chile and, if you intend to use a debit card it may be worth notifying your bank that you will be using your card in Chile. Recent increases in fraudulent use of debit cards in particular, means that if your bank picks up on any unusual activity within your account, then it may stop your bank card. This can result in having to make a number of lengthy and often very costly phone calls to your bank, to try and resolve this situation. Since the bank is ultimately looking after your interests by ensuring that your card is appropriately used, it will be very hard to blame your bank, if your card has been stopped. However, in practical terms it can be a nightmare to sort out, so the best advice is to notify your bank prior to travel.
ATM machines are widely available in Santiago, so you can withdraw funds here but they are quite rare in other towns and villages, so if you're going outside from Santiago, it's worth making sure that you have enough money with you or travellers cheques.
Chile has, from time to time, suffered from having quite a bad reputation in terms of safety for travellers. However, any travellers planning to visit Chile, will be heartened to learn that Chile is actually one of the safest countries to visit in the whole of Latin America.
Chile has a very low rate of violent crimes, but like anywhere on Planet Earth it is possible that someone may pick your pocket or steal any valuables that you leave lying around. So it makes sense to take some basic precautions.
If you arrive by air, which most travellers do, you'll find that once you pass through customs there really is a mass of people around, which makes it an ideal place for bag snatchers or pickpockets. Some people have reported that their luggage was stolen, so no matter how bleary eyed you are, after a long trip, make sure that you keep an eye on your luggage at all times.
You should also be careful of the sea of taxi drivers who will greet you when you arrive in the Santiago airport. Many of them will not have a licence nor will they be insured, but they can be quite insistent. Be very firm, but polite and make sure that you go to the exit and hail a waiting cab or you use a proper taxi company.
Take the usual precautions such as making sure that you do not wear very expensive jewellery and that at all times you are aware of where your valuables are.
It really is best to leave any large sums of money as well as your plane tickets and your passport in a safe place. If you do need to take them out to prove identification, make sure you place them in a money belt that is securely fastened. Money belts sometimes have a hidden compartment and it can be useful to place valuable documents in this compartment.
At night you are generally safe however, it is usually best not to walk the streets alone at night, particularly if you are a woman. This is especially good advice in some parts of downtown Santiago.
Moving around in Chile is relatively stress free, compared to some other countries. If you are on public transport just make sure that your luggage is with you at all times and if you are taking a taxi then check that the taxi meter is working before you embark on a journey. Sometimes tourists do tend to pay a little more for taxi rides than locals, so just beware. Taxi drivers may not always know where they are going, so sometimes they can get a little lost.
If you are taking a long trip by taxi then it is a good idea to increase a price with the driver before you start. This means that you will both be happy with the figure charged and the whole trip is stress free. However, sometimes the driving itself can be stressful for the passengers.
Chilean people don't tend to look like Latin Americans: they can often look more European than South American. Something like 90 per cent of people who live in Chile are actually fair skinned. This is due to the fact that many, many immigrants such as Germans and French have married native Chileans (or at least had relations with that native Chileans) and this has resulted in many people who are fair, in terms of skin tone.
Chile has a very vibrant and youthful out look. In part, this is undoubtedly due to the fact that it has a very young population. Around 60 per cent of Chilean people are actually under the age of 34. It is also interesting to note that only 10 per cent of the population is aged over 60. So Chile has an excuse for being very young at heart. Generally they are also a very friendly people.
The list of Chile's attractions could actually be quite endless. The mountain range of the Andes separates Chile from its neighbour, Argentina. The Andes has 50 or more or active volcanic mountains and the Andes are renowned for being Chile's most famous attraction.
Santiago is an experience in its own right and there are lots of things to do and see in San Diego or you may wish to go in to the southern part of the country where forests and lakes are abundant. You can even go into the Atacama Desert which is said to be one of the driest deserts in the entire world.
Given that so many of the population are quite young, Chile feels as if it is always having a party, so the night life is also quite fantastic and quite safe as well for people to simply enjoy and let their hair down.
Eating out is a real culinary treat, with lots of Spanish and South American influences making even the most ordinary of meals, seem like a feast. Food and drink and is amazingly good value for money and you can dine very well for only a few pesos.
For those who can't live without a little retail therapy, there are some great places to shop and at whole range of craft type gifts on offer. Leather, woollen items and some jewellery items are particularly good value and extremely well made, despite the relatively low prices.
Chile is a very special place, with a coastline that stretches for 5000 kilometres, as well as one of the most famous mountain ranges in the world. Mix in the cities, forests, rural villages and some great people and it really adds up to a great holiday destination and is definitely worth the long flight there and back.
So make sure you take advantage of all that Chile has to offer: you are bound to enjoy it and find it a very interesting and slightly different place to have a great holiday!