Confused by US banking system

[bradiston]

A friend in the US is trying to send me $ from his US bank account. I have a Wise $ account. It's in New York. Is it not possible to simply transfer account to account in the US? I have sent over all the account details provided by Wise. Because Wise isn't a bank it doesn't appear in the drop down list of available banks his bank insists on using. He says he had to create a Wise account. I'm lost. Surely it's a no brainer. Type in account no, routing no etc and that's it, right?

[jas007]

Sometimes, the system hasn’t been updated for a while and the banks that appear on the “drop down list” don’t include every possible choice.  I’m not sure that’s the problem your friend is having, but it’s a possibility.

 

One time I was trying to open an account at a new online bank.  I forget which one.  Anyway, as part of the opening process I was try to transfer some money to the new bank, so I entered all the information .  Routing number account number, etc.  And that information was absolutely correct.  But my bank kept coming back saying that the information was incomplete or incorrect.  So, I called the customer service number of the new online bank, but that was an exercise in futility.  The girl just kept repeating the same nonsense, over and over. I finally gave up. 
 

Then again, maybe there’s something different about Wise that prohibits the transaction.

[bradiston]

1 minute ago, jas007 said:

Sometimes, the system hasn’t been updated for a while and the banks that appear on the “drop down list” don’t include every possible choice.  I’m not sure that’s the problem your friend is having, but it’s a possibility.

 

One time I was trying to open an account at a new online bank.  I forget which one.  Anyway, as part of the opening process I was try to transfer some money to the new bank, so I entered all the information .  Routing number account number, etc.  And that information was absolutely correct.  But my bank kept coming back saying that the information was incomplete or incorrect.  So, I called the customer service number of the new online bank, but that was an exercise in futility.  The girl just kept repeating the same nonsense, over and over. I finally gave up. 
 

Then again, maybe there’s something different about Wise that prohibits the transaction.

Thanks. I don't think that's the problem. Wise isn't a bank,so it wouldn't appear in avdrop down list of same

 

However, it seems there's another online bank that operates alongside, or is part of, Wise, namely the Community Federal Savings Bank. I don't know why my friend has opted to, or has been forced to, use this entity, but it appears that's what he is doing.

 

I don't get it.

[jas007]

1 minute ago, bradiston said:

Thanks. I don't think that's the problem. Wise isn't a bank,so it wouldn't appear in avdrop down list of same

 

However, it seems there's another online bank that operates alongside, or is part of, Wise, namely the Community Federal Savings Bank. I don't know why my friend has opted to, or has been forced to, use this entity, but it appears that's what he is doing.

 

I don't get it.

Maybe the Community Federal Savings Bank acts as a conduit for Wise.  Money sent to Wise is first routed through Community Federal?  If Community Federal is on the drop down list, maybe he should use that routing number along with the Wise account number.

[jas007]

I was curious, so I did a quick search and found this.  Not sure if it’ll be any help, but some of the information might be relevant.

 

Wise changed their USD bank details for ACH and wires a few months ago so that might be what's causing the problem. Also the details for domestic USD wires and international ones differ. Here's details from the Wise USD page:

When your sender enters your account details in their bank's system, they might see Community Federal Savings Bank (CFSB) if the routing number starts with 026, or Evolve Bank and Trust (EVOLVE) if the routing number starts with 084. This is because Wise's USD accounts are with both CFSB, and EVOLVE.

If you have any questions about your account, always talk to the Wise support team — CFSB or EVOLVE won’t be able to give you any information, because you don't have an account directly with them.

How do I receive USD from inside the US?

If your routing number starts with 084 - it will work for both ACH and wire transfers.

If your routing number starts with 026 - provide your ACH (ABA) routing number if you’re:

being paid a salary receiving earnings from platforms, such as Amazon receiving direct deposits receiving non-urgent payments

ACH payments, also known as electronic money transfers, are the most common payment method in the USA. They’re usually free, or cost a lower fee for your sender. They typically take 2–3 working days to reach Wise.

Provide your wire routing number if your sender specifically wants to pay you with a wire. Wire transfers can cost your sender 20–30 USD, but will reach your Wise account within 1 working day. If someone sends you money using a wire transfer, we’ll charge a 4.14 USD fee.

[bradiston]

5 minutes ago, jas007 said:

I was curious, so I did a quick search and found this.  Not sure if it’ll be any help, but some of the information might be relevant.

 

Wise changed their USD bank details for ACH and wires a few months ago so that might be what's causing the problem. Also the details for domestic USD wires and international ones differ. Here's details from the Wise USD page:

When your sender enters your account details in their bank's system, they might see Community Federal Savings Bank (CFSB) if the routing number starts with 026, or Evolve Bank and Trust (EVOLVE) if the routing number starts with 084. This is because Wise's USD accounts are with both CFSB, and EVOLVE.

If you have any questions about your account, always talk to the Wise support team — CFSB or EVOLVE won’t be able to give you any information, because you don't have an account directly with them.

