Opening a US bank account online for non-residents might seem intimidating, but with the right guidance, it becomes much easier. By choosing the best banking services tailored to your needs, you can enjoy numerous benefits that come with having a US bank account, such as easy access to money, low fees, and mobile banking capabilities.
Key benefits of opening a US bank account for non-residents include simplified money management, building credit history, and separating personal and business transactions. Additionally, you can enjoy low-cost international transfers and free domestic transfers, making it easy to send and receive money.
Most US banks offer a range of checking and savings account options to cater to different needs. As a non-resident, you can also obtain debit cards that allow you to pay for goods and services or withdraw cash at ATMs. With mobile banking, you can conveniently manage your finances on the go.
If you're a non-resident looking to open a US bank account online, you might feel overwhelmed by the process. It can seem daunting, but with the right information and guidance, it's easier than you might think. In this article, we'll go over the steps you need to take to open a US bank account as a non-resident.
It is possible open US bank account online for non-resident, as permitted by the Civil Rights Act of 1964. Some US banks may have concerns about safety for non-residents, but a number of banks do offer this option.
I will now explain the details:
Why Open a US Bank Account?
Before we dive into the process, let's talk about why you might want to open a US bank account in the first place. There are several benefits to having a US bank account, even if you don't live in the US. These benefits include:
Steps Open a US Bank Account?
Step 1: Choose a Bank
The first step in opening a US bank account as a non-resident is to choose a bank. Not all banks allow non-residents to open accounts, so it's important to do your research. Some popular options include:
Step 2: Gather Required Documents
Once you've chosen a bank, you'll need to gather the required documents. This will typically include:
Step 3: Fill Out an Application
Next, you'll need to fill out an application. This can typically be done online, but some banks may require you to fill out a paper application and mail it in. The application will ask for your personal information, including your name, address, and contact information.
Step 4: Fund Your Account
Once your application has been approved, you'll need to fund your account. This can typically be done through a wire transfer or by linking another bank account.
Step 5: Activate Your Account
Finally, you'll need to activate your account. This can typically be done online or by calling the bank's customer service line. Once your account is activated, you'll be able to start using it.
Can Non-Residents Open a US Bank Account Online?
Non-residents can open a bank account in the United States remotely, as long as they have an EIN (Employer Identification Number) or ITIN (Individual Taxpayer Identification Number) and a U.S. address.
If you do not have these, you can obtain them by setting up an individual U.S. company. The process of setting up an individual company is relatively low cost, typically costing less than $400 for an EIN and around $500 for an ITIN, and it provides you with a U.S. address along with the number.
It's important to note that every bank has their own requirement and process, you need to check and provide the required documents and information as per the bank's requirement. But overall it's possible and routine process for non-residents to open a bank account online in USA.
Options Open US Bank Account Online for Non-resident
There are several ways to open a bank account in the United States, including:
Online (Popular for Non-Resident)
Opening a US bank account online is a good option for those who are unable to travel, but it requires an ITIN for individuals or an EIN for businesses. The quickest and easiest option, which also protects your personal liability under your name, is to incorporate a US company and obtain an EIN in order to open a bank account. I have personally done this for the past two years and it has been the most appropriate option for me.
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To open an account online, you will be required to provide digital copies of supporting documents such as a identification or passport, proof of residence, and having all of these available will increase your chances of being accepted by the bank.
In-person
Most US banks will require non-residents to apply for a personal account. This means you will need to travel to the United States and go to a bank branch to create your account. However, this option is only available to those who have a trip to US, regardless of the type of visa they have.
You can obtain a US bank account by going to the bank and requesting to open an account, and receiving immediate approval or rejection. However, all of this is after obtaining a personal ITIN number.
International Branch
For example, banks like Barclays and HSBC, which has a branch in Saudi Arabia called SABB, can be used. If possible, go to the local branch and inquire about what needs to be done. You can choose a multi-currency account, an international account, or a correspondent account.
Your local bank may have a partner bank in the United States. The bank you deal with may be able to help you set up an account in the United States. Even without an actual location in the United States, your local bank can still assist you. Once set up, you can make bank transfers, deposits, and other financial transactions.
These international transactions are made through a network called SWIFT, which stands for the Society for Worldwide Interbank Financial Telecommunication. The correspondent bank will need the SWIFT code for the correspondent bank to make transactions to the foreign bank.
How to Open a US Bank Account Online as a Non-Resident?
It's worth noting that there are limited options for opening a bank account remotely in the United States, but there are options such as using banks like Mercury Bank that allow non-residents to open an account online, or setting up an individual company in the United States which will provide you with an EIN or ITIN.
It's important to note that most American banks require a Social Security Number (SSN) which non-residents do not have, but some banks make exceptions for non-residents if they have EIN or ITIN numbers.
Before anything else, Start your LLC to Get EIN.
The process for opening an account online for non-residents can vary from bank to bank but generally the requirements are:
Here are the steps to open a US bank account online as a non-resident:
That's it! You have successfully opened an bank account in USA online as a non-resident. Remember to regularly monitor your account and follow the bank's terms and conditions.
Nationalities are not allowed to open a bank account USA Remotely
Nationality is not a factor in determining eligibility for a bank account in the United States. Customers who reside in the following areas are prohibited from opening bank accounts in the United States:
Belarus, Burundi, Central African Republic, Cuba, Democratic Republic of Congo, Nicaragua, North Korea, Ukraine, Zimbabwe, Iran, Iraq, Lebanon, Libya, Somalia, South Sudan, Sudan, Syria, Yemen.
FAQ
What are the benefits of having a US bank account for non-residents?
Having a US bank account as a non-resident offers several advantages, such as simplified money management, building credit history, separating personal and business transactions, low-cost international and free domestic transfers, easy access to funds, and mobile banking capabilities. Additionally, it can improve your financial credibility with US customers or suppliers, facilitate annual financial report submissions to the US IRS, and increase the efficiency of your business dealings.
How can I obtain an ITIN or EIN as a non-resident?
To obtain an ITIN (Individual Taxpayer Identification Number) as a non-resident, you can apply for one through the IRS. For an EIN (Employer Identification Number), you'll need to set up an individual US company, which typically costs less than $400. This process provides you with a US address and the necessary identification number for opening a bank account.
Can I open a US bank account with a foreign address?
While most US banks require a valid US address to open a bank account, some banks may allow non-residents to open an account with a foreign address. However, the process may be more complicated and time-consuming. It is generally easier to obtain a US address by setting up an individual US company.
Are there any nationalities that cannot open a US bank account remotely?
There are no nationality restrictions for opening a US bank account remotely. However, customers residing in certain countries or regions may be prohibited from opening bank accounts in the United States due to sanctions or other regulations. These areas may include Belarus, Burundi, Central African Republic, Cuba, Democratic Republic of Congo, Nicaragua, North Korea, Ukraine, Zimbabwe, Iran, Iraq, Lebanon, Libya, Somalia, South Sudan, Sudan, Syria, and Yemen.
Can I open a US bank account through an international branch of a US bank in my country?
Some international banks, like Barclays and HSBC, have branches in other countries and may offer assistance in opening a US bank account. You can visit your local branch to inquire about the process and requirements. Your local bank may also have a partner bank in the United States that can help you set up an account. Once set up, you can conduct bank transfers, deposits, and other financial transactions through the SWIFT network.
