The Hidden Cost of Getting Paid in USD as a Canadian Business

Congratulations! You expanded globally as a Canadian business, are earning a steady stream of USD but by the time it landed in your Canadian account it is quietly converted to CAD, and the sum is 1.5–3% lighter.

That’s the hidden cost of forced currency conversion, and it’s draining thousands of dollars from Canadian businesses every year. Whether you're getting paid through Stripe, Shopify, PayPal, or even some “USD” accounts from major banks, you're probably being auto-converted at a markup you didn’t choose, and can’t control.

This article breaks down what forced currency conversion is, why it’s such a margin killer, and what finance teams can do to stop it. Because if you're doing business in multiple currencies, how you receive your revenue is just as important as how you earn it.

How Forced Conversion Impacts Your Margins

Let’s say you invoice a U.S. customer for $10,000 USD.

If you're using Stripe and routing to a typical Canadian CAD account, Stripe will automatically convert the funds before deposit, usually at their own exchange rate, plus a 1.5% cross-border fee.

That’s $150 gone before the money even hits your account.
Now add your bank’s FX spread (2–3% on average), and your $10,000 USD could net $9,600 CAD or less.

Now multiply that by:

• Every U.S. client you bill
• Every Shopify or Stripe payout you receive
• Every month you let this continue

Over a year, this “invisible cost” can wipe out thousands in gross margin, especially for high-volume, low-margin businesses like ecommerce, agencies, and SaaS.

Why Venn makes this go away:

Venn gives you:

• A real U.S. account with ACH and routing numbers, so you can receive USD payments like a domestic vendor
• The ability to hold your USD balance, no forced conversions, no timing risk
• The freedom to convert to CAD only when it makes sense for your business, at a transparent 0.25% FX rate
• Direct USD receiving from Stripe, Shopify, PayPal, and more, without triggering cross-border or FX fees

This means you keep more of what you earn, and you get to decide when and how to convert, not your provider.

How to Know If You’re Being Auto-Converted (And What to Check)

Many finance teams assume they’re receiving funds “in USD”, but unless you have full visibility and control over the settlement process, you’re probably being converted behind the scenes.

Here’s a quick checklist to uncover forced conversion in your current setup:

Are your Stripe or Shopify payouts landing in CAD?

Even if your customers pay in USD, if your connected account is CAD-based, Stripe and Shopify will automatically convert funds before deposit, triggering both FX markup and cross-border fees.

Does your “USD account” at a Canadian bank charge inbound wire fees?

Most Canadian banks label these as “USD accounts,” but they don’t support U.S. domestic payment rails like ACH. Instead, they rely on SWIFT, meaning U.S. clients can’t send you a standard ACH transfer, and you’re hit with $15–$25 fees just to receive your money.

Can you hold foreign currencies and choose when to convert?

If your platform or provider forces automatic conversion into CAD, you’re exposed to FX volatility and can’t optimize your timing.

Do you know your FX rate?

If you only find out after the deposit lands, you’re not in control. This usually means you’re paying more than you should.

How Venn changes the equation:

• Real U.S. receiving account with ACH, not SWIFT
• Hold and manage USD, CAD, GBP, and EUR balances in one dashboard
• 0.25% FX fee with full transparency, always shown before conversion
• Integrates with Stripe, PayPal, and Shopify, letting you bypass forced conversion entirely

With Venn, you finally get the visibility, control, and cost advantage your global business needs.

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What to Look for in a Multi-Currency Platform (That Your Bank Won’t Offer)

Not all multi-currency platforms are built equally, especially for Canadian businesses earning USD. If you're trying to reduce FX costs, hold foreign currencies, and get paid faster, you need more than just a “USD account” from your bank.

Here's what to look for, and why Venn is purpose-built to deliver it.

Real Local Account Details, Not Just SWIFT Access

Most Canadian banks label their USD products as “foreign currency accounts,” but under the hood, they still rely on SWIFT. That means you’re stuck paying inbound wire fees, waiting days for funds to arrive, and losing money to intermediaries.