How do I receive USD from inside the US?

If your routing number starts with 084 - it will work for both ACH and wire transfers.

If your routing number starts with 026 - provide your ACH (ABA) routing number if you’re:

being paid a salary receiving earnings from platforms, such as Amazon receiving direct deposits receiving non-urgent payments

ACH payments, also known as electronic money transfers, are the most common payment method in the USA. They’re usually free, or cost a lower fee for your sender. They typically take 2–3 working days to reach Wise.

Provide your wire routing number if your sender specifically wants to pay you with a wire. Wire transfers can cost your sender 20–30 USD, but will reach your Wise account within 1 working day. If someone sends you money using a wire transfer, we’ll charge a 4.14 USD fee.

Wow, that's pure genius! Thanks. I'd never have found that. My routing number begins with 026. My friend's packed it in for the night but I'll try and sort it out with him tomorrow.

[bradiston]

6 hours ago, jas007 said:

I was curious, so I did a quick search and found this.  Not sure if it’ll be any help, but some of the information might be relevant.

 

Wise changed their USD bank details for ACH and wires a few months ago so that might be what's causing the problem. Also the details for domestic USD wires and international ones differ. Here's details from the Wise USD page:

When your sender enters your account details in their bank's system, they might see Community Federal Savings Bank (CFSB) if the routing number starts with 026, or Evolve Bank and Trust (EVOLVE) if the routing number starts with 084. This is because Wise's USD accounts are with both CFSB, and EVOLVE.

If you have any questions about your account, always talk to the Wise support team — CFSB or EVOLVE won’t be able to give you any information, because you don't have an account directly with them.

How do I receive USD from inside the US?

If your routing number starts with 084 - it will work for both ACH and wire transfers.

If your routing number starts with 026 - provide your ACH (ABA) routing number if you’re:

being paid a salary receiving earnings from platforms, such as Amazon receiving direct deposits receiving non-urgent payments

ACH payments, also known as electronic money transfers, are the most common payment method in the USA. They’re usually free, or cost a lower fee for your sender. They typically take 2–3 working days to reach Wise.

Provide your wire routing number if your sender specifically wants to pay you with a wire. Wire transfers can cost your sender 20–30 USD, but will reach your Wise account within 1 working day. If someone sends you money using a wire transfer, we’ll charge a 4.14 USD fee.

He figured it out and did a test transfer. Seems you have to link your US account to CFSB or Evolve. After that I think it's just a normal transfer.

 

Thanks for your help, and everybody else. It means a lot when you can get help on this sometimes difficult forum!

[bradiston]

11 hours ago, bradiston said:

He figured it out and did a test transfer. Seems you have to link your US account to CFSB or Evolve. After that I think it's just a normal transfer.

 

Thanks for your help, and everybody else. It means a lot when you can get help on this sometimes difficult forum!

Seems I jumped the gun. His bank set up a direct debit on my Wise account without any notification or authorisation, and helped themselves to $1.37. So they've charged me an unannounced fee (my friend knows nothing about it), and managed to access my Wise account, set up a DD and take the money! Wise are "looking into it". I cancelled the DD immediately and asked Wise to block the bank from any access to my account.

 

It just beggars belief. BTW, this is CFSB. He already had an account with them.

[wwest5829]

22 hours ago, bradiston said:

A friend in the US is trying to send me $ from his US bank account. I have a Wise $ account. It's in New York. Is it not possible to simply transfer account to account in the US? I have sent over all the account details provided by Wise. Because Wise isn't a bank it doesn't appear in the drop down list of available banks his bank insists on using. He says he had to create a Wise account. I'm lost. Surely it's a no brainer. Type in account no, routing no etc and that's it, right?

A while ago, my bank would not do an international transfer form required by Bangkok Bank in NYC … so I changed to Wise … recently Wise started using an intermediary company to take the funds from my account when I asked for a monthly transfer … the change resulted in my bank saying no, cannot do. Long and short of it, I now do a direct monthly wire transfer into my Bangkok Bank Account here in Thailand. Fast, efficient and does not cost me more than a Wise transfer did so … Recommend doing a direct wire transfer.

[bradiston]

1 minute ago, wwest5829 said:

A while ago, my bank would not do an international transfer form required by Bangkok Bank in NYC … so I changed to Wise … recently Wise started using an intermediary company to take the funds from my account when I asked for a monthly transfer … the change resulted in my bank saying no, cannot do. Long and short of it, I now do a direct monthly wire transfer into my Bangkok Bank Account here in Thailand. Fast, efficient and does not cost me more than a Wise transfer did so … Recommend doing a direct wire transfer.

Hmm maybe. I thought wire transfers were also costly? Anyway, the problem now is the limit his bank puts on transfers. $4,500 pm or $1,500 per day. I can't believe that's it. Maybe for online. This is the Community First Wise partner. The whole thing's a shambles.

[yankee99]

Its not normal for a usa bank to ach to a arbitrary 3rd party account.

