Is cash still widely used?
Almost never. Iceland is a global leader in cashless payments. Cards are accepted at petrol stations in the highlands, roadside hot dog stands, guesthouses in the Westfjords, and everything in between. Carrying cash is genuinely unnecessary.
ATMs and withdrawing cash
ATMs are available in Reykjavik and larger towns. Landsbankinn and Íslandsbanki machines accept foreign cards.
- Fees are around 500 ISK per withdrawal for foreign cards
- ATMs are rare outside Reykjavik and the Ring Road towns
- Not needed — cards work everywhere
Card acceptance
Excellent. Visa and Mastercard are accepted universally. Contactless is standard. Iceland has one of the world’s highest card-per-transaction rates.
Tips for travelers
- Cards are sufficient for the entire trip including the highland F-roads
- Iceland is extraordinarily expensive — budget carefully
- Some highland huts require advance booking and may be card-only
- Tipping is not customary in Iceland