function calculateTDCost() {
// Get input values
var amount = parseFloat(document.getElementById('purchaseAmount').value);
var rate = parseFloat(document.getElementById('exchangeRate').value);
var feePercent = parseFloat(document.getElementById('tdFee').value);
// Validation
if (isNaN(amount) || amount <= 0) {
alert("Please enter a valid purchase amount.");
return;
}
if (isNaN(rate) || rate <= 0) {
alert("Please enter a valid exchange rate.");
return;
}
if (isNaN(feePercent) || feePercent < 0) {
alert("Please enter a valid fee percentage.");
return;
}
// Calculations
// 1. Convert foreign currency to CAD using base rate
var baseConverted = amount * rate;
// 2. Calculate the fee (Percentage of the converted amount)
var feeValue = baseConverted * (feePercent / 100);
// 3. Total cost
var total = baseConverted + feeValue;
// 4. Effective Rate (Total Cost / Original Foreign Amount)
var effective = total / amount;
// Display Results
document.getElementById('results').style.display = 'block';
document.getElementById('baseAmount').innerHTML = '$' + baseConverted.toFixed(2);
document.getElementById('feeAmount').innerHTML = '$' + feeValue.toFixed(2);
document.getElementById('totalCost').innerHTML = '$' + total.toFixed(2);
document.getElementById('effectiveRate').innerHTML = effective.toFixed(4);
}
Understanding TD Visa Foreign Exchange Fees
When you use your TD Visa card to make a purchase in a currency other than Canadian dollars, the transaction undergoes a currency conversion process. This calculator helps you estimate the final cost on your statement by accounting for both the market exchange rate and the bank's administrative markup.
Key Takeaway: Most TD credit cards charge a standard Foreign Transaction Fee of 2.5% on top of the converted amount.
How the Calculation Works
The total cost of a foreign transaction is calculated in two steps:
Base Conversion: The foreign currency amount is converted to Canadian Dollars (CAD) using the rate established by Visa International on the day the transaction is posted.
Fee Application: TD adds a percentage fee (usually 2.5%) to the converted CAD amount.
For example, if you spend $100 USD and the exchange rate is 1.35, the base cost is $135 CAD. The 2.5% fee adds roughly $3.38, bringing your total to $138.38.
Why is the "Effective Rate" Higher?
You may notice that the exchange rate on your credit card statement looks higher than what you see on Google or news sites. This is because the "Effective Rate" combines the market rate plus the 2.5% fee. This calculator shows you that effective rate so you can compare it directly against cash exchange rates.
Tips for Traveling with a TD Visa
Pay in Local Currency: Always choose to pay in the local currency (e.g., Euros in France) rather than CAD. If a merchant converts it for you (Dynamic Currency Conversion), the exchange rate is often much worse than the 2.5% fee TD charges.
Check for Exemptions: Some premium credit cards waive the foreign transaction fee. If you have a specific travel card, set the "TD FX Fee" input to 0 in the calculator above.
Monitor Posting Dates: The exchange rate used is determined on the date the transaction posts to your account, which may be a day or two after the actual purchase.
Frequently Asked Questions
Does this calculator apply to TD US Dollar Visa Cards?
If you use a TD U.S. Dollar Visa card for a USD transaction, there is generally no conversion fee. However, if you use it for a third currency (like Euros), conversion fees will apply.
Is the fee charged on refunds?
Generally, foreign transaction fees are not refunded when you return an item, as the currency conversion service was already performed. You may lose money on the spread between buying and selling rates.