Credit Cards with No Foreign Exchange Fee

[phd1969]

My AMEX charges 2.2% for purchases made in foregin exchanges. Just wondering if there are cards that have no such fee.

[Prospero]

My AMEX charges 2.2% for purchases made in foregin exchanges. Just wondering if there are cards that have no such fee.

Not that I am aware of. The lowest commission fee I know of is Desjardins Visa at 1.8% for all their cards followed by Citibank at 2% and American Express at 2.2%. Most other lenders in Canada charge 2.5%.

[Aske001]

I've looked into it before as well, and didn't find any. FYI, the international debit card networks also charge you a similar exchange fee if you withdraw cash in another country from a local bank machine. This is quite a ripoff considering that they're already getting a bank exchange fee averaging 1.5%, and a merchant fee averaging 2.5 - 3 %.

Also take note that this year the major credit cards have also changed their policy so that they charge the exchange fee both ways on a cancelled transaction rather than fully refunding it. So let's say you put an advance deposit of US$100 on something on your credit card, then pay cash and have them reverse the original charge. Your credit card company will charge you $5 for the original transaction and the reversal.

Ways of getting around this:
1. Get a US$ credit card for US$ transactions. You pay a fixed annual fee of $45 - $90 per year, but it can save you about 4% - worth it if you travel a lot or buy a lot of stuff from the U.S.. Account payments can be incovenient though, since most Cdn banks have no mechanism to let you pay off your US$ credit card from a US$ account in the same bank!
2. Carry cash and pay cash. Riskier, and every country has varying silly restrictions on how much cash you can carry, designed to prevent "off the books" transactions like money laundering and drug dealing.

[st7860]

My AMEX charges 2.2% for purchases made in foregin exchanges. Just wondering if there are cards that have no such fee.

Get a US Dollar credit card from CIBC or TD Bank.


Also there is no restriction on the amount of cash you can carry to and from the USA. However, you do need to report the amount to the government if it is over $10,000.

[PC-stuff]

...
1. Get a US$ credit card for US$ transactions. You pay a fixed annual fee of $45 - $90 per year, but it can save you about 4% - worth it if you travel a lot or buy a lot of stuff from the U.S.. Account payments can be incovenient though, since most Cdn banks have no mechanism to let you pay off your US$ credit card from a US$ account in the same bank!
....

Both RBC (visa) and Citibank (mastercard) US $ credit cards can be paid automatically (or online) with a TD US $ bank account. I would guess TD's own $ US card would work just as well.

BTW : You may be able to get the annual fee waived in the 2nd year on if you are
a "good customer".

[st7860]

if you live near the US border, you can go to the Bank of America or USBank and get an ordinary checking account. Those two banks(border branches)(and most any bank, including small one) will EASILY open accounts for Canadians. a SOCIAL SECURITY NUMBER is not needed, you simply sign some 'W' forms stating you are not a US person. You can use your CANADIAN mailing address.

Within 1 or 2 weeks, they will courier you a VISA check card that you can use for online purchases. since its a USD card, there is no exchange fee.

WARNING: Bank of America does not do credit checks(they only check to see if you bounced a check anywhere), but SMALLER US banks do check your credit history.

[Aske001]

Both RBC (visa) and Citibank (mastercard) US $ credit cards can be paid automatically (or online) with a TD US $ bank account. I would guess TD's own $ US card would work just as well.

I asked TD that very question only a few months ago when I was looking for a new US$ card, and they said "No, you can't pay your US$ TD Visa card directly from your US$ TD bank account.", although they offered to do the transaction manually for me if I called them up and asked nicely.

So why on earth would they let you pay RBC and Citibank online, but not their own card?? Have you actually done this?

[tkyoshi]

if you live near the US border, you can go to the Bank of America or USBank and get an ordinary checking account. Those two banks(border branches)(and most any bank, including small one) will EASILY open accounts for Canadians. a SOCIAL SECURITY NUMBER is not needed, you simply sign some 'W' forms stating you are not a US person. You can use your CANADIAN mailing address.

Within 1 or 2 weeks, they will courier you a VISA check card that you can use for online purchases. since its a USD card, there is no exchange fee.

