Keeping Us Bank & Credit Card Accounts

[thaiaan]

What would be the best approach to having a US presence in regards to keeping a US based credit card and US bank account without having a US mailing or residential address.I have a Paypal account and Ebay account and would like to keep using them.I was thinking of closing out my local bank account and setting up an account with Everbank to link my deposits and withdrawals with Paypal.I emailed Everbank and they said if I moved to Thailand they can mail me statements after address verification.I would want to then withdraw from my Paypal account to my dollar Everbank account then to my Thai account and convert to bahts.

Can I keep my US credit card and receive statements in Thailand?

Thanks

[smacko]

i have a UK credit card and i'm living in australia.

my UK credit card statements are sent to my australian address.

i dont see why this would be any different

[Upcountry]

Hi Thaiaan,

It's a very good idea to keep your US bank and credit card accounts. I get my bank statements sent to my Thai address, while keeping my check address and official address in the U.S. for credit and purchase validation purposes.

I use my US address for my credit cards. A family member forwards the statements to me, but I check my statements on-line, and use my US checking account's on-line bill payment system to pay the bills. I could reconfigure to have the credit card companies not send a statement at all, but email it to me - but for now I prefer to have a hard copy for my files.

Before I moved here, I informed my CC companies that I was relocating for an unspecified period of time, and I gave them my Thai address. Everything has worked out very well so far. I can even communicate with them via a web interface, sparing myself a long-distance phone call when I have questions and issues.

The advantage of all this for me is that I still have a US presence for credit purposes. I can order from any company in the US, even Apple (iTunes) if I want.

The downside of keeping money in the US account (even income from there right now) is getting the money over here when I need it.

I've found that the best way is to physically show up at my bank's main money exchange booth/office and use my checking account VISA/debit card to do a "cash advance". There is no fee for this because there is no actual advance - the money is simply taken out of my account balance. The cost is in the exchange rate, which sometimes hurts - but not as much as when I use my credit card at Pantip and suffer a 3% charge.

Oh, wish I could apply for new low or 0% credit card offers, but I don't want to risk the negative hit for getting turned down (for not enough US-based income or property, etc.).

Regarding Paypal, I still use my US account because the above debit card/advance strategy avoids additional fees or delays. Moving money directly to my Thai bank account results in an unfair waiting period that only benefits the bank.

Hope find what works for you.

[ProThaiExpat]

Upcountry is right on in all respects except when he refers to a debit card cash transaction at your Thai bank as a cash advance. As you may know, a cash advance is a credit card transaction that carries heavy fees.

The debit card transaction at your bank is called "A teller point of sale" transaction and it carries no fees. Some Thai banks limit the daily maximum to 250k Baht, but your issuing agency usually only limits this type of transaction to the limit of your account with them, as the transfer is from one account with your name on it to another with your name on it.

I ran into a snag when I tried to change the type of credit card at the same institution while in Thailand. Citibank was hitting me with 145USD in annual fees as I had their mileage program. Switching to a no fee card required a U.S. address, initially I was refused. At the time, I was receiving my statements at my Thai address.

I simply arranged with a friend to use his condo as my stateside mailing address and had the first statement sent there, the initial new card was sent there as well.

Once that got done, I changed the delivery address of the statement online to Thailand. I did have some problems with receiving a long term card as Citibank, for some reason, would only give me 60 days duration when they send the card Fedex and my card was repeatedly running out on me.

I spoke to one of the reps by phone, explaning I was traveling a lot in Asia and had a second home in Thailand. Could she send me a long term card here as I didn't expect to be home to the U.S. for six months. She obliged with a four year duration card with my old picture on it, DSL express to my Thai address. yes I go online for all my U.S. banking needs, brokerage needs and hopefully my bank here in Thailand, am awaiting their approval as I write this.

[Khun ?]

Debit cards are normally ATM friendly and as such would not require

going into bank or money exchange unless you wanted more than the daily amount allowed at ATM ($1000/40,000 Baht).

You should be able to elect bank statements by internet where they do not mail statements to you. Your bank may require you to have a U.S. mailing address to have an account with them. You should not need to do anything other than use a friends mailing addres to maintain a U.S. address if will not be able to keep it as it is now, and request electronic banking for statements. Good Luck. Wonder how much banks are paying to send statements to international destinations.

Edited January 23, 2005 by Khun ?

[Upcountry]

ProThaiExpat, thanks for the clarification. I thought it was a "cash advance" from a "Visa" that just happened to be a debit card too.

The reason I go to an exchange booth to get money is partly the daily ATM limit, as you mentioned, but also to avoid the ATM "fee", which adds, if memory serves, about $5 US to the transaction.

That's why I'm sad that I didn't bring extra cash with me to Phantip the other day. I used my Citibank card and paid a penalty for it.

