American Money

[guest839]

Where is the cheapest place to buy american money - bank?

[mlc2000]

Yes, if u have an acct there, u can get a little lower rate.
For larger purchases, a credit card is best, since you are exchanging only enough $ for the purchase.

[camy47]

If this is for vacation and you are a CAA member, get travellers cheques. CAA usually has a pretty good exchange rate and you can get enough so you don't have to worry about carrying lots of cash around with you. They are free for CAA members.

[lilyg]

I've been purchasing American money at a currency exchange office (called Kingmark).....the one I go to has way lower rates than the banks. Check the phone book for currency exchange offices in your area.

[Eyeman]

Yes, if u have an acct there, u can get a little lower rate.
For larger purchases, a credit card is best, since you are exchanging only enough $ for the purchase.

Like everyother post in this thread, this is bad bad advice. If you use your credit card you are charged 2.5-3%. The credit card company charges you .5-1% and the card issuer charges 2-2.5%

The best way by far to get US money rate is to get if from an ATM machine.

[700mb80min]

The best way by far to get US money rate is to get if from an ATM machine.

....yes but almost all ATM machines i found when travelling charged a fee . i simply went to the bank before i left for most of my cash.

[cko64]

....yes but almost all ATM machines i found when travelling charged a fee . i simply went to the bank before i left for most of my cash.
HSBC charges only $2 per transaction outside of Canada and it is calculated at current exchange rate (most bank charge $3, but Royal bank will increase to $5 on May 2006). Where as when you buy foreign cash from a bank, the bank tacks on 2-3%. So for $500 CAD, you lost $10-15 off the bat.

ATM is always the best way to withdraw cash oversea, then charge with credit card (2.5% spread), then buying cash/traveller cheques from your bank (up to 3% spread). These issues must be discussed to dead on the internet and yet it seems there are still lots of people don't know these basis when travelling.

[any007]

the cheapest way usually is if you have a brokerage account.
move money from your CAD trading account into your USD trading account and they withdraw it.

Or. if you own a canadian stock that trades on the both the TSE and the NYSE or NASDAQ, just sell it on the US exchange and withdraw the money.
That way, you don't even pay currency exchange charges.

[700mb80min]

HSBC charges only $2 per transaction outside of Canada and it is calculated at current exchange rate (most bank charge $3, but Royal bank will increase to $5 on May 2006). Where as when you buy foreign cash from a bank, the bank tacks on 2-3%. So for $500 CAD, you lost $10-15 off the bat.

ATM is always the best way to withdraw cash oversea, then charge with credit card (2.5% spread), then buying cash/traveller cheques from your bank (up to 3% spread). These issues must be discussed to dead on the internet and yet it seems there are still lots of people don't know these basis when travelling.



....great post thx :)

[wju2004]

try setting up an xe.com account. Seems to be a bit cheaper than buying from the bank

[Eyeman]

the cheapest way usually is if you have a brokerage account.
move money from your CAD trading account into your USD trading account and they withdraw it.

Or. if you own a canadian stock that trades on the both the TSE and the NYSE or NASDAQ, just sell it on the US exchange and withdraw the money.
That way, you don't even pay currency exchange charges.

This is true but very inconvenient. If you go on a long trip, you then end up carrying around a lot of cash. The ATM is the best bet.

[CoolEddie]

In my travel experience, ATM and credit card is the best way to go. Travellers' Cheques are probably the worst. Here is a break down of my experiences in the 46 countries I have visited.

ATM: You are usually charged a fee between $3-$5 per transaction depending on your bank and a decent exchange rate. So it's good to take out quite a bit at a time say $200-300. I always carry some in my wallet and some in my suitcase. Another travel tip is bring two debit/credit cards (don't keep in same place) just in case you lose one.

Foreign Exchange: Bad exchange rate and they somtimes also charge a commission. Less likely to charge a commission than banks so good to change small sums especially non-major currencies.

Bank: Decent exchange rate but usually charged pretty higher fees.

Credit Card: Good for making purchases but not for making cash withdrawls. If you do plan to use credit card, it's also a good idea to have a credit on the account if you plan on making withdrawls so that you are not charged interest. Note that in some foreign countries and especially in hotels, they will have an option where they bill you at your home currency. DO NOT take this option as the exchange rate in really bad. Ask them just to bill you in their currency.

