Re:banks and money?
Personally, I believe it is better to pay with pesos. I do, though, always bring about $20 in singles to use as tips for the first few days. You may not get any small-denomination bills when you do your first exchange, so having a wad of singles will get you \"over the hump\" with bellboys, etc. for the first day or so until you accumulate 5p and 10p coins. You can always exchange the singles or use them for tipping once you get back over the border.