Representative example: When you spend £1,200 at a purchase rate of 21.9% (variable) p.a. with a fee of £3 per month, your representative rate is 27.7% APR (variable).
If you’re wondering whether you can use your credit card when abroad in Canada, you’re in luck! Being northern neighbours of the US, Canada loves credit cards, and you’ll find you rarely need to rely on cash for your transactions.
Visa and Mastercard credit cards are widely accepted and you might be able to use your American Express card in some places, too.
There are thousands of ATMs in Canada – over 65,000 in fact. You’ll find them next to bank branches, or inside bank foyers. Additionally, you can find them in shopping malls, supermarkets, near petrol stations and restaurants.
You’ll want to have a few Canadian dollars in your wallet before you go, for tipping and transport to your hotel, along with paying in cafes, bars and small souvenir shops. But mostly, your Visa or Mastercard will see you through.
Find a great deal on your travel money for Canada
Canadians gravitate towards chip-and-PIN and contactless cards not only because these methods of payment are fast and convenient, but also because they are the most secure and safe ways to pay at point-of-sale.
But don’t despair if you only have a chip-and-signature card. If you don’t have a PIN, Canadian point-of-sale systems will ask you to provide a signature to complete each transaction.
If you’d like, you can turn your card into a hybrid signature/PIN card — just ask your provider for a PIN.
If you’re stuck with a magstripe card, you’ll likely be fine in Canada — many card machines allow swiping. Regardless, consider calling your provider to get a chip card. This type of card is generally considered more secure than magstripe cards, and it’s already standard around the world.
By exercising some caution when using your credit card in Canada, you’ll have a relatively trouble-free experience.
Remain alert to street crime, especially where two or more people work in distracting victims before decamping with their valuables. Instances of theft at airports are not uncommon, so stay vigilant while arriving and departing. There have been numerous instances of thefts from hired cars so don’t leave your wallet or purse in a parked car. In some cases, thieves pose as police and ask to see wallets for identification purposes. In such a scenario, make sure you’re speaking with genuine police officers. It is very unlikely that a real officer will want to sift through your wallet.
Credit card fees can leave a noticeable dent in your pocket when you’re travelling overseas, so know what you’re up against well in advance and choose a card with no or low fees.
British credit card issuers typically charge a fee equivalent to 1% to 3% of your transaction, so carefully review your card’s fine print to avoid statement surprises. Some cards designed for travel come with no foreign transaction fees, so this could be a good time to switch.
Learn more about cards designed for overseas spending
If a retailer offers to bill your credit card in sterling, dynamic currency conversion comes into play. While this might sound like a good deal, you’ll actually end up getting a worse exchange rate, and you might also end up paying currency conversion fees. Whenever you’re presented with an option, choose to pay in local currency.
Using your credit card to withdraw money from an ATM may not make sense unless it’s a bona fide emergency. Each time you withdraw funds from an ATM, you’re likely to pay a cash advance fee. Your APR for cash advances is typically higher than your purchase APR, and you’ll typically get no grace period on interest — instead, you start paying interest immediately. Again, some cards designed for overseas spending will waive the cash advance fee.
The table below serves as an example of how much extra you may pay to use your credit card for in Canada.
Additionally you can get an idea of costs by using these online currency conversion tools from Mastercard and Visa.
Ask yourself these simple questions before you leave so your spending in Canada does not hit any roadblocks.
When you’re in Canada, you don’t have to worry about where and when you can use your credit card. Just keep some cash handy to pay for small purchases.
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