Travelling to the U.S. - cash vs credit card

[Canehdianman]

Originally Posted by tvp2003

I also got the Amazon Visa (issued by Chase) for this very reason -- I'd be curious to know if there are any others out there. Won't help the OP in this case but FYI there is no annual fee.

I got this card as well. Purely for US trips.

[DownhillGoat]

Originally Posted by Wormius

I don’t think the Amazon Visa has any additional perks. It just waived the foreign exchange fee. If you’re going to a restaurant you would be better off using a Costco capital one with 3% cash back, or for gas/groceries use the Scotia momentum infinite visa for 4% back.

You also get 2% cash back on Amazon.ca purchases and 1% cash back per $1 spent everywhere else.

For a no fee card it's pretty decent. Especially for shopping online and US travel.

[Northendzone]

Just lift somebody's wallet - it will save you thousands

[Amethyst]

I use cash, because I have a US dollar account, so I can just put any left-overs back there. If you choose that method, however, do not get the account at BMO. I can't access the funds from the US, must make a cash withdrawal before leaving Canada, which isn't helpful if you want access to a larger amount. My friend has a US account with RBC and she got a debit card that works in the US and accesses her US account.

It's not the US, but a few years ago, I tried three different methods while travelling in Barbados - exchanging cash, using a credit card, and using my debit card to withdraw from a local ATM. The debit / ATM gave me the best rate, by far, for transactions.

[jeffporfirio]

Originally Posted by stampsx2

Except for the annual $65 usd charge

They waive the fee if you have a USD account with them

[Ryan Coke]

Unless you have USD hanging around, you will be paying for the conversion to get the USD regardless of the method of payment. I did a bunch of real time comparisons when I was wintering down there between my Canadian CC and my US visa from my US account filled with money I transferred via XE trade. There are some more complicated ways to get a better exchange rate than XE, but nothing simple.

In the end, factoring in the rewards I have on my Canadian card (approx 1.5%) it was very nearly a wash.

I still have a US bank account and Visa, but I will usually use my Canadian CC because it is more convenient as well as the extended warranty and purchase protection. I go for several short trips a year, as well as 2-3 longer trips, and I would just pull a small amount of US cash from a bank machine with my Canadian bank card (or from a currency exchange place) and just use my Canadian CC for most things, if I were you.

[Regular_John]

I generally use my Visa card (with the bank's extra 2.5% fee) when in the states, it's just easier than carrying a ton of cash. But I also collect travel points, so as others have said, it offsets the 2.5% to an extent.

But I always make a point of taking $100-$200 cash as well for smaller things or little incidents that can pop up. Like my company CC not being accepted by the swipe machine in the cab I took from Manhattan to Newark at 3:00am, having the cash on hand was a life saver.

Before our last trip I was looking into the Marriott Rewards card without the foreign transaction fee, but the annual fee seemed like it would eat into the savings pretty quick, and I found you can get better pricing on Marriott hotels through Expedia... so the rewards weren't super appealing.

[DuffMan]

Banking in the US is like being in a 3rd world country. My bank card wouldn't work anywhere because the strip is worn off and they don't have chip technology. Still have to sign CC slips for purchases. very 80's ish.

[stampsx2]

^^^ or their few and far between debit machines.

Anybody ever try to get cash back at a grocery store or Walmart?

[skudr248]

Get an Amazon credit card, free to sign up and saves you the 2.5% charge... its an awesome card and I use it whenever I travel to Europe/US

https://www.chase.com/online/canada/...ca-rewards.htm

[snootchiebootchies]

I try to deal with US dollars as much as possible when I travel to the US. I have the TD US Dollar credit card and I also keep a US Dollar bank account at TD (Borderless Plan), which I use to pay my US dollar credit card bill. To replenish funds in my US Dollar bank account, I convert Canadian dollars using Norbert's Gambit.

However, to book hotels and flights, I will use my Canadian travel credit card to take advantage of the travel medical/interruption insurance and car rental collision/loss damage insurance benefits. So I do get dinged there with conversion fees.

[calgaryblood]

Originally Posted by squiggs96

This hasn't been required in at least two years by almost all the big banks. It's neither necessary, nor wanted by the banks.

Wrong. My RBC card was locked because I used it overseas this past month.

[DownhillGoat]

Originally Posted by calgaryblood

Wrong. My RBC card was locked because I used it overseas this past month.

He never said they wouldn’t lock it. He said they don’t require or want it reported.

They’ll still lock it, but reporting is no longer required. I called in to report mine and CIBC told me they don’t do that anymore. Then locked it down when I traveled.

[calgaryblood]

So then how isn't it required? I wanted to use my card and was told the same thing by a friend and then they locked it on me and I was SOL. Seems like if I called and let them know it would have been better for me.

[calgaryblood]

Originally Posted by Cecil Terwilliger

I think only Scotia still encourages notification when traveling but no banks really require it anymore.

However that doesn't guarantee your card won't get blocked. But if it does, you just need to call them and they'll unblock it.

Thats great when you're travelling to a country like America or Mexico but when you're travelling to places like the middle East and phone access is scarce and a 9 hour time difference, calling becomes much harder.

[DownhillGoat]

Originally Posted by calgaryblood

So then how isn't it required?

Because they refuse to flag it? Not disagreeing with you, the banks stance is absurd. But they still claim it’s not required.

[bizaro86]

RBC has a USD credit card from their US subsidiary that has no annual fee and does cash back. Then covert only the exact amount you spent on your trip when you get home.

[Enoch Root]

Originally Posted by BigNumbers

For all the reasons you mention, I use a USD credit card with no fees, and pay off the USD card balance with a USD/CAD transaction myself, using a bullion exchange to pay off the card at market FX rates.

But to avoid that headache if that's not your thing, just using your CC is the 2nd best option. The second you have to exchange cash back to CAD after taking out too much USD for the trip, you're behind the eight ball.

This is exactly what I do. Use a USD credit card, so there is no 2.5% currency conversion charge on each transaction. Then you can pay off the whole balance in one transaction at the end of the month.

And of course, you should find an efficient way to buy USDs here to pay it off. There have been multiple threads talking about where you can get a good exchange rate.

Also, if you travel regularly, have an ongoing cash supply. If you get your cash with a good exchange rate, cash is always the cheapest way to make purchases.

The number one thing to remember (regardless of the specifics of your strategy) is to minimize the number of currency exchange transactions you need (which is why a USD card is useful)

[Party Elephant]

Does the US still hate debit? Last time I visited was in 2011 and paying with debit was really tough/not possible in a lot of places.

[squiggs96]

Originally Posted by calgaryblood

Wrong. My RBC card was locked because I used it overseas this past month.

I'm not wrong. Just because something happened to you, doesn't mean what I posted was wrong.

Here's their link: https://www.rbcroyalbank.com/onlineb...avel-plan.html

You no longer need to notify us when you travel


If you'll be travelling soon and plan to use your credit card or client card, you no longer need to tell us you’ll be away from home. We have industry-leading fraud detection systems that protect you and your accounts from suspicious or unauthorized transactions. Just make sure we have your up-to-date contact information so we can reach you if necessary. To view or update your contact information, sign in to Online Banking and select Profile and Preferences from the Banking tab.