International Bank Accounts. Have you done this?
 

We're thinking of opening a bank account outside of the US. I remember this topic came up many years ago and wondered if any of you are still happy with your international or online banks.

Are you able to get money transferred to you easily? Do they have physical banks, credit cards, and ATM cards? Do you report or pay taxes on the funds in the US, or in the country where the bank is located?

Tips, recommendations and experiences welcomed!

I will be interested in the answers, too. However, it is my understanding that this has got much, much more difficult with the new laws since 9/11. Just opening a regular bank account as a resident of a foreign country can be difficult for US citizens because of the reporting requirements.

I have checking accounts and credit and debit cards in Indonesia with Citibank and HSBC. I chose global banks in order to have more flexibility and representation around the world.

Each country and each bank has it's own rules about who can open an account. Some require stay visas, some require minimum balances, some require letters of recommendation.

Transferring funds from the US to my Indonesian accounts is a very simple on-line procedure. Fees vary; bank to bank is free, bank to another bank may entail a sending charge but not a receiving charge. When I use these account to withdraw cash and pay bills in Indonesia I do not incur fees. Both banks have easily accessible and secure websites for on-line banking.

The downside is that compared to local Indonesian based banks, neither of my global banks has a widespread presence in Indonesia. Since I'm able to perform nearly all of my banking functions on-line, this isn't too much of a problem, but there have been occasions when I would have liked to have been able to sit down with a bank manager for a face-to-face meeting. Getting answers from customer service by telephone can be a long and frustrating process.

I am not taxed in Indonesia because I don't do business in Indonesia. Regulations may vary by country.

I file an FBAR (Report of Foreign Bank and Financial Accounts) with my US Taxes. I believe we're required to file if overseas balances have exceeded USD10,000 in aggregate, but you need to check with a tax accountant for confirmation.

In Asia, I have bank accounts in Indonesia, Malaysia and Hong Kong, all with HSBC

I am not American, I do think it is a lot harder for you to open accounts overseas especially if you do not live in the country. I opened them when I lived in these countries and I still use them as I continue to do business in these countries

I can take money out via ATM's and I have online access for transfers etc

I have "premier" status so I can speak with any of my personal bankers via email or on the phone if I have any issues or if I need them to get me tickets for concerts / sporting events

It does beg a few questions, which I am sure the bank will want to know, where are the funds coming from, how did you earn the money, and why do you need an overseas account if you are not a resident

Thanks all. While we have no plans to retire overseas at the moment, it's a possibility. We are also a little concerned about the events in the US at the moment, and thought sheltering some funds out of the country might be prudent, just in case.

Sounds like it isn't as easy as just depositing funds in a bank, so will put that idea on hold for now.

I did have an acct. with ICICI bank in India. They deducted a fixed amt. every month from our Chase acct., converted it to rupees and delivered it to my BIL. Then one month they deducted it but did not deliver it. Suffice it to say it was a nightmare trying to straighten this out. It was horrible CS and I never got the money back nor did my BIL ever receive it. Finally Chase refunded me the money as I filed a fraud claim.

So be very careful about who who do business with with.

As HSBC is Swiss (I think) perhaps this would be ok.