When you subscribe to Plus with your stock trading account, you automatically get a U.S. Dollar account to go with each of your self-directed Canadian Dollar accounts.
To add funds to a USD account, you can convert your Canadian Dollar cash balance into U.S. Dollars. There is a 1.5% currency conversion fee to convert your funds from CAD to USD.
Understanding the 1.5% currency conversion fee
With the Plus plan, you pay a 1.5% currency conversion fee when you convert funds between CAD and USD. This is different from the Basic plan, where you pay the 1.5% currency conversion fee every time you both buy or sell a security. For example:
- You decide to convert $100 CAD to USD
- In this example, the corporate exchange rate for converting Canadian to U.S. dollars is 0.8
- With a 1.5% currency conversion fee, the total foreign exchange rate becomes 0.788 (FX rate of 0.8 * (1 - 0.015)
- You receive $78.80 USD
- You’ve paid $1.20 USD in currency conversion fees
- You decide to convert $100 USD to CAD
- In this example, the corporate exchange rate for converting U.S. Dollars to Canadian Dollars is 1.3
- With a 1.5% currency conversion fee, the total foreign exchange rate becomes 1.3198 (FX rate of 1.3 / (1 - 0.015)
- You receive $128.05 CAD
- You’ve paid $1.95 CAD in currency conversion fees
Convert funds between CAD and USD in your account
- Open the Trade app on your mobile device
- Tap on the Move tab at the bottom of the screen
- Select Convert funds
- Choose the account in which you'd like to convert funds
- Use the toggle at the top of the screen to convert CAD to USD or USD to CAD
- Enter an amount to convert and Continue
- Review the details and tap Submit conversion
- You can convert up to $5,000 CAD in unsettled funds every five business days. Unsettled funds are funds with a temporary hold placed on them. They include any new deposits (including instant deposits) as well as funds from the sale of stocks or ETFs. We place a temporary hold on these funds as part of our risk management and anti-money laundering practices.
- There is no minimum or maximum conversion amount for settled funds in your account. Settled funds are a cash balance that doesn’t have a temporary hold placed on it.
- You can only convert funds between a paired CAD and USD account. For example, you can convert funds from a CAD TFSA to a USD TFSA, but not from a CAD TFSA to a USD RRSP.
- You can view your currency conversion history in your account activity.