I'm looking to transfer $50K USD from my Canadian-based TD USD account to my Canadian-based CAD account which are both at TD.

Could anyone comment on using these services below or share their experience or suggestions. I'm leaning towards Wise. Thank you!

Perplexity generated the following solutions:

1. TD Foreign Exchange Service (Direct Conversion)

Use TD’s built-in currency conversion tool in EasyWeb:

1. Log into EasyWeb → Select Transfers → Foreign Exchange (Canada/US).

2. Choose your USD account as the source and CAD account as the destination.

3. Confirm the exchange rate and submit.

Costs:

• TD applies a ~4% hidden fee via unfavorable exchange rates (e.g., mid-market rate: 1.31, TD rate: ~1.27)[3].

• Example: Converting $1,000 USD to CAD would lose ~$40 USD to fees.

Pros: Instant, no third-party involvement.
Cons: High effective fees, making it costly for large amounts.

2. Norbert’s Gambit (Low-Cost DIY Method)

A securities-based strategy to minimize fees:

1. Open a TD Direct Investing account (if you don’t have one).

2. Transfer USD from your TD USD account to the brokerage.

3. Buy a USD-denominated ETF (e.g., DLR.U.TO).

4. Journal shares to the CAD version (DLR.TO) by contacting TD.

5. Sell the CAD-denominated ETF and transfer proceeds to your TD CAD account.

Costs:

• $9.99 USD per trade (buy/sell) + potential minor spread loss.

• Total fees: ~$20 USD for trades, ideal for transfers >$5,000.

Pros: Saves ~80% compared to TD’s forex rates.
Cons: Requires brokerage account and 2–3 business days[4][7].

3. Third-Party Forex Services

For better rates, use external providers like Wise or KnightsbridgeFX:

1. Link your TD USD account to Wise.

2. Convert USD to CAD at near-mid-market rates (~0.4% fee).

3. Transfer converted CAD to your TD CAD account.

Costs:

• Wise: ~$4 USD fee per $1,000 transferred.

• KnightsbridgeFX: No fees for transfers >$10,000 (rate markup ~0.5–1%).

Pros: Better rates than TD, fast (1–2 days).
Cons: Requires external account setup[6][7].

Key Considerations:

• Small amounts (<$1,000): TD’s forex tool is simplest despite higher fees.

• Large amounts (>$5,000): Norbert’s Gambit saves hundreds in fees.

• Urgency: Wise balances speed and cost for moderate sums.

TD’s cross-border services (e.g., linking U.S. TD accounts) aren’t required here, as both accounts are Canadian-based. Always compare TD’s exchange rate with the mid-market rate (XE.com) before converting.

I have a US dollar checking account at TD (Canada). I have tried several payment services like Paypal to try to connect those to my US account but there seems to be a rule that they can only connect to accounts that contain currency of the country they are located in. Is this some sort of anti-money laundering rule? My only option to avoid currency conversion fees is to write a paper cheque, but no everyone accepts that. I could in theory transfer the US funds to my broker account, buy an ETF in US dollars then "journal it over" to the Canadian equivalent ETF to avoid currency conversion fees (but still pay a broker fee to do so).

It would be risky but doe Crypto exchanges in Canada accept US funds?

Has anyone found any other way to transfer US funds without being forced to convert them to Canadian first?

I'm just so sick of everywhere I turn, someone wants their 2-3% (or more).

EDIT: I should clarify my end goal. I want to move my USD funds to either the US balance of my PayPal account or my US balance of my WISE account. Neither of these 'Fintechs' allow me to just transfer US funds from a Canadian based bank in Canada. To pay TD 3.5% to convert to Canadian dollars to then move to PayPal or Wise, where I would then have to convert again (to USD) is abhorrent. Opening a Cross border US based account in not ideal. I wouldn't have funds sitting in that account long enough to waive their $5 a month fee.