Travellers' Cheques: They may be better in the USA and Canada, but when I was travelling in Europe and the Middle East it was a really bad option. Most places did not accept them including some banks. Some would only take VISA Travellers' Cheques some only American Express, etc. Plus they charged a 5% commission on cashing them plus poor exchange rates. So if you get travellers' cheques you end up having to pay the bank's exchange rate, pay the fee for travellers' cheques, then pay the bank in the foreign country to give the travellers' cheques to you in local currency with a bad exchange rate. Once again, this is what I experienced in Europe and is probably not as bad in USA and Canada.

Cash: Always have cash. In some countries it is hard to find an ATM machine but if you are going to a first world nation you should have nothing to worry about. If you are going to more remote countries, it is important to also carry at least one other major currency like US$, GBP, and the Euro with the US$ the most universal. It definitely depends where you are going. In Europe and the Middle East I found Swiss Francs easily exchangable too!

I think that covers it all.

[CoolEddie]

A word of caution I forgot to mention. Make sure your debit card can be used outside the country. Look for the Cirrus logo or the Plus logo on the back of your debit card. PC Financial's debit cards do not work outside Canada.

[randomdef]

In my travel experience, ATM and credit card is the best way to go. Travellers' Cheques are probably the worst. Here is a break down of my experiences in the 46 countries I have visited.

ATM: You are usually charged a fee between $3-$5 per transaction depending on your bank and a decent exchange rate. So it's good to take out quite a bit at a time say $200-300. I always carry some in my wallet and some in my suitcase. Another travel tip is bring two debit/credit cards (don't keep in same place) just in case you lose one.

Foreign Exchange: Bad exchange rate and they somtimes also charge a commission. Less likely to charge a commission than banks so good to change small sums especially non-major currencies.

Bank: Decent exchange rate but usually charged pretty higher fees.

Credit Card: Good for making purchases but not for making cash withdrawls. If you do plan to use credit card, it's also a good idea to have a credit on the account if you plan on making withdrawls so that you are not charged interest. Note that in some foreign countries and especially in hotels, they will have an option where they bill you at your home currency. DO NOT take this option as the exchange rate in really bad. Ask them just to bill you in their currency.

Travellers' Cheques: They may be better in the USA and Canada, but when I was travelling in Europe and the Middle East it was a really bad option. Most places did not accept them including some banks. Some would only take VISA Travellers' Cheques some only American Express, etc. Plus they charged a 5% commission on cashing them plus poor exchange rates. So if you get travellers' cheques you end up having to pay the bank's exchange rate, pay the fee for travellers' cheques, then pay the bank in the foreign country to give the travellers' cheques to you in local currency with a bad exchange rate. Once again, this is what I experienced in Europe and is probably not as bad in USA and Canada.

Cash: Always have cash. In some countries it is hard to find an ATM machine but if you are going to a first world nation you should have nothing to worry about. If you are going to more remote countries, it is important to also carry at least one other major currency like US$, GBP, and the Euro with the US$ the most universal. It definitely depends where you are going. In Europe and the Middle East I found Swiss Francs easily exchangable too!

I think that covers it all.


very very good post. i second everything said.

[gmark2000]

To add to the ATM info, when you withdraw from an ATM the banks use the best interbank exchange rate (the one you see in the financial pages), because the the Canadian bank owes whatever you took out in U.S. and nothing more.

[HighFlyer]

To add to the ATM info, when you withdraw from an ATM the banks use the best interbank exchange rate (the one you see in the financial pages), because the the Canadian bank owes whatever you took out in U.S. and nothing more.
plus a fee of 2-2.5%, at least for BMO.

[clueless]

In my travel experience, ATM and credit card is the best way to go. Travellers' Cheques are probably the worst. Here is a break down of my experiences in the 46 countries I have visited.

ATM: You are usually charged a fee between $3-$5 per transaction depending on your bank and a decent exchange rate. So it's good to take out quite a bit at a time say $200-300. I always carry some in my wallet and some in my suitcase. Another travel tip is bring two debit/credit cards (don't keep in same place) just in case you lose one.

Foreign Exchange: Bad exchange rate and they somtimes also charge a commission. Less likely to charge a commission than banks so good to change small sums especially non-major currencies.