Venn gives you real U.S. account and routing numbers, so you can receive ACH payments just like a local vendor, no wire fees, no slowdowns, and no forced conversion.

The Ability to Hold and Manage Multiple Currencies

True multi-currency functionality means you can hold balances in USD, CAD, GBP, and EUR, without being forced to convert on receipt. Venn lets you store, manage, and pay from each currency directly, keeping you in control of your FX strategy.

You can convert funds only when it makes sense, not when your platform decides it for you.

Transparent, Low FX Costs

Many platforms hide their fees in the exchange rate, offering vague “mid-market” rates with unclear spreads. Venn flips the script by offering a clear 0.25% FX fee, always visible before you transact. That transparency can save your business thousands each year compared to bank FX rates (often 2%–3%).

Integration with the Tools You Already Use

For Canadian finance teams, efficiency matters. Venn connects with Stripe, Shopify, PayPal, QuickBooks, and Xero, so your multi-currency activity stays in sync with your payment workflows and accounting system, no extra spreadsheets or manual reconciliations.

Support for Canadian and Global Payment Rails

Here’s where most global fintechs fall short: they don’t support Canadian rails. With Venn, you get a CAD account that supports Interac, CRA payments, and domestic payroll, alongside global capabilities like international wires and ACH.

Venn isn’t just a workaround for FX fees, it’s the infrastructure Canadian businesses need to operate globally without compromise.

Why Venn Is Built for Canadian Businesses Getting Paid in USD

If your business earns in USD but banks in CAD, you’re probably bleeding margin without realizing it. Most Canadian banks and payment platforms weren’t built for cross-border business. They tack on hidden FX fees, force conversions, and offer outdated infrastructure that slows you down.

Venn changes that, because it was designed for Canadian businesses that operate globally.

Unlike platforms that “bolt on” USD functionality or fintechs that ignore Canadian infrastructure entirely, Venn sits directly on both U.S. and Canadian payment rails. This means you get:

• A real U.S. receiving account (ACH, not SWIFT)
• A full CAD account with support for Interac, payroll, and tax payments
• Multi-currency support (USD, CAD, EUR, GBP) in one place
• Automated FX at 0.25%, with full control over when and how you convert
• Seamless integration with Stripe, Shopify, PayPal, and your accounting stack

That’s not just a workaround, it’s a permanent solution. You’re not stuck choosing between global flexibility and local functionality. With Venn, you get both.

If you’ve been forced into FX conversions, delayed by SWIFT transfers, or paying cross-border fees just to access your own revenue, it’s time to switch to something built for your business reality.

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Ready to Take Back Control of Your FX Costs?

Forced conversion is optional, margin erosion doesn’t have to be your default.

With Venn, Canadian businesses can receive USD like a U.S. company, hold and manage multiple currencies, and convert only when it makes sense, all from a single platform designed to work across borders and with Canadian financial infrastructure.

Don’t let your finance stack cost you more than it should.

Sign up for Venn today and keep more of the money you've already earned.

FAQs: Forced Conversion and Multi-Currency Accounts

Q: What is forced currency conversion?
A: Forced currency conversion happens when a provider automatically converts incoming foreign currency (like USD) into your local currency (CAD), often without notice or control over timing or exchange rate.

Q: How can I tell if my business is being auto-converted?
A: Check your payout settings on platforms like Stripe or Shopify. If payouts are landing in CAD but customers pay in USD, you’re likely being auto-converted — often at a marked-up rate. Bank wire fees and the absence of ACH details are also red flags.

Q: Can Canadian businesses open a U.S. bank account?
A: Traditional U.S. accounts require a U.S. entity, but Venn gives Canadian businesses access to real U.S. ACH accounts — no U.S. incorporation required. This lets you receive payments like a local without the SWIFT fees.

Q: How does Venn help reduce FX fees?
A: Venn charges a transparent 0.25% FX fee, lets you hold multiple currencies, and gives you real-time control over when you convert. No forced timing, no surprise spreads.

_{This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Venn Software Inc or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional. We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.}

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