And which also works internationally on the Cirrus network I’ve withdrawn money in Europe and the US using it, which is nice if, like me, you’d rather not use your credit card for that kind of thing.
Also, quite a few stores offer a ‘cash back’ service when you make an Interac payment. I just about never go to my bank or to an Interac machine even. I buy my groceries and get cash back there for coffee and other small purchases. Frank, that can save you one transaction fee and then you can use the cash for other purchases.
And right there you hit what is confusing me; in one place they refer to debit card use, and in another they refer to Interac transactions. I’m having a hard time understanding whether the two are synonymous.
I’m not sure I’m happy I started this thread; I’m more bewildered than I was yesterday! I suspect more investigation ensues.
I think, after some research, that y’all are right; your major banks are six of one and half a dozen of the other. At least as far as pricing, and bad customer service seems to be luck of the draw, or normal, either one.
This is exactly what I’m used to. I can also use it as a debit card, with the PIN, but I almost never do.
[hijack]I found an apartment in Ottawa that interests me. It appears that the U.S. Postal Service sells international money orders for Canada only in U.S. dollars. Would my potential landlord have a problem cashing those?[/hijack]
Yeah, it would be worthwhile checking out what different accounts and plans offer with respect to the number of debit card uses per month, and with the number of cheques that you may use as well without any additional fee being charged by your bank. Banks will offer different plans (and charge fees accordingly) based on those factors as well as other criteria that could include in-branch bill payments, or the balance you maintain on your account.
The debit card is the piece of plastic. In addition to using it at automated tellers (along with an identifying PIN) at your local bank, if you walk into your local branch, and want to say, deposit a cheque, they will also ask you for your debit card, which is a replacement for the traditional paper deposit slip.
The reference to Interact is the network that allows for the card use between financial institutions at automated teller machines, and also with other businesses as a payment mechanism. From the Interac website:
“Interac Association is a national organization linking enterprises that have proprietary networks so that they may communicate with each other for the purpose of exchanging electronic financial transactions. The Association was founded in 1984 by five financial institutions. As of June 2006, there are over 80 members.”
Yes. I grasp that the network is used for both debit transactions and ATM withdrawals. What I don’t grasp is whether either type of transaction is treated the same by the bank for number of transaction purposes. Well, as matt_mcl points out, I guess I’d better clarify that with the bank.
Why don’t you go to your bank and buy a Canadian dollar money order to mail to your potential landlord? It’s a hassle for Canadians to try to bank USD stuff - I think he may get charged for it, too, as well as needing to go in and cash it at a teller, rather than just depositing at an ATM like we do with CAD cheques and money orders. And why would the US Postal service sell money orders for Canada in USD? That’s just, well, stupid. Our currency is not USD.
Believe me, I was gaping at that too. It’s an international money order, right? I’ll check at my local Post Office; perhaps the web site is screwed up. The only thing I can think off is that the Canadian Post Office has no problem with converting the money, but wouldn’t there be a fee? It’s just weird.
Yeah, if I go for the apartment, I’ll get it from a bank if the Post Office is useless. My credit union doesn’t sell international, so it’ll cost me a bit. Oh, well.
Oh, sorry. I see what you’re saying now. Can’t help you with that. My plan with my bank ends up essentially giving me free unlimited activity at ATMs (BMO ones that is) and using it for payment at businesses, so I don’t really pay attention.
Looking at Canada Post’s website, they will sell you a USD money order, and charge you $4.95 for it. It doesn’t say anything about cashing a USD money order; maybe they would, but I imagine they’ll charge the landlord for the privilege. You wouldn’t know what size of money order to buy in USD, either - a $500 CAD rent would be a different amount in USD every day. As a landlord, I wouldn’t accept a USD money order - too complicated. If it’s a large rental corporation, though, you could try paying by VISA. I always used our company VISA to pay our invoices from American companies - no problem.
And as for the Canadian dollar getting stronger vs. the American dollar, YEAH, BABY!!! I want par or better when we go to Ohio next spring.
All major banks services are roughly the same. Depending on the type of account, monthly fees, and account services provided your decision should be based on your projected activity. Different banks have different packages which provide for different types of activity. If you want low monthly fees, then you may end up paying more for different transactions. If you want freedom to have unlimited transactions, then you will pay a higher monthly fee.
If you want to maintain a C$ and U$ account, you will most likely have to have different accounts as the interest and fees are calculated differently. Most bank websites have some sort of tool to figure out which type of account will be best suited to your needs. Compare them carefully. Here is one version of the comparison between account fees and transaction charges. The transaction types are detailed below. (click the yellow box for different account types)
Your bank account (savings or chequing) will come with a bank card. This is your identification for communicating with the bank. It is the equivalent of the VISA Check Card and ATM card. Your account type will indicate your transaction charges. Using your own banks system is often free. Interac is the system that links the banks together, and they charge their own fee.
