Payment Methods and Currency Exchange in Iceland: ISK, Cards, ATMs, and Regulations

Iceland’s official currency is the Icelandic króna (ISK). Most transactions in Iceland are conducted electronically, with widespread acceptance of credit and debit cards, including contactless and mobile payments.

• Currency: Icelandic króna (ISK), currency code: ISK.
• Payment Methods: Credit cards (Visa, Mastercard, American Express), debit cards, and mobile wallets (Apple Pay, Google Pay) are widely accepted. Cash is less commonly used but accepted in most places.
• Contactless Payments: Contactless and mobile payments are prevalent, including at taxis, restaurants, and retail stores.
• ATMs: ATMs are available in cities, airports, and towns. International cards are generally accepted, but check with your bank for compatibility and fees.
• Currency Exchange: Exchange services are available at banks, airports, and some hotels. Banks such as Landsbankinn, Íslandsbanki, and Arion Banki provide exchange services.
• Foreign Currency Restrictions: There are no significant restrictions on bringing foreign currency, but large cash transactions may require documentation.
• Cash Import/Export Limits: Travelers may bring up to ISK 2,000,000 (approx. USD 14,000/EUR 13,000) without declaration. Amounts above must be declared to customs.
• Transaction Fees: Foreign card transactions may incur a fee (typically 1–3%). ATMs may charge additional withdrawal fees.
• Payment Issues: Some rural areas may have limited card acceptance; carry a small amount of cash as backup. Notify your bank before travel to avoid card blocks.
• Regulations: Icelandic Financial Supervisory Authority oversees payment regulations. Traveler advisories are available from the Central Bank of Iceland.