What is the cheapest way I can transfer money from Hongkong to the US?

Cheapest and reliable way to transfer money & stocks from Germany to US

• I will be moving (as in "emigrating") from Germany to the U.S. anywhere between June and September of 2002. I am looking for a way to transfer my assets (both cash and stocks, equivalent of five digit US$ amount) in the cheapest and safest possible way from here to there. So far I have been unable to even set up a bank account in the U.S. I have contacted a couple of banks, but without a U.S. residence/address it seems impossible to get anywhere near my goal. I have the following needs/questions: - Which U.S. bank will set up a bank account for me that I can transfer money to from Germany prior to me even setting foot on U.S. soil? (My spouse is a U.S. citizen and hence could provide an SSN, if necessary.) - Will I be able to transfer stocks (of European and U.S. companies) in the same way or will I have to turn them into cash, transfer the money, and reinvest once the money is in the U.S.? - I want to avoid under any circumstances to use a c/o-address of a relative or friend in the U.S. - Online bank account access is a plus, but not a prerequisite - I don't need lists of banks that may be possible candidates for my requirements, I need specific names of banks that will actually allow me (given my or my wife's status) to set up a U.S. based bank account without any further hassle. Destination is the Tampa Bay area (Florida). The move is completely job unrelated. I am a German national.

• Answer:

  Dear puddnpie-ga: It is indeed possible to transfer both money and securities to the US without having 1) a US address and 2) a social security number. It is, also, possible to transfer your securities to an US account without liquidating the assets and converting them back into securities once they are transferred to the US account. Many banks would allow you to open an account without a social security number as long as you open a non-interest bearing account. If the account is an interest-bearing account, a social security number is required for tax purpose at the end of the year. Your accrued interests will be reported to the IRS via your social security number. From my experience as a previous investment advisor working in the security industry, there are basically two cheapest full-service brokerage firms existing right now (E-Trade, Datek, Ameritrade, and so on are considered as on-line brokerage firms and have limited services, not full-service firms): Charles Schwab and TDWaterhouse. Other brokerage firms are higher end, definitely have more services but also much more expensive. Charles Schwab has what is called Schwab One International account. For this account, I believe you must open from your own country, Germany, at the nearest Charles Schwab branch. For more information, please check out: http://www.charlesschwab.com/SchwabNOW/navigation/mainFrameSet/0,4528,519,00.html. The minimum balance of $10,000 is required to open the account. It also has a minimum annual fee of $100. This account also allows on-line trading commission of $29.95 per trade up to 1,000 shares per time. There is also a commission schedule depending on the size of the trade. In addition, there is a no-fee VISA debit card that can be used against this brokerage account. The banking services allow you to deposit or withdraw funds in selected foreign currencies as well as U.S. dollars. If you are considering depositing checks from foreign banks, you must contact Schwab International Representatives for more details. Once the account is open, there is no need to liquidate your securities to convert them into cash and reconvert again into securities. All you need is to fill out a “Transfer of Account” form with your application and the securities will be transferred completely. For international account, please contact: Charles Schwab, Ltd. Language services available: English and French 38 Bishopgate, Crosby Court London, England, EC2N 4AJ United Kingdom Phone: +44-171-786-7102, Monday–Friday, 9:00–19:00 G.M.T. Fax: +44-171-786-7172 E-mail: [email protected] Charles Schwab, however, is only a brokerage firm and does not have a traditional banking services. The good news is TDWaterhouse, on the other hand, has both a brokerage firm as well as a banking business with banking on-line access. TDWaterhouse allows you to open a brokerage account from a foreign country. In order to open the account without a social security number and a US address, you must fill out an application that requires an address from your own country. For contact number outside the US, please use 1-212-908-7448. Once you moved to the US, you can fill out a form for a change of address. Without a social security, you must fill out an additional form call W-8. The application and W-8 form will be sufficient for opening of the account. There is no need again for liquidating your securities to transfer the securities to the newly open account. There is a minimum balance of $1,000 to open (either in securities or cash or combination of both). There is no annual fee to open this account. This account also has a check writing capability as well as debit card against your brokerage account for withdrawal or depositing cash into the account. TDWatehouse has also on-line trading at a more competitive price per trade as low as $9.95 granted that you open a TDWaterhouse Premier Account. To qualify for this price, please see their rules: http://www.tdwaterhouse.com/products/schedules.html In addition, TDWatehouse has banking services that offer banking account with on-line access. The form can be found at: http://www.tdwaterhouse.com/openacct/index.html I had researched the information by contacting TDWaterhouse services 1-800-934-4448, an account representative told me that banking account can be open the same as the brokerage account with the above information from abroad. You are required to have 2 pieces of ID (from your own country) with signature on them, or a credit card in place of the ID and a check for $100 US as a deposit. You can also open an account on-line via the following link: http://www.tdwaterhouse.com/openacct/index.html Please contact them for more information , 1-416-983-0050 for a toll free call from Germany. Transferring of money, after the account is open, requires only a wire transfer. It seems TDWaterhouse is the one-stop solution for both of your securities as well as banking needs. If you do not wish to use banking services from TDWaterhouse, CitiBank is also known among the investment community in the US as more efficiently run regarding international transfer. I also agreed with one of the Comments below on CitiBank. Here is the information found on CitiBank opening of account. The requirements to open an account: The person must not be a US citizen and resident Must have a minimum balance deposit of $25,000. Can wire transfer or send a check. Must have a bank reference letter or from reference letter from a job. Must have 2 forms of ID's, one of which must have a picture like a passport. The number to call from outside the US is 1-813-604-3000 for further inquiries or to obtain an application. I hope the above information is useful for you and that your transferring of assets to the US is an efficient one. Welcome and good luck on your move to the US. For more useful links, please check the following sites: CitiBank's website in German: http://public.citibank.de/de/set_.htm?prd10000.htm TDWaterhouse's website: http://www.tdwaterhouse.com/openacct/index.html Charles Schwab's International account information: http://www.charlesschwab.com/SchwabNOW/navigation/mainFrameSet/0,4528,519,00.html