Most Canadian bank cards charge a foreign transaction fee of 2.5–3% on every purchase made in a foreign currency — including online shopping from US and international retailers, travel purchases, and streaming services billed in USD. Several Canadian banks and fintechs now eliminate this fee entirely. Here's a complete guide.
A foreign transaction fee (also called an FX surcharge or currency conversion fee) is a charge applied whenever you make a purchase in a currency other than Canadian dollars. It's typically 2.5% of the transaction amount, added on top of the exchange rate. For a Canadian spending $5,000 in USD on a trip to the US, that's $125 in fees — invisible on your statement but real.
This fee applies to:
| Card | FX Fee | Annual Fee | Type |
|---|---|---|---|
| EQ Bank Card | 0% | $0 | Prepaid Mastercard |
| Wealthsimple Cash Visa | 0% | $0 | Prepaid Visa |
| Stack Prepaid Mastercard | 0% | $0 | Prepaid Mastercard |
| Brim Free Mastercard | 0% | $0 | Credit card |
| Brim World Mastercard | 0% | $99/yr | Credit card |
| Brim World Elite Mastercard | 0% | $199/yr | Credit card |
| KOHO Everything plan | 0% | $19/mo | Prepaid Visa |
| Scotiabank Passport Visa Infinite | 0% | $150/yr | Credit card |
| Rogers World Elite Mastercard | 0% (with 3% USD cashback) | $0 | Credit card |
The EQ Bank Card is a prepaid Mastercard linked to your EQ Bank Savings Plus Account. It has no annual fee, no foreign transaction fees, and earns the same high savings rate on your balance. It's one of the best travel cards in Canada for people who want no FX fees without a credit card application.
Wealthsimple Cash charges no foreign transaction fees and earns 1% cash back on all purchases — including international ones. No annual fee. Best for existing Wealthsimple investing customers.
The Brim Free Mastercard has no annual fee and zero foreign transaction fees. It's a credit card (requires credit check) that earns Brim Points. For Canadians with good credit who want a no-fee travel credit card, Brim Free is the top pick.
For heavy travellers who want airport lounge access, comprehensive travel insurance, and no FX fees, the Scotiabank Passport Visa Infinite ($150/year) is a strong premium card.
At 2.5%, the annual cost depends on your international spending:
Even for Canadians who don't travel, US online shopping, USD-billed subscriptions (Netflix, Spotify, Amazon Prime in USD), and cross-border purchases add up quickly. Switching to a no-FX-fee card for these purchases costs nothing and saves meaningfully.
KOHO's free plan does include foreign transaction fees. To eliminate FX fees with KOHO, you need the KOHO Everything plan ($19/month). This is worth it for heavy international spenders, but for casual international use, EQ Bank Card, Wealthsimple Cash, or Brim Free are better zero-fee alternatives.
KOHO offers free everyday banking with cash back rewards and no monthly fees. Use code 45ET55JSYA for a bonus when you sign up. Upgrade to KOHO Everything for no FX fees on international spending.
Open KOHO Free — Use Code 45ET55JSYAForeign transaction fees are an avoidable cost. For Canadians who travel or shop internationally, carrying a zero-FX card alongside your regular bank account costs nothing and eliminates a 2.5% surcharge on every international purchase. Start with the EQ Bank Card or Wealthsimple Cash — both are free and eliminate FX fees immediately.