Bank: Decent exchange rate but usually charged pretty higher fees.

Credit Card: Good for making purchases but not for making cash withdrawls. If you do plan to use credit card, it's also a good idea to have a credit on the account if you plan on making withdrawls so that you are not charged interest. Note that in some foreign countries and especially in hotels, they will have an option where they bill you at your home currency. DO NOT take this option as the exchange rate in really bad. Ask them just to bill you in their currency.

Travellers' Cheques: They may be better in the USA and Canada, but when I was travelling in Europe and the Middle East it was a really bad option. Most places did not accept them including some banks. Some would only take VISA Travellers' Cheques some only American Express, etc. Plus they charged a 5% commission on cashing them plus poor exchange rates. So if you get travellers' cheques you end up having to pay the bank's exchange rate, pay the fee for travellers' cheques, then pay the bank in the foreign country to give the travellers' cheques to you in local currency with a bad exchange rate. Once again, this is what I experienced in Europe and is probably not as bad in USA and Canada.

Cash: Always have cash. In some countries it is hard to find an ATM machine but if you are going to a first world nation you should have nothing to worry about. If you are going to more remote countries, it is important to also carry at least one other major currency like US$, GBP, and the Euro with the US$ the most universal. It definitely depends where you are going. In Europe and the Middle East I found Swiss Francs easily exchangable too!

I think that covers it all.

If the traveller's cheques were in local currency already, wouldn't you be only paying for the handling fee of exchanging the cheques for cash?

[fireguy9]

A word of caution I forgot to mention. Make sure your debit card can be used outside the country. Look for the Cirrus logo or the Plus logo on the back of your debit card. PC Financial's debit cards do not work outside Canada.


JUST A FYI,,,,, We used our PC financial debit card in Germany and Austria without a problem,, so they do work.

[Skylite2020]

A word of caution I forgot to mention. Make sure your debit card can be used outside the country. Look for the Cirrus logo or the Plus logo on the back of your debit card. PC Financial's debit cards do not work outside Canada.
I have a PC Financial Debit Card and I've been able to withdraw funds from a bank machine in the US.... :confused:

[randomdef]

I have a PC Financial Debit Card and I've been able to withdraw funds from a bank machine in the US.... :confused:

i was able to use my pc financial card in japan, thailand, cambodia, laos, peru, ecuador, etc....so yeah, the work just fine.

[gmark2000]

This is specifically about getting money in China but I think it's pretty useful for those who'll use the search function in RFD in the future:

There seems to be a lot of confusion about all this, so let's attempt a summary of the money issues.

First of all, it is perfectly possible to travel around China with only an ATM card and/or a credit card, both foreign-issued. Only those who imagine they can swan in to China without thinking ahead will have any difficulty. I've used nothing but an ATM card and the odd bit of foreign cash for small-scale exchanges for several years now, and I don't remember the last time I had to use the cash.

First of all, determine whether your bank card has the Cirrus, Plus, or Aeon logos on them. If it has none of these, then you probably won't be able to use it in China (but things are changing all the time--so if your card has none of these logos nevertheless check its ATM locator web site.) In general Chinese bank machines work with all of these, or with none. Similarly, if foreign credit cards are accepted at all in China it's usually all of Visa, Mastercard, Amex, Diners, and JCB, or none of them.

If your card does have any of these logos, then you will be able to use it. But not just anywhere. Indeed, there are whole provinces of China where (despite the friendly and familiar logos appearing on the screens) no ATM will accept foreign cards, but only domestic ones. On the other hand there are provinces where even tiny mountain towns have ATMs accepting foreign cards. What you need to do is think ahead.

Thinking ahead means first of all looking at the ATM locator sites for the electronic exchange system whose logo appears on your card. Bearing your proposed itinerary in mind, jot down a few addresses. In particular note which towns you plan to visit have NO working ATMs so that you can be prepared. Bear in mind, too, that no one bothers to keep these sites fully up to date. The situation is probably better than it appears.

If you have no list, and no access to the ATM listing site (e.g. via an Internet cafe) then your best bet in most cases is the largest Bank of China you can find. Increasingly other banks are being allowed into the foreign exchange markets and are beginning in a limited way to accept foreign cards, too. But mostly it's still the Bank of China, but only at a limited number of sites.

