I have a few different services that I sell out of Ontario, Canada. Most sales are done to Canadians in CDN$, however, with one of my services that is an online website subscription service, I get the odd US customer (that number is actually growing. Recently I've been getting about 50/50 US/Canadian clients).
I've decided to accept credit cards now so I was wondering how important it would be to accept credit cards in both currencies.
Right now, if somebody from the states buys from me, I use the exchange rate from xe.com on the day of the sale to give then a US$ amount. They then mail me a cheque for that amount and I convert it to CDN$ at the bank. This means that on some days I loose a bit on the sale, and on others, I gain a bit (since the exchange rate changes obviously).
With credit cards, I know people in the US could still pay and that the exchange would automatically be calculated so I figured it was fine. Some people have said that US clients would rather SEE their funds first. Living in canada and buying from the states all the time, having it automatically converted is natural for me.
Do you think I could lose customers because of this? I mean, the way I see it is that their number is always LESS than what they see on the order page so it can't be THAT bad!
The reason I'd rather not is due to cost. To accept both US$ and CDN$, the CC company charges more and I'd have to open a US$ funds bank account which would have it's associated fees.