Personal Finance

US$ ABM withdrawal in Toronto

  • Last Updated:
  • Jun 20th, 2017 7:40 am
[OP]
Member
User avatar
Mar 27, 2011
356 posts
151 upvotes
Toronto

US$ ABM withdrawal in Toronto

Hi RFDers,

I have a foreign US$ account and I'm trying to withdraw US$ in Toronto.

I know there are ABMs that allow you to withdraw US$ (CIBC, RBC, etc.), but what I notice is that they first convert to CAD then give you the US$?

This means I will lose out on the currency re-conversion.

I really do not want to make trips across Niagara just to withdraw some US$.

Does anyone have alternatives they can suggest?

Wire transfer will not work for me since I'm with Tangerine...

Thank you!
5 replies
Member
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Oct 19, 2016
200 posts
62 upvotes
Toronto
Depends on how much you are planning to convert... if its just a small amount like $100, the cost is probably small... definately not worth driving to niagara...
Deal Expert
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Jan 27, 2004
35800 posts
1985 upvotes
Toronto
Bmo and td have usd+cad divisions that link up with each other. Be patient with staff as its somethinf that rarely comes up.

But if you have a bmo harris account & a bmo cad based account... you can switch money between them easily.

Its worth it if you have ties with both us and canada. Makes life easy when using small amounts.


Butttt you have to pay to play. No free services for these types of accounts... unless you maintain a minimum balance.

This is one of those rarebthings where retail banking @ a b&m bank is actually better.

Also if you have a usd account at a b&m bank... you could cash usd chq's from your usd account instantly. But only if you see the bank in person enough that they know and trust you. It helps to hold some other investments or products.
Deal Fanatic
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Aug 8, 2012
8700 posts
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BC
gekaizer wrote:
Jun 19th, 2017 8:02 am
Hi RFDers,

I have a foreign US$ account and I'm trying to withdraw US$ in Toronto.

I know there are ABMs that allow you to withdraw US$ (CIBC, RBC, etc.), but what I notice is that they first convert to CAD then give you the US$?

This means I will lose out on the currency re-conversion.

I really do not want to make trips across Niagara just to withdraw some US$.

Does anyone have alternatives they can suggest?

Wire transfer will not work for me since I'm with Tangerine...

Thank you!
RBC ATMs only give you the option to withdraw USD if you use an RBC (Canada) ATM card.
CIBC ATMs sell you USD at a rip-off exchange rate and debit over the network in CAD which your source US bank would then ding you on to convert back to USD so you would lose 5-6% on the deal.
e.g. $100 USD sold to you at 1.38375 (2.5% over 1.3500 actual rate) = $138.38 CAD. Your US bank sees a $138.38 CAD debit and charges you 1.31625 (1.35 - 2.5%) or $105.13 USD.
It cost you $5 USD to withdraw your $100 USD ... nevermind ATM fees.

Open a free RBC Canada USD account, write yourself a cheque from your US bank, deposit it ... then you can withdraw USD cash at RBC ATM.
If you can't wait for the hold times, you have to go for a drive :)

If you want easy north/south transfers in the future you can setup an RBC Canada USD account and an RBC USA account and you have the ability to instantly transfer money back and forth for free.
You can waive the fees on the RBC USA Preferred Money Market savings account with a $1k USD min. balance. They let you link to other US accounts with micro-deposit verifications like Tangerine does so you can link that to your existing bank and continue using that for daily use if it's more convenient. I have mine linked to my original US account which was at Bank of America that I still keep for better ATM access out west (and across the US).
UrbanPoet wrote:
Jun 19th, 2017 6:39 pm
Bmo and td have usd+cad divisions that link up with each other. Be patient with staff as its somethinf that rarely comes up.

But if you have a bmo harris account & a bmo cad based account... you can switch money between them easily.

Its worth it if you have ties with both us and canada. Makes life easy when using small amounts.


Butttt you have to pay to play. No free services for these types of accounts... unless you maintain a minimum balance.

This is one of those rarebthings where retail banking @ a b&m bank is actually better.

Also if you have a usd account at a b&m bank... you could cash usd chq's from your usd account instantly. But only if you see the bank in person enough that they know and trust you. It helps to hold some other investments or products.
You left out RBC which has the best north<->south transfer setup that is free and instant.

The Canadian USD account is also totally free if you only need 1 debit per month.
POLL: How many credit cards do you CARRY?
Plastiq: Pay any bill with credit card for 0-2.5% fee (help meet min spending and keep old cards active!)
Rewards program transfer times (e.g. SPG->Aeroplan, Marriott->SPG, Amex MR->SPG...)
[OP]
Member
User avatar
Mar 27, 2011
356 posts
151 upvotes
Toronto
Thank you so much everyone for the useful advice. I will have to think about the RBC option, but I really do not want to have a balance to have the account free.

It's actually a Citibank USD account that I have from Asia. I just wanted to withdraw US$ to convert it for my CAD uses and I can get the best rates by exchanging it at Kantor.

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