At Remitly, we’re here to help you feel empowered about your money and grow your financial literacy. If you’re a newcomer to Canada, or if you’re just visiting the country, approaching an ATM might feel anxiety-inducing and foreign.
In this guide, you’ll learn how to use ATMs in Canada and the fees associated with different ATM transactions.
How to use Canadian ATMs
Using an ATM in Canada is similar to using an ATM anywhere else in the world. To get cash, you’ll insert a debit card or credit card, select withdrawal, and choose an amount. However, if you’re not a Canadian citizen, the process might feel a little overwhelming. There are a few things to keep in mind to make sure you’re using ATMs to your benefit.
Step-by-step guide to using an ATM in Canada
- Find an ATM
First, you have to find an ATM. The best situation is that you use an ATM that is associated with your own bank. If that’s not possible, and you’re looking for any ATM, try to find a local bank branch. Otherwise, look for ATMs around grocery stores, gas stations, or shopping malls.
- Insert your card
Start a transaction at an ATM by inserting your debit card or credit card into the card reader. Don’t be alarmed if your entire card is taken into the machine or if your card is “locked” in place once inserted. This is common for some ATMs, and your card will be instantly returned to you once you finish or cancel a transaction.
- Enter your PIN
You’ll be prompted to enter your Personal Identification Number or PIN to confirm your identity. Carefully and discreetly insert your PIN. It’s good practice to shield the keypad with one hand as you enter your PIN to make sure no one else sees your number.
- Select your transaction
The most common transaction on an ATM is a withdrawal. Cash withdrawals allow you to access cash instantly. Some ATMs might offer an option like “fast cash,” which is associated with common, preset amounts like $25, $50, or $100 Canadian dollars.
- Indicate the amount
Choose a cash option offered to you or input your desired amount using the keypad.
- Confirming
You’ll usually be prompted to confirm the withdrawal. At this stage of the process, you’ll often receive some information about ATM fees. If you agree with the transaction, select confirm.
- Receipts
Many ATMs will ask whether or not you want a receipt for your transaction. Once you make a selection, you’ll receive your cash and your card will be returned to you.
Tips for first-time users to ensure safe transactions
If you’re new to using Canadian ATMs, there are a few things you can do to ensure that you conduct a smooth and easy transaction. First, set the ATM to your native language if there is an option to do so. This will make sure that you completely understand the transaction.
If your native language is not an option on the ATM, consider using a translation function on your smartphone, like Google Translate. This will allow you to use your smartphone’s camera to instantly translate what’s on the ATM screen. Using a translation tool is better than asking someone for help with the ATM’s language because it allows for your translation to be completed privately.
Security measures to consider when using ATMs
You should always complete ATM transactions alone. This ensures that your PIN number stays secret. You should also shield your hand as you enter your PIN number to prevent anyone from watching your movements.
It’s a good idea to use reputable ATMs. This ensures that the ATMs are well-maintained and routinely inspected. In general, an ATM associated with a physical bank branch is a safe bet.
Before you use an ATM, check to make sure that it looks like it’s in good condition. Be careful of any ATMs with suspicious wires or cameras. Don’t use any ATM whose keypad seems to be thicker, different, or newer than the rest of the ATM.
When you’re using an ATM, most people know that you’re taking out cash. This makes you somewhat vulnerable to pickpockets. Make sure that you’re using an ATM in a public location, and avoid using ATMs late at night to minimize the risk of theft.
Understanding ATM fees in Canada
When you’re using an ATM, there are two chances of receiving a fee: from your bank or from the ATM operator. Here’s what you need to know to avoid unnecessary charges.
Common fees associated with ATM transactions
- The ATM operator’s fee
The owner of the ATM, whether it is a bank or a private owner, can charge a fee for each transaction. In Canada, this fee is usually about CAD$2 to CAD$5. If the ATM operator is a bank, they typically waive this fee for their own customers.
- Your bank’s fee
When you use an ATM that does not belong to your bank, your bank could charge you a fee. Typically, your bank will charge you a flat rate fee or a percentage of the withdrawal amount. This fee is in addition to any ATM operator’s fee that you’re charged for the transaction.
- International transactions fees
You might receive additional fees when your banking currency is different from the currency of the cash you’re receiving. These fees are typically associated with currency conversion and exchange rates.