Also look for packages. TD Canada Trust is currently running a promotion where they will give you an iPod when you purchase a package. (whoops, never mind, it is for switching accounts only.)
Typically you pay the least by using only your banks ATMs. When you start using other ATMs (other bank, or private) is when you start piling up the nasty fees.
I don’t know if it’s changed from when I lived there, but “debit” is pretty well synonymous with “Interac.” At a store, if you’re wondering whether you can use your bank card, you ask “You take Interac?” Asking if they take debit marks you as an Outsider.
Of course, asking if they take Interac down here in the States got me some pretty funny looks.
Pretty well any bank within 200 kms of the border will sell you American currency at that day’s exchange rate (I’m not so sure of money orders). Again, it was a bit of a kick in the teeth when I found out down here that I had to go to a currency exchange place to get CDN$.
I used BoM and only had one problem with them. That one wasn’t even their fault, but they helped me clear it up nice ‘n’ tidy like.
Before online banking, I could pay my bills via the bank machine (oh yeah - Bank Machine, not ATM). I don’t know about now. Cheques are pretty well only used for paying your rent, which used to be tax deductible in Ontario, I don’t know about anymore. Mortgage is not.
Any current residents are welcome to correct any of this if I’m out of date.
No, never. Interac Direct Payment is always less expensive than Interac Network Withdrawal. Many plans (like mine) include unlimited Direct Payment purchases, for example. You may also be able to get unlimited transactions at your bank’s own machines. Even when you have to pay for these services, you usually get a certain number free per day/week, etc., and the costs beyond that are pretty nominal.
By contrast, network withdrawals usually involve charges of $1-$1.50 or more from both your bank and the bank whose machine you’re using.
Where you’ll find a difference is in using the ATMs. If you use your own bank’s machine, you’ll not be charged a surcharge over the regular transaction fee. If you use other banks’ ATMs, then you pay your transaction fee plus an added one - which gets very pricey. However, there is little need to take money out of banks; most banks have a lot of ATMs scattered around the city so you can locate one from your own bank (mine has them in some 7-11 stores) but, more importantly, you can pay for your purchases at the Interac machine in most stores.
I pay my dentist, insurance, even property taxes using the Interac card. It’s handy to not have to carry cash and almost an oddity to find a store where you can’t use Interac. Some places will charge a nominal fee if you use the Interac card to pay for a small purchase; I tend to use mine for purchases over 10.00 and carry about 40.00 in cash to make smaller purchases.
OK, now I get it. You only have to hit me over the head three or four times for the message to sink in. I swear, I don’t understand why it was so difficult for me to understand the difference. Thanks. And thanks also to you others who attempted to penetrate my misunderstanding.
Frank, have you conidered using an outfit like this to transfer money to your landlord? The website is not terribly clear, but in looking through it, I found that they will sell you various instruments you can mail that are payable to your Ottawa landlord in the local currency. It seems that you assume all fees and such, so your receiver doesn’t have to.
They have a branch in Denver. Might be worth a phone call to see if they can help you out with getting money to your landlord.
'nother vote for TD Canada Trust - we have dealt with them for about 25 years and the only problem we had was recently - when someone scanned my bank card and PIN :smack: . The bank noticed almost instantly, shut the scammer down, and had the money back in my account almost before I knew it was gone.
Since we travel south of the 49th quite regularly to visit ex-pat kids, we have a $US chequing account and we get “borderless” rates on exchange - better than usual rates/ Also, since Herr 'spiel hit the Big 60, we get preferential rates on the chequing/savings accounts.
I’m at the point where I write an actual paper cheque about once every six months, everything else (bills, etc.) is done online or through the bank machine.
Oh, and the Bank thing… We went with Bank of Montreal, but just recently found out that if you’re with the Royal Bank, you can get a U.S. account based in the U.S. and transfer money back and forth…
We still have enough stuff going on in California that having a linked account would be useful… It’s been a pain having Citibank… There’s no way to add money to our U.S. accounts other than mailing a check/cheque to California… Oh, and of course, Citibank won’t even ACCEPT Canadian cheques… So much for the “international bank” or whatever they used to sell themselves as…
Yeah, this is an issue for me. I’ll be paying bills to the U.S. for some time. I was thinking of just keeping my credit union account and mailing them an international money order once in while, as it’s free and the $US accounts from the Big Five appear to be fairly costly.
I’ve withdrawn money in Europe and the US using it, which is nice if, like me, you’d rather not use your credit card for that kind of thing.