In a global economy, the need for a credit card that offers flexibility and convenience when dealing with multiple currencies is ever-growing. If you often travel to the United States, make purchases from U.S.-based merchants, or conduct business in U.S. dollars, the BMO U.S. Dollar Mastercard® could be the perfect financial tool for you. This card allows you to make transactions in U.S. dollars without worrying about exchange rate fluctuations or foreign transaction fees, making it an essential companion for frequent travelers and cross-border shoppers.
Key Features of the BMO U.S. Dollar Mastercard®
The BMO U.S. Dollar Mastercard® comes with a range of features that make it an attractive option for those who spend a significant amount of time or money in the United States. Here are some of the key benefits and features of this card:
1. U.S. Dollar Billing:
The primary feature of the BMO U.S. Dollar Mastercard® is that all transactions are billed in U.S. dollars. This means you don’t have to worry about the fluctuating exchange rates that can add uncertainty to your expenses when using a Canadian dollar credit card for U.S. purchases. Your bill will reflect the exact amount spent in U.S. dollars, giving you more control over your finances.
2. No Foreign Transaction Fees:
Most Canadian credit cards charge a foreign transaction fee, typically around 2.5% of the purchase amount, on top of the exchange rate. With the BMO U.S. Dollar Mastercard®, you won’t be charged this fee for U.S. dollar purchases, as all transactions are in U.S. dollars. This can lead to significant savings if you frequently make purchases in the U.S. or from U.S.-based online retailers.
3. Annual Fee:
The BMO U.S. Dollar Mastercard® has an annual fee of $35 USD. While this fee is relatively modest compared to other premium credit cards, the savings you gain from avoiding foreign transaction fees and exchange rate fluctuations can easily outweigh the cost, especially if you use the card frequently.
4. Purchase Protection and Extended Warranty:
Your BMO U.S. Dollar Mastercard® offers purchase protection and extended warranty coverage. Purchase protection covers eligible purchases against theft or damage for up to 90 days from the date of purchase, while the extended warranty feature doubles the manufacturer’s warranty for up to one additional year on eligible items. This provides added peace of mind when making significant purchases.
5. Zero Liability Protection:
With BMO’s Zero Liability Protection, you won’t be held responsible for unauthorized purchases made with your card, provided that you take reasonable precautions to protect your card and notify BMO promptly if it’s lost or stolen.
6. Online Account Management:
BMO offers easy online account management through BMO Online Banking and the BMO Mobile Banking app. You can view your transactions, make payments, and manage your account settings from anywhere, at any time.
7. Travel and Medical Insurance:
Although the BMO U.S. Dollar Mastercard® is not a premium travel card, it does offer some basic travel and medical insurance coverage. This includes up to $100,000 in common carrier accident insurance, which covers accidental death or dismemberment while traveling on a plane, train, bus, or ship.
Who Should Consider the BMO U.S. Dollar Mastercard®?
The BMO U.S. Dollar Mastercard® is an excellent choice for:
- Frequent U.S. Travelers: If you travel to the United States frequently, whether for business or pleasure, this card allows you to pay in U.S. dollars without worrying about exchange rate fluctuations or foreign transaction fees.
- Cross-Border Shoppers: If you often shop online from U.S.-based retailers, this card can save you money on exchange rate conversions and foreign transaction fees.
- Dual Residents: For those who split their time between Canada and the U.S., having a card that bills in U.S. dollars can simplify your finances and reduce currency conversion costs.
- Business Owners: Small business owners who make frequent purchases in U.S. dollars or deal with U.S. suppliers can benefit from the convenience and cost savings of this card.
How to Apply for the BMO U.S. Dollar Mastercard®
Applying for the BMO U.S. Dollar Mastercard® is a straightforward process. Here’s how you can get started:
1. Eligibility Requirements:
Before applying, ensure you meet the basic eligibility requirements. You must be a Canadian resident with a Canadian credit history. While BMO does not explicitly state a minimum credit score, applicants with a good to excellent credit score (typically 670 and above) are more likely to be approved.
2. Gather Necessary Information:
Prepare the required information before you begin the application process. This includes your personal information (such as your name, address, and date of birth), employment details, income information, and your Social Insurance Number (SIN) for a credit check.
3. Apply Online:
The easiest way to apply is through the BMO website. Simply navigate to the BMO U.S. Dollar Mastercard® page and click the “Apply Now” button. You’ll be guided through a series of steps to complete your application, including providing the necessary information mentioned above.
4. In-Person Application:
If you prefer, you can also apply in person at a BMO branch. A bank representative will assist you in completing the application form and answering any questions you may have.
5. Application Processing:
Once you’ve submitted your application, BMO will review your information and conduct a credit check. This process typically takes a few business days. If approved, you’ll receive your BMO U.S. Dollar Mastercard® in the mail within 7 to 10 business days.
6. Activate Your Card:
Upon receiving your card, you’ll need to activate it before you can start using it. This can be done online, over the phone, or through the BMO Mobile Banking app.
7. Start Using Your Card:
Once activated, you can start making purchases in U.S. dollars without worrying about foreign transaction fees or exchange rate fluctuations.
Maximizing the Benefits of Your BMO U.S. Dollar Mastercard®
To get the most out of your BMO U.S. Dollar Mastercard®, consider the following tips:
1. Use It for All U.S. Dollar Transactions:
Whenever possible, use your BMO U.S. Dollar Mastercard® for all U.S. dollar purchases. This includes online shopping, travel expenses, and any transactions made while in the United States. By doing so, you’ll avoid foreign transaction fees and lock in your expenses in U.S. dollars.
2. Pair with a BMO U.S. Dollar Chequing Account:
For seamless bill payments, consider opening a BMO U.S. Dollar Chequing Account. This allows you to pay your credit card bill in U.S. dollars, avoiding any currency conversion fees. Plus, you can transfer funds between your Canadian and U.S. dollar accounts as needed.
3. Monitor Exchange Rates:
If you do need to convert Canadian dollars to U.S. dollars, keep an eye on exchange rates and try to transfer money when rates are favorable. This can help you save on currency conversion costs.
4. Take Advantage of Purchase Protection:
Use your card for major purchases to take advantage of the purchase protection and extended warranty benefits. This can give you added security and peace of mind.
5. Pay Your Balance in Full:
To avoid interest charges, try to pay your balance in full each month. This is especially important if you’re paying your bill in U.S. dollars from a Canadian dollar account, as any interest charges will also be subject to currency conversion.
Conclusion
The BMO U.S. Dollar Mastercard® is a highly specialized credit card designed for those who frequently deal with U.S. dollars. Whether you’re a frequent traveler, a cross-border shopper, or a business owner, this card offers significant benefits by eliminating foreign transaction fees and providing straightforward U.S. dollar billing. With its modest annual fee and valuable perks, the BMO U.S. Dollar Mastercard® is a smart choice for anyone looking to manage their U.S. dollar expenses more effectively.
Applying for the card is easy and can be done online or in person at a BMO branch. By taking full advantage of its features, you can simplify your finances and save money on your cross-border transactions.
