Add to that a checking account that refunds your international ATM usage fees and you have the perfect solution for circumventing forex fees – or so it seems. In the bid to save money, most people have learned to use credit cards that do not charge any fee for foreign currency conversion. Everything Else About The Norbert’s Gambit.Exchange Of $12,000 CAD To USD Using Norbert’s Gambit? – Case Study.How Do I Convert Canadian To US Dollars With Norbert’s Gambit?.Let me help you by answering all your questions about Norbert’s Gambit in this article. These numbers are especially irking when you transact in large amounts: those conversion and transaction fees add up quickly.
The point of intersection between the two for 2% and $16 CAD is $800. If I converted $16 using Norbert’s Gambit, the fee would be 100%. Obviously, therefore, the less money exchanged, the lower the difference. That’s where your value of 0.2% comes from. Using Norbert’s Gambit, it would cost me $6.95 CAD + $6.95 USD, which is approximately $16 CAD (or 0.16%), a saving of around $184 CAD. The % really depends on how much you are exchanging.Īs an example: If I exchanged $10,000 from CAD to USD using a standard brokerage rate of 2%, it would cost me $200. In my case with CIBC, that would be $6.95 CAD and $6.95 USD. Norbert’s Gambit costs the fee for two trades – one to buy the DLR, one to sell the DLR.U. If your business or hustle demands you to always receive money in a foreign currency or to frequently transact between currencies, it is already clear how you feel about that tiny 2.5% conversion fee and transaction fee that comes with it. One place where fees are particularly annoying is in foreign exchange. What is Norbert’s Gambit? Why do you need it? No matter the kind of monetary transaction, no one likes extra fees, even though they understand why they are tacked onto their transaction.