Re: Schwab International Brokerage Account

[khaepmu]

I have been considering opening a Schwab International Brokerage account as I have heard good things about it. Since I am an American  retired and living in Thailand, I can no longer maintain my Brokerage account with Vanguard, Fidelity, T. Rowe Price etc.  Actually, I have a brokerage account with a major American brokerage and, like many Americans, 

use my brother's American mailing address. But this is inconvenient and I sometimes worry about  US address being discovered and then having to close it.

 

I called Schwab International and was quite disappointed at how little the sales person at the other end knew about account requirements. What was more alarming were the tax implications. 30% withholding taxes on dividends. She then asked me if Thailand has a tax treaty with the USA. She said I would be required to send in a W-8 ben tax form. I asked her if those taxes on my dividends can be refunded if, after doing my TurboTax filing returns, I might not be required to pay any taxes. She was perplexed. She said I would need to get a Thai tax number as well. So apparently they send my information to the Thai revenue department. This is scary. I asked her if I could open a joint account with my Thai wife and she said no problem and, in the event of my death, she would be sole owner of the account. No will necessary. I liked this idea because my wife wouldn't have to go to the US Embassy with all kinds of forms and a death certificate to be notarized. 

 

So I am now having second thoughts about Schwab International but I wonder what other options I have. I love the idea of having an account and using my Thai address. They also provide good debits cards with no fees when used in Thailand and I can easily transfer funds  my from the brokerage account to my Thai bank account. But 30% in dividend taxes is considerable. Most of my income form my present brokerage account comes form dividend paying etf"s and closed end funds. 

 

 

 

 

 

[ThreeCardMonte]

You can maintain your other accounts.

 

Keep a USA mailing address with them on file and a USA phone number.

 

Sure it cost money but that’s the price one pays for living overseas.

 

I spend about 9 months every year in Thailand.  I maintain my T-mobile phone number and have a digital mailbox,  Ipostal1

Year round.

 

I also have DTAC as my Thai phone and T-mobile having e-sim.  I can switch back and forth when needed such as for authorization for certain accounts.

 

Get rid of the notion of burning all bridges with the USA .  Makes life easier in Thailand.