17 replies to this topic

[ValGal]

This question is in regards to exchanging larger amounts, such as for a car or house purchase.  Not something you want to go to the ATM for.

 

When you deposit or cash a US or Canadian check at one of the local banks, can you check on the rate of exchange before you get there?  Is the rate fixed even before the check clears?

 

How far from the interbank rate is the exchange rate you are getting?

 

For example:  The interbank rate for Canadian to Peso is 12.02

The interbank rate for US dollars to peso is 12.32

 

The exchange rate I received at a foreign exchange bank today, for Canadian to Peso is 11.88

How can I compare this rate, on line, with what I would get just cashing a check at Intercam?  Does the rate change, depending on the amount of the check?

 

I think we had a similar post to this, about a year ago.... however the focus was on smaller amounts for day to day living, not larger amounts where exchange rates can make a huge difference.

[El Saltos]

To get the best exchange rate use wire transfer.  For checks the best rates at at Intercam and Monex.  Talk to them.

[AlanMexicali]

This question is in regards to exchanging larger amounts, such as for a car or house purchase.  Not something you want to go to the ATM for.

 

When you deposit or cash a US or Canadian check at one of the local banks, can you check on the rate of exchange before you get there?  Is the rate fixed even before the check clears?

 

How far from the interbank rate is the exchange rate you are getting?

 

For example:  The interbank rate for Canadian to Peso is 12.02

The interbank rate for US dollars to peso is 12.32

 

The exchange rate I received at a foreign exchange bank today, for Canadian to Peso is 11.88

How can I compare this rate, on line, with what I would get just cashing a check at Intercam?  Does the rate change, depending on the amount of the check?

 

I think we had a similar post to this, about a year ago.... however the focus was on smaller amounts for day to day living, not larger amounts where exchange rates can make a huge difference.

The exchange rate for larger amounts can be negotiated before you send the wire transfer. If not you might get the rate they chose which will be the most fees/percentage they can get, usually.

[Frijoles]

For example:  The interbank rate for Canadian to Peso is 12.02

 

The exchange rate I received at a foreign exchange bank today, for Canadian to Peso is 11.88

 

 

Please tell us where and how you received this exchange rate.  Thanks.

[kbleitch]

I received 12.1522 pesos = USD1.00 on 19 May at 9:00 p.m. when I used Wells Fargo's "Express Send" function to transfer funds from our WF account NoB to our Bancomer account here.

[traderspoc]

I use intercom for small checks to get best rate if account holder, they give a better rate.

 

 

large checks deposit investment account at multiva,  always get a better posted rate

[Hernan Santiago]

Earlier this week, I deposited a check from my US bank into my Multiva checking account. The exchange rate is posted daily for Multiva clients. When I deposited the check on Monday it was 11.99. Today it was 12.00. Has been less than 12 for the last six months.

[ValGal]

 

Please tell us where and how you received this exchange rate.  Thanks.

I signed up with HiFx from the UK.  I found this was best for Canadian to Peso, back in 2008.  I only have used them three times, but I saved almost 900 dollars on the last transaction over what Actinver would have given me and more with what HSBC would have given me has I wired the money directly to my peso accounts there.

 

I use one called currency exchange online for Canadian to US.

[ValGal]

Earlier this week, I deposited a check from my US bank into my Multiva checking account. The exchange rate is posted daily for Multiva clients. When I deposited the check on Monday it was 11.99. Today it was 12.00. Has been less than 12 for the last six months.

Canadian?  If so, that is really good.

 

Edit:  I am sorry... I see that was US.  That does not seem very good to me.  

[El Saltos]

The topic heading on this thread is incorrect, you can't "cash" a foreign check here.

[ValGal]

I will open up a Multiva account next week.  I will then have an actinver, multiva and hsbc account.  I will check with all of them on my next transaction date and find out what rate they will give me, and what the difference would be for check vs wire transfer.  I will let you know.

 

What I like about HiFX is that I can order pesos at 1 canadian dollar to 12.50 pesos, and if it hits that rate....  they send me email and I have two days to make the purchase.  It beats having to check every day.

 

you can lock down a rate for future transactions.

[ValGal]

The topic heading on this thread is incorrect, you can't "cash" a foreign check here.

 

 

Ahh.  Some of my friends have accounts where they get cash immediately, though the check has not cleared.  However, that is because they have deposits to secure the funds.  Interesting.

[bournemouth]

The topic heading on this thread is incorrect, you can't "cash" a foreign check here.

Actually, you can cash a check at Intercam.  Homeowners do not need to have funds on deposit but renters do.

[El Saltos]

Nice!

[ValGal]

I received 12.1522 pesos = USD1.00 on 19 May at 9:00 p.m. when I used Wells Fargo's "Express Send" function to transfer funds from our WF account NoB to our Bancomer account here.

 

 

Look at post #7.  Multiva gave 11.99, for a check, on the same date.  Now... you can usually negotiate a better rate for large amounts.  Imagine if you are talking about 20,000 dollars.  That is a 3000 peso difference!

[privado]

I just went through this with Banco Patrimonial- Bancomer (Private Investment Bank) which gives people a lot more privileges if you have an investment and checking account

 

The Exchange Rate changes HOURLY according to the stock market- The daily rate posted on line at your bank does not change hourly as Money Market goes up and down throughout the day and could be lower at the close of the market

the posted rate is NOT GUARANTEED-you get the rate the market is showing at the end of the business day your wire transfer is deposited-  Bancomer may receive the wire on Wed. afternoon-but generally if it is posted after 3pm  funds show in your account BUT will not be available for cash withdrawals until the next business day. 

 

If you deposit a US or Canadian Check in dollars (10,000.00) -It's free_ But, it takes 7 days for the bank to post the deposit to your account (even though  they can verify your check  in 24 hrs) US banks used to make you wait 3 days-  Use a wire Transfer It costs now at B of A $45.00.

[El Saltos]

The exchange rate is not governed by the stock market, but rather the money market which is not related to the stock market.  The exchange rate changes in real time.  At my bank it's moment to moment.  When I deposit a check I get the exchange rate AT THAT MOMENT.  I'm not sure how it works with a wire transfer.  A wire transfer from my investment firm in the USA costs me nothing.

[John Shrall]

The exchange rate is not governed by the stock market, but rather the money market which is not related to the stock market.  The exchange rate changes in real time.  At my bank it's moment to moment.  When I deposit a check I get the exchange rate AT THAT MOMENT.  I'm not sure how it works with a wire transfer.  A wire transfer from my investment firm in the USA costs me nothing.

 

This is absolutely correct. You will get the best rate if you use a transfer mechanism which utilizes real time exchange rates. That's the way ATMs work. When a transaction is in flight between 2 currencies, switches like Cirrus or Plus assign the exchange rate at the instant they receive the message from one country and pass it on to the receiving country. That's why you can perform back to back transactions at an ATM and get debited a different amount. The same can apply with wire transfers.

 

If a bank or cambio is guaranteeing an exchange rate, they are setting buy and sell levels that guarantee them a profitable spread and is not necessarily in your best interests. Watch the USD/MXN rate on a site like Yahoo. For larger dollar amounts you should get fairly close to that rate.

 

I transferred about $30,000US via wire (no charge using Ameritrade) to buy a car and found that Bancomer used the real time exchange system. Last year I was going to buy a Mexican plated car to replace the US one because I was going inmigrado which ended up permanente. Turned out the used car only cost about $18,000 so the rest remained in Mexico.