 

To transfer like you want your freind would need to use zelle

[bradiston]

2 hours ago, yankee99 said:

Its not normal for a usa bank to ach to a arbitrary 3rd party account.

 

To transfer like you want your freind would need to use zelle

Ok, so is Wise an arbitrary 3rd party account? But as a poster above commented, Wise now uses an intermediary bank to complete the transfer. It just happens to be my friend's bank. Anyway, they returned the $1.39 they took. Maybe it was just a verification procedure that the account existed in the bank I stated. But the ease with which they were able to set up a DD on my account without any contact with me, the account owner,  really alarmed me. Wise has promised to look into it and get back to me

 

I'm not in the US and I only have a Wise $ account. I don't think zelle can help.

[yankee99]

1 hour ago, bradiston said:

Ok, so is Wise an arbitrary 3rd party account? But as a poster above commented, Wise now uses an intermediary bank to complete the transfer. It just happens to be my friend's bank. Anyway, they returned the $1.39 they took. Maybe it was just a verification procedure that the account existed in the bank I stated. But the ease with which they were able to set up a DD on my account without any contact with me, the account owner,  really alarmed me. Wise has promised to look into it and get back to me

 

I'm not in the US and I only have a Wise $ account. I don't think zelle can help.

 your freind needs to send the funds via zelle {online} or go the expensive way and domestic wire go into his branch 

 

he doesn't need to link your accounts which it sounds like he tried to do

[jas007]

I think Zelle is only available within the USA.  
 

As for the friend’s rather low limit on wire transfer amounts?  That seems odd.  Maybe he should try asking the bank about how to raise that limit. I use a big bank in the USA, and I’m pretty sure the limit is thousands per day. 

[bradiston]

5 hours ago, jas007 said:

I think Zelle is only available within the USA.  
 

As for the friend’s rather low limit on wire transfer amounts?  That seems odd.  Maybe he should try asking the bank about how to raise that limit. I use a big bank in the USA, and I’m pretty sure the limit is thousands per day. 

I think he's checking that today. Seems completely mad. I really don't understand what the problem is. Wise keep sending me emails on completely unrelated subjects. I've requested they look into how his bank was able to set up a DD on my account without notifying me but so far no answer.

[ajs73]

On 7/10/2024 at 2:46 PM, bradiston said:

A friend in the US is trying to send me $ from his US bank account. I have a Wise $ account. It's in New York. Is it not possible to simply transfer account to account in the US? I have sent over all the account details provided by Wise. Because Wise isn't a bank it doesn't appear in the drop down list of available banks his bank insists on using. He says he had to create a Wise account. I'm lost. Surely it's a no brainer. Type in account no, routing no etc and that's it, right?

If both of you hold US Bank Accounts just use Zelle (your US Banks should have a link to set up the Zelle acct to transfer funds), or if all else fails there's PayPal. Then again there are daily limits, so if you exceed the daily limit you are going to need to do a wire transfer... 

 

Hope that helps.

[bradiston]

Just to update on this saga...

It got resolved. One of his banks accepted I was a bona fide Wise account owner, and made a DD withdrawal and deposit on my Wise $ account as a verification procedure. His other bank remained unconvinced, as in the US, property sales are finalised by a titling company who pay out the agreed amount(s). But this system doesn't exist outside the US, so the bank cried foul when my friend tried to pay me direct.

 

One thing of note. The bank that made the DD micro withdrawal and payments was able to set up the DD without any notification to me. Meaning they could have helped themselves to any amount in that account. I protested vehemently to Wise claiming this looked like a massive security hole. After many emails, they disabled DDs on all my Wise accounts for withdrawals. Incoming DD funds are still permitted. Seems the default is to allow two way DDs.

[Gsxrnz]

Your Wise USD account is not "Wise Bank". Go into your Wise app. Click on your USD balance. You will see a partial bank account number in the top box - click on it. You will see the full US Bank details. My routing number is 026073150. A quick google search lists this as Community Federal Savings Bank.

 

Yours may be different.  Regardless, he needs to select the US bank that Wise bank with.

 

Edit:  I note there is a USD4.14 charge for receiving wire transfers and may take 3 working days.

[bradiston]

18 minutes ago, Gsxrnz said:

Your Wise USD account is not "Wise Bank". Go into your Wise app. Click on your USD balance. You will see a partial bank account number in the top box - click on it. You will see the full US Bank details. My routing number is 026073150. A quick google search lists this as Community Federal Savings Bank.

 

Yours may be different.  Regardless, he needs to select the US bank that Wise bank with.

 

Edit:  I note there is a USD4.14 charge for receiving wire transfers and may take 3 working days.

I kind of found out most of what you're saying on the way. I sent my friend the downloaded account details. This gives everything a bank needs to know, and also verified the account owner as a bona fide customer. I know Wise isn't a bank, but the US $ accounts have an address in New York, an account number, an ACH etc etc. You'd think a USD account held in New York wouldn't present a problem for US banks to pay into.