This is a very practical decision that will save you real money in fees and exchange rate markups. Let me break down the options.

If you have temporary or permanent residency:

You can open an account at any major Mexican bank. I usually recommend BBVA (Bancomer) because they have the best mobile app, the most ATMs nationwide, and a simple opening process. You will need your passport, residency card, proof of address (a utility bill or bank statement with your Mexican address), and an RFC. Note: some BBVA branches require the RFC, others don't. Santander is also solid and sometimes more flexible with documentation.

Hey Banco, BBVA's digital banking arm, lets you open an account entirely online if you already have a CURP. No minimum balance required and competitive exchange rates.

If you are on a tourist visa:

Intercam is what I recommend most often to clients in your situation. They can open a USD-denominated account with just your passport. There is a minimum $1,000 USD deposit. Great option for receiving international transfers. Some BBVA branches will also open an account with just a passport, though this varies by location.

Digital alternatives worth considering:

Wise (formerly TransferWise) can give you a Mexican CLABE number and a debit card with excellent exchange rates. Mercado Pago will give you a digital account and card with just a Mexican phone number.

In the meantime, while you set up a local account: use a Wise or Revolut debit card for purchases, near-zero exchange rate markup. If you have a Schwab account, Scotiabank ATMs allow fee-free withdrawals. Costco accepts US Visa cards at favorable exchange rates.

Budget $500-3,000 MXN for initial account opening fees and minimum balance requirements. Most accounts waive monthly fees if you maintain the minimum balance.