WARNING: Bank of America does not do credit checks(they only check to see if you bounced a check anywhere), but SMALLER US banks do check your credit history.

Just keep in mind that it's NOT a credit card, but works just like one. As long as you have money in your account you're good to go.

[ALsat]

I asked TD that very question only a few months ago when I was looking for a new US$ card, and they said "No, you can't pay your US$ TD Visa card directly from your US$ TD bank account.", although they offered to do the transaction manually for me if I called them up and asked nicely.

So why on earth would they let you pay RBC and Citibank online, but not their own card?? Have you actually done this?

I don't have a USD CC but I have 2 USD accounts.

I don't understand the principle behind their not allowing USD CC payments... If the USD account is a chequing account then theoretically it should work, no?

[faizalm]

if you live near the US border, you can go to the Bank of America or USBank and get an ordinary checking account. Those two banks(border branches)(and most any bank, including small one) will EASILY open accounts for Canadians. a SOCIAL SECURITY NUMBER is not needed, you simply sign some 'W' forms stating you are not a US person. You can use your CANADIAN mailing address.

Within 1 or 2 weeks, they will courier you a VISA check card that you can use for online purchases. since its a USD card, there is no exchange fee.

WARNING: Bank of America does not do credit checks(they only check to see if you bounced a check anywhere), but SMALLER US banks do check your credit history.

say if i live in far from the US border and i travel alot to US, will i still be able to get the checkcard from bank of america?

and i believe it works like normal cheqing account (what u put in is what u get)... correct?

[jerryhung]

I asked TD that very question only a few months ago when I was looking for a new US$ card, and they said "No, you can't pay your US$ TD Visa card directly from your US$ TD bank account.", although they offered to do the transaction manually for me if I called them up and asked nicely.

So why on earth would they let you pay RBC and Citibank online, but not their own card?? Have you actually done this?

That's what TD told me too, can't pay USD CC with TD USD Chequing account (which is stupid)

Yes, my question too, are you sure you can pay RBC/Citi USD CC from TD?
Or you were with REAL TD US Account (ie. TD Waterhouse US division), which is not open to new clients now?
That one is true USD account in USA (vs. USD account in Canada)

[st7860]

say if i live in far from the US border and i travel alot to US, will i still be able to get the checkcard from bank of america?

and i believe it works like normal cheqing account (what u put in is what u get)... correct?

,yes it works like a prepaid checking account. and if you use Bank of America, Scotiabank ATM's in Canada have FREE withdrawals because they joined an alliance with BoA.

You can live far from the US border too. the Bank of American or other border banks don't care. I just mentioned 'close to the border' because most people wouldnt want to drive so far just to go to their home branch. But basically border banks will open accounts for Canadians anywhere with a Canadian Address whether your mailing address is near the border or not. You just have to sign some "W Papers" to show the IRS you're not an American.

[PC-stuff]

I asked TD that very question only a few months ago when I was looking for a new US$ card, and they said "No, you can't pay your US$ TD Visa card directly from your US$ TD bank account.", although they offered to do the transaction manually for me if I called them up and asked nicely.

So why on earth would they let you pay RBC and Citibank online, but not their own card?? Have you actually done this?

Both cards are set up as autopay out of my TD bank US $ chequing account in Canada.

You may be right about online payment. It looks like if I paid each month online myself, then the $ will come out of my CDN $ chequing accnt.
I'll ask 'em next time I'm there.

Q: If one opens an account at a border bank in the US can one then get a credit card from the same bank?

[tkyoshi]

Both cards are set up as autopay out of my TD bank US $ chequing account in Canada.

You may be right about online payment. It looks like if I paid each month online myself, then the $ will come out of my CDN $ chequing accnt.
I'll ask 'em next time I'm there.

Q: If one opens an account at a border bank in the US can one then get a credit card from the same bank?

It's hard to say because to qualify for a US Credit card you really need to have a SSN. However it's not impossible, you just need to find the right person to do it.

[NoahVail]

say if i live in far from the US border and i travel alot to US, will i still be able to get the checkcard from bank of america?

I'm going to try and do exactly that the next time I'm in Blaine, Washington (in a couple of weeks). I'll post how it works out. The CSR from BofA said it would be no problems as long as I have a passport, driver's license and any current credit card, but must be done in person.