From their airports onward, Beijing and Shanghai have many machines you can use, and have branches of Citibank and HSBC whose machines will accept just about any card ever invented. If you're landing at these places, then stock up with RMB cash before heading anywhere rural. Remember that even air tickets are more often than not paid for in cash, as are all rail tickets. Bear in mind, too, that ATM cash dispensing limits per transaction vary between Y2000 and Y3000 per transaction. However, machines usually have no problem doing more than one transaction on a single day, and even sequentially. Also, keep your ATM receipts. If you want to exchange any RMB back to hard currency on departure from China you'll need recent receipts for double the amount you plan to reconvert.

The only other issue that arises is one of PIN digits. Sometimes it's claimed that only four-digit PINs will work, and sometimes that only six-digit PINs will. I have had no trouble using either, but I have heard of one bank advising customers to add a couple of zeros to their four-digit pins. Again, if in doubt, ask before you leave home.

The charge you pay for using a Chinese ATM is set by your bank, and may be a percentage of the sum you draw, or a flat fee. Ask before you leave. The card I prefer to use is issued by a Hong Kong bank and charges only Y30 per transaction, making the cost little different from travellers' cheques, but much more convenient, and at a better exchange rate. But some banks are more rapacious.

Carry a small amount of cold hard currency in nice notes. US$ can be exchanged at innumerable banks, as can pounds sterling and euros. In larger cities any hard currency you can think of can be exchanged. But keep the US$ etc. for emergencies, and always look for top-ups of RMB long before you're going to need them, in case you've entered an area of ATM drought. Even in such places all is not lost. If you are carrying Visa, Mastercard, Amex, Diners, or JCB you can obtain a cash advance over the counter at the head branch of the Bank of China in every city. But at 4%, plus whatever your credit card charges you for cash withdrawals, this is for emergencies only.

Western Union also has a vast China network, and emergency transfers of cash by this route are said to be quite feasible, although I've never tried it myself. Details at Western Union's website.

But in short, as long as you think ahead, then there's no trouble travelling in China with just an ATM card.

Peter N-H

[mpt]

What i have found to be a really good way to exchange money is by going into a casino in the US. They typically beat the canadian banks, lately however since the dollar is so good here, it hasn't worked out that way the last time i headed down there.

[lookn_4_deals]

Money Mart's rates are within 2 cents of the exchange and they only charge a $2 transaction fee for any amount. Always better than the bank (Even the staff rate and US bank account rate). Watch out which money mart you go to though because the ones in the GTA are not privately owned and charge a higher exchange rate. The ones outside the GTA such as the one in Mississauga and Brampton usually have better rates. Go to www.moneymart.ca and look for locations around your area and call around.

[TheDude79]

Travellers' Cheques: They may be better in the USA and Canada, but when I was travelling in Europe and the Middle East it was a really bad option. Most places did not accept them including some banks. Some would only take VISA Travellers' Cheques some only American Express, etc. Plus they charged a 5% commission on cashing them plus poor exchange rates. So if you get travellers' cheques you end up having to pay the bank's exchange rate, pay the fee for travellers' cheques, then pay the bank in the foreign country to give the travellers' cheques to you in local currency with a bad exchange rate. Once again, this is what I experienced in Europe and is probably not as bad in USA and Canada.

I think that covers it all.
Good post except that I disagree with the quoted part..... at least in Europe, it's super easy to cash traveller's cheques. Make sure that you buy AMEX cheques (in USD) and go to AMEX locations to cash them/exchange money. You get a good rate, no commissions and an easy transaction (usually with someone who speaks good english). Never rely on Traveller's cheques to complete a transaction at a retail location as many vendors are weary to take non-local 'currency' that isn't easily recognizable. However I've always found them easy to cash at financial institutions or AMEX locations. VBCE (http://www.vbce.info) is a good example of a location that sells cash and cheques at excellent rates, at least here in vancouver.

Another thing is to always make sure you have at least 2 sources of funds that are kept apart from each other (ie don't put all of your cards/ cheques in your wallet). Generally I'll use my ATM card for any trips of more than a week, but I'll carry traveller's cheques in case I get stuck if my ATM card doesn't work. This has happened to me a couple of times due to network problems.