Air Canada and CIBC launch multicurrency prepaid card for travellers
 

http://www.newswire.ca/news-releases...594789921.html

TORONTO, Sept. 26, 2016 /CNW/ - Air Canada (TSX: AC) and CIBC (TSX: CM) (NYSE: CM) today introduced a first-of-its-kind multicurrency prepaid card in Canada, allowing Canadians to purchase and store multiple currencies that can be used at retailers around the globe wherever Visa is accepted.

The CIBC Air Canada Conversion Visa Prepaid Card, available exclusively through Air Canada, is a reloadable prepaid card that allows clients to store up to 10 currencies on one card, all managed by a dedicated mobile app.

Benefits include:

Managing up to 10 currencies online or through the card's mobile app without the worry of fluctuating foreign exchange rates
Making point-of-sale, tap and pay transactions, ATM withdrawals and online purchases anywhere Visa is accepted - automatically in the local currency
No additional fees when used at retailers
Ability to view latest activities and purchases; check card balance(s); move funds between currencies
Chip and PIN security, emergency card replacement and emergency cash disbursement bring peace of mind to cardholders


"Air Canada carries 41 million customers each year to more than 200 destinations on six continents. To make their travels even more convenient, we have partnered with CIBC to create a prepaid global currency card. This innovative card gives travellers flexibility and security when dealing with foreign currencies so they can focus on exploring new places," said Duncan Bureau, Vice President, Global Sales at Air Canada.

"As a leading provider of foreign exchange in Canada, we are pleased to deliver this innovation in partnership with Air Canada – a first in North America, making it easier to pay for purchases in foreign currency when travelling outside of the country," says Vineet Malhotra, Head, Alternate Solutions Group, CIBC Capital Markets.

Currencies:

Australian dollar-AUD
Canadian dollar-CAD
Euro-EUR
Great British pound-GBP
Hong Kong dollar-HKD
Japanese yen-JPY
Mexican peso-MXN
Swiss franc-CHF
Turkish lira-TRY
U.S. dollar-USD


The CIBC AC Conversion Visa Prepaid Card is available at no fee via acconversion.cibc.com.

How it works:
If you travel frequently, the CIBC AC Conversion Visa Card allows you to purchase foreign currency with your smartphone app at your convenience at a fixed Exchange rate. You will also have the benefit of chip and pin security, the ability to tap and pay, and one free ATM withdrawal per country each month.

This seems like a good thing... I must be missing something.

No points to earn though right?

Etihad has had something like this for a while, only they went a step further: their every loyalty card is also a multi-currency debit card, if activated so.

I want to see the "convenient fixed exchange rate" before I judge. I'm willing to bet it's several percentage points worse than my bank or credit card's rate.

This was launched earlier this summer and seemed to offer a MS opportunity for Canadians because it was loadable with a credit card. The load opportunities on this retooled version now seem to be more restricted.


Cheers

'm just confused as to why the card would only be available through AC. Seems like a narrow sales channel for a card the bank could issue itself, only or through its branches. I suppose there is a bit of extra cachet having AC's brand on board, but they could have done that and still maintained a wider sales channel.

Rate to buy $100 USD was $0.11 cheaper than what my bank would've charged me. Not terrible... definitely going to give this card a shot.

What happened to the relationship with TD ? Or is that a Aeroplan card and this is a Altitude branded card ? I know there is no points but seems strange they would use another CC partner

So... basically you loan AC a bunch of money, interest-free, on the hope that exchange rates will get worse before you've had a chance to use the money?

...and you're betting that you'll use exactly that amount of each currency, and never end up stuck with $3.72 worth of each currency that you can't get off the card, or have to try and persuade a cafe in Nha Trang to do a part-Visa, part-cash transaction?

Forgive my lack of vision, but if this is restricted to businesses that accept Visa, what is the benefit to this card over a no-exchange fees Visa card?

Wouldn't it be advantageous if the rate was 1 or 2 percent better than what CIBC ordinarily offers for FX? If you knew you were going to rack up $20k in hotels in a long trip the $200-$400 in FX savings could be worth it. Or if you were going to someplace that makes you pay in USD and 100% before arrival (like many safari lodges in Africa or most everybody in the Maldives). I have no idea how big a market that is, but... and I didn't think there was a no FX fee card available in Canada. I would love to be proven wrong on that!

Every Chase card ever?

I learn something every day.

And in that case I fail to see the point of the AC card discussed here. :)

Almost definitely it is a rip off. For any serious traveler who cares about their FX rates - they need to get one of the Chase Bank cards in Canada (Amazon, Scotiabank, Marriott) as they offer basically no spread markup on the FX rate and also give you your value back (Amazon is straight 1% on all purchases.) - - I wouldn't trust this new gimmick card as far as I could throw the card out of the airplane window.

The 3 Chase bank cards I mentioned are no FX fees. The green Amazon card is no fee / no FX fees plus 1% back on all purchases. You can't get much better than that. It makes all my travels (and there are lots of travels) much more relaxing on FX. . . . (We even have a second card we use solely to get foreign cash from the machine).

Meh. Make a normal CC with no FX fees over the interchange rate and then we'll talk. Chase Amazon Visa is my go-to for all overseas use.

ding ding ding ding