I hate carrying too a lot of cash. Since my 'commute' to BKK is a lengthy one, I have to make the most of each trip.

[JimGant]

The cost is in the exchange rate, which sometimes hurts - but not as much as when I use my credit card at Pantip and suffer a 3% charge. ermm.gif

I found out the hard way that my credit card bank (First USA) was charging me 3% on the exchange rate. This, of course, is not publicized; but a little research showed many US banks only charge a 1% fee for foreign purchases. I then switched to MBNA.

I've not heard of any 0% fee credit cards for foreign purchases; but since the bank earns its money from the spread with the merchant, this could be possible.

But with ATM transactions, as there is not spread with the merchant, the foreign bank will always extract a percentage fee, and this is usually 1% of the interbank exchange rate. Plus, your stateside bank can also add a $2-$5 transaction fee, as many of us know.

[JimGant]

There is no fee for this because there is no actual advance - the money is simply taken out of my account balance. The cost is in the exchange rate, which sometimes hurts

Up,

Have you figured out what exchange rate they're giving you for this "teller point of sale." Interbank Exchange rate, less 1%? Telex rate?

ProThaiExpat?

[Harmonica]

>>>>> Can I keep my US credit card and receive statements in Thailand? <<<<<

Yes -- but opt for electronic statements only. Maintain a US presence as others have stated AND keep your driver's license valid -- that trip every once in a while ought to take care of this. Also on your next trip stateside set up a recurring transfer arrangement with your bank for funds to be sent to LOS as and when you require -- if your bank loves you (you know what that means ) they will waive the $45 transaction fee for transfers.

[lopburi3]

>>>>> Can I keep my US credit card and receive statements in Thailand? <<<<<

Yes  -- but opt for electronic statements only. Maintain a US presence as others have stated AND keep your driver's license valid -- that trip every once in a while ought to take care of this.  Also on your next trip stateside set up a recurring transfer arrangement with your bank for funds to be sent to LOS as and when you require -- if your bank loves you (you know what that means  ) they will waive the $45 transaction fee for transfers.

<{POST_SNAPBACK}>

Another option from some banks is automatic payment of credit card bills from a bank account. That is good for those who only use as a debit type card but have the extra month to pay and use anywhere a credit card can be used (such as some car rentals).

Agree that should keep up driver license but normally this does not require you be in US. I have only been in USA to renew two times in the last 40 years. As a matter of fact last Florida was done completely on-line.

[Upcountry]

Have you figured out what exchange rate they're giving you for this "teller point of  sale." Interbank Exchange rate, less 1%? Telex rate?

<{POST_SNAPBACK}>

It's been a while since I've done this, so I can't say for sure, but the amount charged to my account always seems to be within 1% of what I expect. I've attributed that to fluctuations in the baht/dollar ratio.

I haven't noticed more than that with purchases at places like Big C either.

On a related note, north of Bangkok I've had an interesting time trying to get a credit when I've had to return something. Lotus screwed it up once, and Makro was really fun. I think that, even if language issues had not come into play, the clerks still would have tried to process the return on a sales slip. I had to show them that it did not say credit. If I hadn't spotted that, I might have gotten charged twice! Fortunately, the back-office people in BKK were good about talking to me and making sure everything worked out alright. And the local manager was good about helping and flirting. ;-) But a word to the wise - be sure you're not going to return something that you buy on credit!

[Harmonica]

>>>>>> Agree that should keep up driver license but normally this does not require you be in US. I have only been in USA to renew two times in the last 40 years. As a matter of fact last Florida was done completely on-line. <<<<<

good stuff, Lop -- will check to see if my State offers the same service.

[lingling]

I'm using this re-mailing service and can recommend it:

https://www.usglobalmail.com/

[Rex7777]

I've got about a year to go before I have to serioulsy have to start thinking about all this kind of stuff, but one thing I want to be careful about is using an address in the USA in some state that might somehow get the bright idea to charge me state tax, just because I have an address and drivers license there. Obviously, some states don't have a tax, but that means I have to find an address in Texas or Florida or Wyoming, etc. I also wonder about the banking. Has anyone ever dealt with American Express overseas? I've got an Amex card, and I think they have Amex banking also. Maybe that would work. It would be ncice to have a central source for my funds. Right now I'm dealing with Bank of America, which works fine here in the States. I can pay all my bills online, etc.

Rex

[ProThaiExpat]

I would be surprised if any state taxes income from other jurisdictions. If you don't have any income from that state, I don't they can tax you without income.

Maintaing an address and driver's license are fairly weak "indicies of residence".

There are a number of factors that are used when push comes to shove in regard to determining residence. Where you "reside" is at the top of the list. Where you declare your "residence" is another major determining factor.

My guess is that state taxing authorities use federal W-2 and 1099 forms to determine if your taxable or not.

