You've got $400 Canadian sitting in your wallet or a bank account. Maybe you're heading across the border for a weekend in Buffalo or Seattle. Perhaps you're just eyeing a gadget on a US-based website.
How much is it actually worth?
As of mid-January 2026, 400 Canadian to US dollars converts to approximately $287.26 USD.
That number isn't a guess. It is based on a market rate of roughly $0.718$ per loonie. But here is the kicker: you will almost never actually get that full amount in your hand. Currency exchange is a "buy-sell" game where the middleman always takes a bite.
If you walk into a big bank today, they might only give you $275. If you use a predatory airport kiosk, you might walk away with even less. Understanding the "spread" is the difference between having enough for a nice dinner in the States and being short on the tip.
The Reality of Exchanging 400 Canadian to US Dollars
Exchange rates move. Fast.
Earlier this month, on January 1, 2026, that same $400 CAD would have fetched you $291.57. Within just two weeks, the Canadian dollar slipped about 1.5%. That might not sound like much, but on a larger scale, it’s a massive shift in purchasing power.
Why the drop?
Currency markets are essentially a giant popularity contest. Right now, investors are leaning toward the US dollar because of higher relative interest rates and a "flight to safety" sentiment. When the US economy looks sturdy and the Bank of Canada holds steady or signals a cut, the loonie feels the weight.
For a small sum like 400 Canadian to US dollars, the "interbank rate"—the one you see on Google or XE—is just a reference point.
Where the Money Vanishes
When you exchange cash, you're paying for convenience. Most Canadian banks, like RBC or TD, bake a 2.5% to 3.5% fee into the rate. They don't call it a fee. They just call it "the rate."
If the real rate is $0.718$, the bank might sell you USD at $0.69$.
On $400 CAD, a 3% spread costs you about $12 CAD. It’s not a fortune, but it’s enough to buy a craft beer or a fancy coffee once you cross the border.
Digital vs. Cash: Which Wins?
Honestly, cash is becoming the most expensive way to travel.
If you take $400 CAD to a currency booth at Pearson International, they might charge a flat fee plus a terrible rate. You could end up losing $20 or $30 just for the privilege of holding paper money.
Use a Fintech App
Apps like Wise or Revolut are usually the smartest move for $400. They use the mid-market rate—the fair one—and charge a transparent, tiny fee.
For 400 Canadian to US dollars, Wise would likely charge around $3 CAD in fees. You'd end up with about $285 USD. Compare that to the $270 you might get at a local "no commission" exchange shop.
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"No commission" is a marketing trap. If they aren't charging a fee, they are definitely hiding the cost in a much worse exchange rate.
Credit Cards and the 2.5% Hit
Most Canadian credit cards charge a 2.5% foreign transaction fee. You spend $100 USD, and they bill you the equivalent of $102.50 USD in CAD.
If you have a "No FX" card, like the Scotiabank Passport Visa Infinite or the EQ Bank Card, you skip that fee. For a $400 CAD conversion, using a No-FX card is basically the gold standard. It’s the closest you’ll get to the real market rate without being a professional forex trader.
Why the Loonie is Stuck Near 71 Cents
We have to look at the macro picture to understand why your $400 CAD isn't buying $320 USD like it did years ago.
Oil is a big factor. Canada is a resource-heavy economy. When energy prices stagnate or pipeline capacity remains a talking point rather than a reality, the CAD struggles.
Then there is the "yield gap." If the Federal Reserve in the US keeps rates at 5% while the Bank of Canada drops toward 4%, money flows to where it earns the most interest. That means people sell CAD to buy USD.
$400 CAD is a drop in the bucket of the $7.5 trillion traded daily in the forex market, but your $400 is subject to the same global pressures as a billion-dollar hedge fund trade.
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Actionable Steps for Your $400 CAD
Stop overthinking the daily fluctuations unless you're moving six figures. For $400, the method of exchange matters more than the day of exchange.
- Check your credit card. If it has a 2.5% foreign exchange fee, don't use it for the whole trip.
- Avoid the Airport. This is the golden rule. If you must have cash, go to a dedicated currency exchange in a suburban mall; they usually have better rates than banks or airports.
- Use a Digital Wallet. Load $400 CAD into a Wealthsimple or EQ Bank account. Use their cards in the US to get the Mastercard/Visa base rate without the extra bank markup.
- Think in USD. When you are in the States, stop multiplying by 1.3 or 1.4 in your head. Just accept that $400 CAD is roughly $285 USD and budget accordingly.
The market isn't going to gift us a par dollar (1:1) anytime soon. The days of the "Northern Peso" jokes might be back, but with a little bit of planning, you can at least make sure the banks don't take a bigger slice than necessary of your 400 Canadian to US dollars.
Stick to digital platforms for the best rates. Keep a small amount of cash for emergencies. Avoid the convenience booths. If you follow that, you've already won the currency game.