Canadian Currency/Tipping

I thought this was an interesting article about using US Currency in Canada.

Victoria is a touristy-friendly city and is very close to the USA. Because American tourists make up the majority of the tourists in Victoria, I feel that this is a valuable point to mention. While you can pay for things initially with US dollars, you will always be given your change back in Canadian dollars/coins.

Right now because the exchange rate is so close, a lot of businesses are taking US dollars at par. As a result, you lose more money by paying with US dollars than if you were to use your credit card, debit card, or Canadian cash. This is because the US dollar is a foreign currency in Canada and it is not considered legal tender.

American tourists are the only people that use American dollars in Canada, for example. Businesses that accept US dollars do so as a courtesy, not because it's mandatory. It is certainly not law to accept foreign currency. Also worth knowing is that American coins are taken at par in Canada (they're the same denominations - pennies, nickels, dimes, quarters, although we also have a dollar and 2 dollar coin in Canada). So while $1.00 dollar bill US should theoretically purchase $1.06 Canadian, four US quarters will only ever be $1.00 Canadian, regardless of the exchange rate.

The easiest way to obtain Canadian dollars is to simply withdraw money from a bank machine. This goes for all international visitors. Your bank does the exchange rate automatically and will then give you Canadian dollars. Bank machines generally dispense $20 bills, and sometimes $10, $50, or $100 denominations.

Even if you don't intend to spend with cash, it's handy having some Canadian coins and dollars because things like parking meters, bus fare boxes, vending machines, and automated ticket machines will only accept Canadian coins/dollars in their slots. And please, refrain from calling US dollars "real dollars" or "real money" and Canadian dollars "funny money" or "monopoly money" because it's a sign of disrespect and arrogance, whether intended or not.

Elaine's comment: If you have some Canadian coins in your piggy bank, pull them out, they might be useful when we are in Victoria.  Our plan is to use our credit card for most everything, so at this point, we don't plan on bringing Canadian dollars with us.

Source:  http://www.virtualtourist.com/travel/North_America/Canada/Province_of_British_Columbia/Victoria-903124/Local_Customs-Victoria-CurrencyTipping-BR-1.html#ixzz1tSa7FuR8