The short version: The surcharge on an ATM screen may be only one part of the cost. Separate the cash you receive from each charge, then identify which charges repeat every time you withdraw.
One machine, more than one bill
The Financial Consumer Agency of Canada distinguishes account service charges, network-access fees charged by your own institution, and convenience fees charged by the ATM operator. It also notes that foreign ATM use can bring additional charges. That is a description of fee layers, not a current price list for your card.
An operator can disclose its own surcharge without knowing what your issuer will add. A useful comparison therefore has two records: the machine’s offer and your account’s fee schedule. If currency conversion is involved, the exchange rate and any separately charged conversion fee belong in the same calculation.
A $200 withdrawal that costs $209
Hypothetical worked example—not a live quote. Assume all amounts below have already been expressed in the account currency. The ATM supplies cash worth $200, the operator charges $3, your issuer charges $2 per withdrawal, and a separate conversion charge is 2% of the cash amount only. There are no other charges or exchange-rate differences in this simplified example.
| Component | Calculation | Amount |
|---|---|---|
| Cash received | Given | $200.00 |
| Operator charge | One withdrawal | $3.00 |
| Issuer charge | One withdrawal | $2.00 |
| Conversion charge | $200 × 2% | $4.00 |
| Total debit | $200 + $3 + $2 + $4 | $209.00 |
Why two withdrawals can cost more
Two $100 withdrawals under the same assumptions cost $107 each: $100 cash, $3 operator, $2 issuer and $2 conversion. The combined debit is $214 for the same $200 of cash. The extra $5 comes entirely from repeating the two fixed charges; the combined percentage charge remains $4.
More generally, for total cash C, n withdrawals, fixed charge F per withdrawal and proportional charge p, total cost is C + nF + pC. Here C = 200, F = 5 and p = 0.02. That formula stops applying if fees have minimums, caps, different exchange rates or different bases.
The fee base matters
If the 2% charge instead applies to cash plus the operator surcharge, the first example becomes $200 + $3 + $2 + 2% × $203 = $209.06. Six cents is small here, but the distinction prevents a systematically wrong comparison.
This is not a recommendation to carry more cash. Safety, withdrawal limits, access to money and the cost of unused foreign cash can outweigh a saved fee. Check the operator surcharge, your issuer’s charges, the currency conversion choice and the fee base before accepting. Our currency conversion comparison explains the separate choice of who converts the payment.
Source and scope
Primary source: Financial Consumer Agency of Canada, ATM fees. Accessed 22 October 2026. The numerical examples are independently constructed teaching examples, not provider prices. Product terms and rules can change; check the terms that apply to your transaction.
This article is financial education, not personal financial advice or a product recommendation. It contains no paid links. See our disclaimer.
