NationStates Jolt Archive


USD versus CDN?

Dakini
06-06-2007, 01:40
So I got a cheque from my grandma for graduation. She lives in the US and I live in Canada. Normally when I deposit cheques from my grandparents they end up being worth a fair bit more than the dollar amount, but the USD has been doing poorly lately so it's about par.

Does anyone know if it's expected to get any better in the near future? (or at least not any worse) It would really suck if I deposited the cheque and then the next day the USD went up and I sit there going "damn, I could have had $x more if I'd waited one day..."
Barringtonia
06-06-2007, 01:45
The answer depends on how much the cheque is worth.

If it's for $100 then no point bothering to wait as you'll not be making much anyway.

If it's for $1M, you need to send me a 5% consultation fee before I can give you an answer.
Dakini
06-06-2007, 01:49
$1000. It's not a huge amount for a lot of people, but for me it is and getting a little more wouldn't hurt.
Seangoli
06-06-2007, 01:52
$1000. It's not a huge amount for a lot of people, but for me it is and getting a little more wouldn't hurt.

No. The USD is plummeting, more or less. Inflation and all that crazy jazz.
Dakini
06-06-2007, 01:52
No. The USD is plummeting, more or less. Inflation and all that crazy jazz.
So sticking it in the bank asap is a good idea then...?
Kryozerkia
06-06-2007, 01:53
At the current rate, I'd say cash it now. The Canadian dollar is not going to weaken unless the Bank of Canada raises the rate.

Lofty dollar takes a pause (http://www.cbc.ca/money/story/2007/06/05/dollar.html) - from yesterday on our dollar.
Infinite Revolution
06-06-2007, 01:54
how does your bank know the check is made out in US dollars rather than Canadian ones? i'm probably being really stupid but i can't imagine how it works.
Barringtonia
06-06-2007, 01:56
To be annoyingly pedantic, it is a significant amount for at least 90% of this world.

I'd put it in the bank, my bank to be specific thanks.

Having said that, I'm not sure how much lower the dollar can go - I've been told it's worth putting into Chinese RMB, which can only go up against the dollar regardless, but that might be more time than you're willing to wait before needing to buy whatever it is you buy on impulse.
Dakini
06-06-2007, 02:08
how does your bank know the check is made out in US dollars rather than Canadian ones? i'm probably being really stupid but i can't imagine how it works.
I have to go to the teller and let them know. With Canadian cheques I just stick them in the atm.
Infinite Revolution
06-06-2007, 02:10
I have to go to the teller and let them know. With Canadian cheques I just stick them in the atm.

oh wow, so really you could pretend that cheques written in Canadian dollars were in fact for US dollars? i guess that'd be stealing, bet it happens though.
New Manvir
06-06-2007, 02:11
So I got a cheque from my grandma for graduation. She lives in the US and I live in Canada. Normally when I deposit cheques from my grandparents they end up being worth a fair bit more than the dollar amount, but the USD has been doing poorly lately so it's about par.

Does anyone know if it's expected to get any better in the near future? (or at least not any worse) It would really suck if I deposited the cheque and then the next day the USD went up and I sit there going "damn, I could have had $x more if I'd waited one day..."

The Canadian Dollar IIRC, is supposed to be near $0.96 US by like.....September-ish.....but I think it is going to either stay the same or go up...
Dakini
06-06-2007, 02:12
To be annoyingly pedantic, it is a significant amount for at least 90% of this world.
Yes, but I'm going to guess it isn't for most of the people who frequent this site since they can at least afford a computer and probably have a fair bit more than me.

Having said that, I'm not sure how much lower the dollar can go - I've been told it's worth putting into Chinese RMB, which can only go up against the dollar regardless, but that might be more time than you're willing to wait before needing to buy whatever it is you buy on impulse.
Well, I'm not sure if it will drop either, but I also don't want to wait forever to cash the cheque since it will take that long for the money to leave my grandma's account and while I'm sure that if she's giving me the money as a graduation present she can afford to do so, that doesn't mean that I should let enough time pass that she might forget she gave it to me or something...

And I'm not going to buy anything on impulse. It's likely that I'll end up using this cheque for the deposit after I find a place to live for next year... or for the trip I'm going to take... well, either way amounts to the same since I'm putting money into my account from my job anyways and this will basically be in addition to that and all.
Dakini
06-06-2007, 02:14
The Canadian Dollar IIRC, is supposed to be near $0.96 US by like.....September-ish.....but I think it is going to either stay the same or go up...
Right now the Canadian dollar is at 0.94 apparently.
Fassigen
06-06-2007, 02:16
$1000. It's not a huge amount for a lot of people, but for me it is and getting a little more wouldn't hurt.

Have them issue you a check in €1000 or, better yet, £1000?
Seangoli
06-06-2007, 02:58
Right now the Canadian dollar is at 0.94 apparently.

I remember when it was worth about 80-some cents a dollar.

Our economy is BOOMING. As in, it's blowing up. Going out with a bang. The last hurrah.

Pessimism for the win.
Seangoli
06-06-2007, 03:00
So sticking it in the bank asap is a good idea then...?

Yes. But really, if you wait a month or two, the difference will be null. As well, even a year from now, it will be mostly negligible. More or less.
Marrakech II
06-06-2007, 04:04
I would cash it now. Another note to this whole question is how far are they going to let the dollar slide? I wonder what the grand plan is. Maybe a jobs creation program. Cheaper US goods equal higher exports.
Dakini
06-06-2007, 05:05
Have them issue you a check in €1000 or, better yet, £1000?
Umm... since it's a gift from my grandma who lives in the US I don't think I'm going to be picky on what currency she gives me. I'm quite happy to get anything at all, however it costs her $1000 USD whether the canadian dollar is worth $0.80 or $0.96, it's just that I get more canadian dollars out of the deal if the difference is bigger.
Barringtonia
06-06-2007, 05:10
Purely on an etiquette basis, you should cash/bank cheques when you receive them regardless of currency exchange rates.
Delator
06-06-2007, 07:13
Purely on an etiquette basis, you should cash/bank cheques when you receive them regardless of currency exchange rates.

QFT
Vetalia
06-06-2007, 07:16
Currency fluctuations on a day to day basis in the forex market are so small that you'd be hard pressed to make a significant amount of money trying to speculate on them anyways, especially with only $1,000. Now, if it were a check for $100,000, I could see trying this, but really, the benefit is marginal at best with such a small amount of money. You're better off cashing it now unless you're really following the markets.

I mean, unless you pull a George Soros and make an incredible bet on a given currency, you're not making any real money.
East Canuck
06-06-2007, 13:49
I'd cash it now. The tendency for the CDN dollar is up. You'd have to wait at least a year before to dollar goes down below what it is now unless a major change occurs.

With the big surge of foreign investment buying all canadian companies and the economy that is booming beyond belief, the dollar will not fall soon.
Dakini
06-06-2007, 19:25
Purely on an etiquette basis, you should cash/bank cheques when you receive them regardless of currency exchange rates.
Well, yes, which is why I was thinking about waiting a week or two at most. But I'm making a trip out there today assuming I can get there before the bank closes (I'm hoping this other location doesn't have hours that are as stupid as the one closest to my house)