Cheapest way of banking in USA - American bank account?

Willow_K

Hi All

Hoping someone can help with this.

In August my brother is going to America as a student for 12 months. He's been trying to sort his bank account out - he currently has a student account with Natwest, but their charges for using the account and his credit card abroad are extrotionate.

What would be the best way for him to access his money while in the US? I thought that he could possibly open and American bank account but have no idea how feasible this actually is.

If this is not possible, what would be the best account for him to open here before he goes.

He also needs a credit card while he's out there, so what would be the best options for this? I thought that it may be an idea to get something like the Amex card with the airmiles to go towards his flight home, but don't want him to get hit with charges.

Any ideas gratefully received.

jfdi

Will he be studying or working?

My son did a paid internment in USA & opened an account locally to where he lived. He was paid into it & got debit & credit cards OK. They treated him as a student, so it was free too! Even tho' he's been back 12m he's still got the a/c & had his IRS tax refund paid into it. He says it'll come in handy for holidays, or if he ever works there again.

Not sure what'll happen if your bro won't be working.

gt94sss2

Willow_K wrote: »

In August my brother is going to America as a student for 12 months. He's been trying to sort his bank account out - he currently has a student account with Natwest, but their charges for using the account and his credit card abroad are extrotionate.

What would be the best way for him to access his money while in the US? I thought that he could possibly open and American bank account but have no idea how feasible this actually is.

If this is not possible, what would be the best account for him to open here before he goes.

Which part of the USA is your brother going too? Banks in the USA tend to be regional and not national.

Its possible to open a US bank account from the UK or once you're in the USA.

When I was a student here, I banked with HSBC and when I decided to spend a year studying in the USA, they arranged for a bank account and US credit card to be opened for me with HSBC USA (lots of branches in NY State) - on the basis of me being a customer in the UK.

Most UK banks have links with US banks - Natwest/RBS own Citizens Bank for instance and should be able to open a US account.

If you are after a UK bank account, the debit card which comes with the Nationwide Flexaccount is best for overseas.

He also needs a credit card while he's out there, so what would be the best options for this? I thought that it may be an idea to get something like the Amex card with the airmiles to go towards his flight home, but don't want him to get hit with charges.

The best UK credit cards for overseas use (i.e. 0% f/x commission would be:

Post Office Credit Card
Santander Zero Card
Nationwide Credit Card (slightly worse than the two above)

Also - Halifax are due to launch a new credit card range with might be useful as well.

Regards
Sunil

Willow_K

Thanks for the useful replies.

He's going to the University of Michigan as an exchange student for a year.

I'll point him in the direction of this useful thread.

Thanks again for the advice!