How to avoid unnecessary charges
One way to avoid ATM charges is to simply not use them. If you still need access to cash, you can make a withdrawal directly from your bank account. If you’re travelling to a foreign country, your bank will be able to provide you with cash in other currencies, but you might have to order it in advance.
Another way to avoid ATMs altogether is to leverage the cash-back feature when making purchases. Some merchants will offer this service at no charge as an alternative to ATMs. Essentially, the store will charge you more than the total of your purchase. You complete the purchase using a qualifying debit card or credit card and the merchant will return the extra money to you as cash from their register.
If you have to use an ATM, look for one with low operator fees. If an ATM charges CAD$5 or more and you don’t need cash right away, keep looking. In Canada, Costco is known for having low ATM fees, sometimes charging CAD$2.
Using ATMs within your bank’s network to save on fees
If you do have to use an ATM, try to use one that belongs to your own bank. If you’re a frequent traveller or you need to use ATMs that don’t belong to your bank, consider your different debit card and credit card options. Some cards will allow you to use any ATM without any additional bank fees. Some banks and credit cards will even cover the charge of the ATM operator’s fee.
Accessible ATM locations
The best way to find an ATM is to use your own bank’s ATM locator. This is a common tool provided by banks that is accessible by web page or mobile app.
You can also use locators like The Exchange or Ding-Free to find ATMs. Typically, these locators are focused on finding ATMs that have low fees or none at all.
If all else fails, you can always use map apps on your phone to find nearby ATMs. Simply pull up your favourite map and search “ATM.” If you don’t have access to a smartphone, look for an ATM in common places like supermarkets, gas stations, and strip malls. Restaurant and bar staff are typically knowledgeable about the nearest ATM locations.
Making transactions at Canadian ATMs
When people think of ATMs they usually think of withdrawing cash. However, ATMs are able to perform many of the transactions that are associated with banking. Read on to make the most of your ATM experience.
Depositing cash
If you need to deposit cash, you can avoid a trip to the bank by doing it at an ATM. Not all ATMs accept deposits and it’s a best practice to only deposit cash into your own bank’s ATM. Here’s how you do it:
- Find an ATM. Even if an ATM accepts deposits from non-customers, you’ll want to always try to make deposits at your own bank’s ATMs. Use your banking app to find an ATM near you.
- Enter your PIN. As always, be sure to be conscientious about security.
- Select the option to make a deposit. At many ATMs, you can deposit cash or a check. You will be prompted to select the type of deposit you are making.
- Follow the on-screen instructions. You’ll be prompted to insert your cash or check and confirm the transaction.
- Select whether or not you’d like a receipt. For deposits, it’s a good idea to get a copy of your receipt and hold onto it until you see the deposit reflected in your account.
Other transactions you can perform
Beyond withdrawing and depositing, ATMs can be a great resource for you. ATMs are becoming more advanced and can complete a lot of different transactions. The available transactions on an ATM will increase if you’re using an ATM from your own bank. Here are some examples of what an ATM can do:
- Conduct a balance inquiry.
- Transfer money between your own accounts if you have more than one account at the same bank.
- Pay bills via electronic funds transfer (EFT).
Tips for international travellers and new residents
If you’re travelling through Canada or you’re a new resident, you can access a lot of tips about how to use ATMs on the Canadian government’s website.
ATMs are just the tip of the iceberg when it comes to banking in Canada. If you’d like to understand more about the Canadian banking system, financial literacy, or money-smart tips for travellers and new residents, check out our other Remitly blog posts.
FAQs
Do ATMs in Canada charge fees?
Yes. Canadian ATMs typically charge small fees ranging from around CAD$2 to CAD$5. Using your own bank’s ATMs can help you avoid these fees.
Can Americans use Canadian ATMs?
Yes. Americans—and other international travellers—can use their cards in Canadian ATMs. Look for ATMs that display international card network logos, like Visa or Mastercard.
What should I expect when using a foreign card at an ATM in Canada?
Expect fees. Although you’ll be able to use a foreign card at almost all ATMs in Canada, you’ll be charged a usage fee. This is usually somewhere between CAD$2 and CAD$5. You will likely also be charged a fee from your bank for processing in an international currency. This is usually 1-3% of the withdrawal amount. If you are prompted to choose between currencies, always choose the local currency, in this case CAD. This will avoid hidden fees associated with currency exchange rates.