Quick overview
The BMO U.S. Dollar Mastercard®* is made for people who are often dealing in U.S. dollars, helping them save on foreign transaction fees.
So, if you shop online on American sites or travel often to the United States, it’s a solid solution. But, it doesn’t offer any rewards for your spend, and you’ll need a USD bank account to pay off your credit card bills. In other words, you’ll likely also want to get BMO’s U.S. Dollar Primary Chequing Account (don’t worry, it’s free).
Who is the BMO U.S. Dollar Mastercard®* best suited for?
The card is ideal for frequent flyers and travellers to the U.S. or if you’re often shopping on sites that operate in the U.S. and ship to Canada. You’ll need a good credit score to qualify.
Pros and cons of BMO U.S. Dollar Mastercard®*
Pros
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Savings on foreign transaction fees: Ideal for transactions in U.S. dollars, saving users the usual 2.5% foreign transaction fee
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Annual fee rebate: The annual fee is waived if you spend more than US$1,000 per year.
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Additional card options: You have the option to get additional cards for family members or employees for free.
Cons
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Limited rewards: No cash back or travel points.
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U.S. dollar payments: Balances must be paid in U.S. dollars.
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Credit score requirements: A higher credit score may be required to qualify for this card.
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Limited insurance included: Purchase protection for 90 days and extended warranty, but no travel insurance.
Welcome bonus
- Currently, there is no welcome bonus for BMO U.S. Dollar Mastercard®*.
Earn rate
- BMO U.S. Dollar Mastercard®* does not offer a points accumulation system or cash back rewards.
Key benefits
- Savings on foreign transactions: You forgo the 2.5% foreign transaction fee for purchases made in the U.S.
- Annual fee waiver: Get the US$35 annual fee waived when you spend US$1,000 on your card in the year.
- Ease of use: BMO U.S. Dollar Mastercard®* is widely accepted, making it a convenient option for travel or online shopping in the U.S.
Insurance coverage
- Extended warranty: 1 year
- Purchase protection: 90 days
Extras
- Add an additional cardholder for free.
- Fraud alerts on your smartphone that keep on eye on suspicious activity.
- You can pay extra to add-on roadside assistance.
How the BMO U.S. Dollar Mastercard®* compares
BMO US Dollar Mastercard®* vs. TD US Dollar Visa Card
The TD U.S. Dollar Visa has a $39 USD annual fee (which you can waive with the TD Borderless plan chequing account). Like the BMO U.S. Dollar Mastercard®*, there are no rewards, but the TD card includes travel accident, rental car and trip interruption insurance.
Unless you’re a long standing BMO customer, it might be worth it to switch for the insurance alone.
BMO US Dollar Mastercard®* vs. RBC US Dollar Visa Gold
The RBC U.S. Dollar Visa Gold card charges as $65 USD annual fee, $30 USD for an additional card, but it rewards you with one Avion point for every U.S. dollar spent and provides insurance coverage:
- Travel accident insurance up to $500,000 per covered person (applicant, applicant’s spouse, dependent child, additional cardholder).
- Trip cancellation and interruption insurance up to $2,500 each for all covered persons per trip.
- Delayed baggage insurance $500 max, up to $2,500 for all covered persons. Rental car insurance for up to 48 days for a vehicle valued at no more than $65,000 CDN.
For snowbirds, the RBC U.S. Dollar Visa Gold is a great alternative to the BMO card thanks to the insurance—if you’re okay with the higher annual fee. You may want to get another RBC Avion card to rack up your Avion points in Canada—where you can save at Petro-Canada, Rexall and DoorDash.
However, if you’re a BMO customer, a no annual fee card may be just what you need.
Is the BMO U.S. Dollar Mastercard®* worth it?
If you’re a BMO customer already, it’s easy to get this card and potentially get its annual fee rebated to save money on exchange rates in the U.S. However, its lack of rewards and travel insurance should weigh heavily in your decision, even if it means overhauling your bank accounts and other credit cards.
FAQs
Tyler Wade has worked in personal finance for over 5 years writing for brands like Ratehub, Forbes, KOHO, and now Money.ca.
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