Moving to Canada - Declinging Exchange Rate

soundofsounds

Hi everyone,
I was hoping some of ye could help me with a quick query I have. My girlfriend and I are heading to Canada in mid January. This means we will be moving most of our savings (in euro) to a Canadian bank - we can only set up an account there once we arrive (as far as I can figure out).

We have been following the exchange rate closely since the start of the summer when Greece got bailed out and has been steady in recent months (at about 1.4 Canadian Dollars). However, with the recent euro turmoil (Ireland, bailout etc.) this has dropped over the last week and we are afraid that this trend will continue and we will get pretty screwed in the exhanging of our euros to canadian dollars. So I am wondering what would be the best way to go about getting todays exchange rate in a safe and secure manner? Is there any methods out there (checks or something?). I know we could just buy straight cash but we wouldnt feel safe carrying that much on us?

Thanks alot and any advice is welcome!

Ps - Are we just panicing over nothing....do you believe the euro will keep decreasing to a low level (say 1euro to 1.20 USD) over the next two months?

Joe Schmo

soundofsounds wrote: »

So I am wondering what would be the best way to go about getting todays exchange rate in a safe and secure manner? Is there any methods out there (checks or something?). I know we could just buy straight cash but we wouldnt feel safe carrying that much on us?

Thanks alot and any advice is welcome!

Ps - Are we just panicing over nothing....do you believe the euro will keep decreasing to a low level (say 1euro to 1.20 USD) over the next two months?

Over the next two months it does appear the Euro will keep sliding (in fact some people reckon 1.20 is a smart bet).

Unless you have access to a brokerage account where you can hedge your currency risk then you are stuck with retail bank offerings.

FYI: My local bank (CIBC) can open an account with no proof of address for you when you arrive, so you can lodge anything when you arrive.

Their traveler cheque fees for a cheap chequing account:
American Express Travellers Cheques - Fee waived
All others - $3.00 per transaction

Also the rate for travelers cheques is worse than cash.


I would recommend cash though: It is not that big a deal if you strap it to you (money belt under clothes/pouch hidden in boxers/etc).

soundofsounds

Thanks for the reply Joe! I was hoping there might be some way to transfer the money across sooner rather than later but looks like I'll just hope the euro rate stays high (I really wouldnt feel comfortable travellin with that much cash).

pow wow

Could you buy a draft in Canadian dollars from your own bank here now and then pop it in the account when you arrive? I've only done it with sterling and US dollars before but you get the rate as it is now and have a few months to actually deposit it.

I'm not sure they do them in Canadian currency but it's worth asking.

soundofsounds

pow wow wrote: »

Could you buy a draft in Canadian dollars from your own bank here now and then pop it in the account when you arrive? I've only done it with sterling and US dollars before but you get the rate as it is now and have a few months to actually deposit it.

I'm not sure they do them in Canadian currency but it's worth asking.

Thanks for the suggestion! I had a chat with customer services at the bank and I would still need a account set up in Canada (for the draft details) so back to square one ie - hands are tied until I set up an account there.

pow wow

soundofsounds wrote: »

Thanks for the suggestion! I had a chat with customer services at the bank and I would still need a account set up in Canada (for the draft details) so back to square one ie - hands are tied until I set up an account there.

Any time I've gotten the drafts (US and UK) I've never needed any account details, it's effectively a cheque made out to myself and then I just lodge it in my other accounts at whenever I get round to it. They ask me what it's for but they don't need any details other than that.