[buadhai]

The State of Hawaii tried to hit me up for state income taxes for several years after I left the place, even though I had severed all connections and moved overseas: Didn't keep my driver's license, had no assets in the State or income therefrom, had no bank accounts there, etc.

Took me six months of correspondence to finally convince them I was gone for good.

[ProThaiExpat]

The State of Hawaii tried to hit me up for state income taxes for several years after I left the place, even though I had severed all connections and moved overseas: Didn't keep my driver's license, had no assets in the State or income therefrom, had no bank accounts there, etc.

Took me six months of correspondence to finally convince them I was gone for good.

<{POST_SNAPBACK}>

I had just the opposite experience with the State of Hawaii, however, I did file a non-resident tax return after I left for the year I left as I was in the state for a few months of that tax year, leaving in March.

It may be that their tracking system brings up names of all those who don't file who had filed the year before and they work this list over to see if anyone ommited to file that should have. In my case, the non-resident return informed them I was no longer there, even though I keep my Hawaii driver's license current and use a friends condo as a Hawaii address for banking purposes. All my bank statements and credit card bills come to my Thailand address.

[buadhai]

I had just the opposite experience with the State of Hawaii, however, I did file a non-resident tax return after I left for the year I left as I was in the state for a few months of that tax year, leaving in March.

It may be that their tracking system brings up names of all those who don't file who had filed the year before and they work this list over to see if anyone ommited to file that should have.  In my case, the non-resident return informed them I was no longer there, even though I keep my Hawaii driver's license current and use a friends condo as a Hawaii address for banking purposes.  All my bank statements and credit card bills come to my Thailand address.

<{POST_SNAPBACK}>

Amazing. I was also there for part of the tax year and filed a non-resident return for that year. They wanted to tax me on the full year's income. They just couldn't believe that the Trust Territory of the Pacific Islands (no longer in existence) would be permit me to reside there; not withstanding the fact that I had a voter's registration card, driver's license and rent receipt all from the Northern Mariana Islands.

[bkk_mike]

I've not heard of any 0% fee credit cards for foreign purchases; but since the  bank earns its money from the spread with the merchant, this could be possible.

<{POST_SNAPBACK}>

There is one - but it's British, not American. (sorry)

Nationwide (a Building Society - i.e. Savings and Loan in the US?) has 0% FX spread on foreign purchases, and even 0% FX spread on cash advances - although there is the 1.5% cash advance charge on those.

You can even avoid that if you have a bank account with them - as their debit card is Cirrus. (i.e. Free cash withdrawals in Thailand from your bank account in the UK, at the market exchange rate which is better than the rate you get at the Exchange booths).

Edited January 27, 2005 by bkk_mike

[Upcountry]

As an addendum to my previous posts about taking a "cash advance", or whatever you want to call it, from my Visa-style US checking account debit card, I recently went to the exchange booth to take out 38,000 baht.

The teller told me the rate that was less than I has seen on the internet (38.17, vs 38.25, if I recall correctly). Later I saw a tentative charge on my checking account of $994.99, which comes to about 38.19 baht to the dollar.

My checking account on-line statement showed this sum for about a week Today I checked again, and found a new final amount: $1001.04. That works out to a 1% difference (between 994.99 and 1001.94).

It's hard to see how they could have gotten a better rate by waiting, since the lowest rate I see in the last 120 days is 38.25 according to www.x-rates.com/d/THB/USD/graph120.html.

I would expect a separate line showing a specific fee if my bank was behind this. It's my guess that Bangkok Bank charged me the 1% fee then. That still beats the credit card 3% rate, but it's a drag to see it hit after a week like this.

[lopburi3]

As an addendum to my previous posts about taking a "cash advance", or whatever you want to call it, from my Visa-style US checking account debit card, I recently went to the exchange booth to take out 38,000 baht.

The teller told me the rate that was less than I has seen on the internet (38.17, vs 38.25, if I recall correctly). Later I saw a tentative charge on my checking account of $994.99, which comes to about 38.19 baht to the dollar.

My checking account on-line statement showed this sum for about a week Today I checked again, and found a new final amount: $1001.04. That works out to a 1% difference (between 994.99 and 1001.94).

It's hard to see how they could have gotten a better rate by waiting, since the lowest rate I see in the last 120 days  is 38.25 according to www.x-rates.com/d/THB/USD/graph120.html.

I would expect a separate line showing a specific fee if my bank was behind this. It's my guess that Bangkok Bank charged me the 1% fee then.  That still beats the credit card 3% rate, but it's a drag to see it hit after a week like this.

<{POST_SNAPBACK}>

This sounds as if you received the same rate you would have from the atm as that is usually bank rate minus 1 percent. The 1% fee would have been your home bank charge. Believe you will find it listed in your bank electronic transfer agreement among the fine print.