Credit Card Advice Requested!

[cmagor-ctvi]

Can anyone tell me if any of the Canadian banks have a US$ credit card available? Profit margins are thin enough already without losing twice on currency exchange every time I sell something.

I source virtually all of my stuff in the US, so I pay in US$ which gets converted to CA$ by the credit card company. I sell in US$ which I then have to convert to CA$ to deposit to the bank so I can pay the credit card! It's hard to know just what it's costing me because the rate fluctuates from day to day and different "banks" (I'm including PayPal) use different rates, but the spread within a fairly short period of time can be as much as 10%! Needless to say, on several thousand dollars a month that would buy me more than a few cups of coffee!

Sorry to rant, I guess it's just been bothering me and I have to do something about it! Thanks for any pointers!

Chris.

[deltone]

Chris, open a true US bank account. That's what I did. Are you close to the border? Do you ever get to the US? I opened an account in SC last March and they issued me a bank card which is a debit/credit card. It's great. I don't have to deal with the extra Paypal charges and haven't had one problem. I do believe that TDWaterhouse does allow you to open a USbased account, but I don't know enough about it to tell you anything about it. GOOD LUCK

[stats-one]

if you qualify, get a paypal debit card. ( link at the bottom )

I use this card to make any purchases and to pay ebay fees. No exchange and get money back.

[treasure-pot]

Hi Chris;

I went the route of opening a TD Waterhouse account. PayPal does not charge a transaction fee for transfers to this US based account and they give me an excellent exchange rate when they transfer the funds to my TD Canada Trust account.

Just a warning though, they will not transfer funds to a business account.... personal accounts only.

Bill

[cmagor-ctvi]

Thanks to you all for the suggestions - I will check into them. I am actually pretty close to the border so that's an option I had already considered, but the first couple of banks I checked on the Internet will not open accounts for non-residents of the US and it seemed to me that any bank would be leery of giving a credit card to a non-resident, but based on Deltone's experience I'll check into that further. Which bank was that with Deltone? (Not that they probably exist in Michigan - boy the banking business in the US sure is a rat's nest!)

Chris.

[deltone]

Chris, actually, it's the Bank of America. I didn't have any problem opening the account. They ask for a social security # which I naturally don't have but that wasn't a problem. She took my i.d. and there it was. As far as a credit card, it's probably difficult to get a REAL credit card, but this bank/credit/debit card works pretty much like one, except that you need to have the money in the bank. I've ordered stuff online with it, reserved hotel rooms, you name it. Just as good as having a US credit card, as I have the money in the bank anyway. I opened a checking account. I think if you open an interest bearing account that there could be some issues, due to the fact that you don't have a social security card. I'm not sure though. I'm very please with my account. When I'm in the US it's accepted everywhere and in a lot of cities they have Bank of America bank machines. GOOD LUCK!!!!

[brcyclesalvage]

Being in Canada can you have your fees billed in US$? They used to do that for me but started billing in Canadian dollars a couple years ago.

Ryan

[cmagor-ctvi]

Thanks a lot Deltone, something like that would be great! And what do you know - they have a couple of Bank of America branches in this neck of the woods!

Yes, brcyclesalvage, you can have your fees billed in US$. I was billed that way since first signing up in '99, only to be switched to CA$ by eBay about a month ago. With the help of PierrLebel on Canada Town Square I got it switched back - here are his instructions:

To have eBay bill you in US funds, if that is what you want, go to the site map http://pages.ebay.ca/sitemap.html and click on the Switch my billing currency link. You can only change your billing currency once a year.

Good luck! Chris.

[deltone]

Good Luck cmagor!! If they try to tell you that you can't, insist, cause they DEFIANTLY can!!

[bonzoproducts]

TD bank/TD waterhouse has a US credit card available. I believe it cost 25us annually but it you make a lot of transactions then it would be worth it.

[cmagor-ctvi]

Thanks bonzo! It certainly seems as if TD is the bank to talk to based on what has been posted here so far!

Right now, since the only connection I have with TD is a CA$ Visa card, I am in the process of trying to open a "real" US account online with BankDirect. They require a physical, original signature on file before they will do anything so right now I'm in a "holding pattern" waiting for the mail to reach them!

But I do still need a US$ credit card to complete the puzzle, so I appreciate this tip.

Chris.

[jaymor8]

Do you actually need to open a US account in the states? Would not a US account at your local bank provide the same opportunities for a CC in US funds? I would really like to know that. I have a US account here..but I never looked into that.

Jackie...

[treasure-pot]

Hi Jackie;

Not quite the same thing. For instance, PayPal would still charge the transaction fee to a Canadian bank as opposed to one rooted in the USA. A US account at your local bank is fine for depositing USD money orders received (although not the green ones) and it is fine if you need to write cheques in USD but doesn't do much more than that for you.

Bill

[jaymor8]

Seems so unfair, huh Bill??

Jackie...

[acurael]

TD and CIBC both offer USD cards - you can pay the balance only in USD.

As mentioned eBay will bill in USD.

Open a USD account with TD (you'll need personal and business if you operate as a corporate entity)

Then open virtual USD account with Waterhouse.

No paypal xfer fees. USD/CAN and USD/USD xfers by phone completed in a couple of hours (From Waterhouse to TD Canada Trust and vice versa)

Waterhouse does provide a pretty good exchange rate - but if you move a lot of money, there are better options 😉

Once you get that all done - you can bank entirely in USD for almost no "extra" fees whatsoever.