[HD668B]

For all location independent players, how do you get access to your money? I am looking for the lowest fees (exchange rate included).
Do you prefer to deal directly with banks (wire transfers) or with middlemen like Moneybookers ?

EDIT: For those doing consultations or dealing directly with clients, the same question could apply.

[exe]

(11-07-2010 03:25 PM)LÉtranger Wrote:  

For all location independent players, how do you get access to your money? I am looking for the lowest fees (exchange rate included).
Do you prefer to deal directly with banks (wire transfers) or with middlemen like Moneybookers ?

L'Étranger,

If you open a checking account with Charles Schwab they won't charge you ATM fees. If the foreign ATM charges you, Schwab reimburses your acct. As for transfers, I've set up my Paypal acct so it's connected to three of my bank accounts at three different banks so I can move my money around. Not sure if one can connect a foreign bank account to Paypal, might have to setup a second Paypal acct for offshore accounts.

exe

[HD668B]

See thats why I used Moneybookers name, I find the Paypal fees just ridiculous (3% for receiving AND withdrawing + big cut on exchange rate).
MB is free to receive, and fixed fee of 4-5$ for withdrawing with ETF.

Schwab seems interesting, but I am not originally from USA... so might be complicated.

I have seen some infos on foreign banks that have small caribbean branches where its supposedly easy to open an account, plus they offer a world pre-paid credit card.

[OGNorCal707]

I know it comes with risks, but I always like rolling with a fat knot of cash $$.

[exe]

I was talking about using Paypal to move money between accounts, not send or receive. Have you looked into banking with an int'l bank that has branches all over - like Citi or HSBC - as they might not charge for withdrawing money at a foreign branch. I heard one can go to a foreign branch and open an account by writing a check from your local bank account.

Charles Schwab & E-Trade have accounts for non US residents.

[metalhaze]

I heard HSBC is best and you can easily transfer funds from country to country...any one has an idea on HSBC?

[HD668B]

(11-07-2010 11:09 PM)exe Wrote:  

Have you looked into banking with an int'l bank that has branches all over - like Citi or HSBC - as they might not charge for withdrawing money at a foreign branch.

hmm great idea, I just checked HSBC and they call this service "offshore banking", but starting as of tomorrow (!) they will cancel the standard account and will ask for a minimum deposit of 40k$....

Quote:

I heard one can go to a foreign branch and open an account by writing a check from your local bank account.

yeah the numbers on a check are the same used for a deposit by wire

I don't get your paypal situation, how do you get access to the money from there? They have % fees for withdrawing.

[Badstuber]

Paypal is a scam. Way too easy for customers to chargeback their money. Lost over 400 EUro's. Alertpay is better.

[Chase]

DKB (Deutsche Kredit Bank, a German direct bank) offers a free checking account that also comes with a free VISA card allowing you to withdraw cash from any ATM worldwide without charge. Currently they give you 1,65% interest. It's great for international travel. Many friends have it, never heard about any complaints.

[OSL]

That's unfortunate about HSBC, everyone I know has consistently been telling me that HSBC is their go-to bank worldwide.

Here is a list of resources for location-independent people. It's not specific to money, although there is a section there about it. Note that he uses HSBC.

http://www.thrillingheroics.com/resources

[exe]

(11-08-2010 09:02 PM)LÉtranger Wrote:  

(11-07-2010 11:09 PM)exe Wrote:  

Have you looked into banking with an int'l bank that has branches all over - like Citi or HSBC - as they might not charge for withdrawing money at a foreign branch.

hmm great idea, I just checked HSBC and they call this service "offshore banking", but starting as of tomorrow (!) they will cancel the standard account and will ask for a minimum deposit of 40k$....

Quote:

I heard one can go to a foreign branch and open an account by writing a check from your local bank account.

yeah the numbers on a check are the same used for a deposit by wire

I don't get your paypal situation, how do you get access to the money from there? They have % fees for withdrawing.

Called HSBC and here's the 411: one can open HSBC accounts in different countries and link them thru it's online banking site. Transfers between foreign accounts is $30 - for HSBC Premiere members there's no charge. HSBC Premiere requires a deposit of at least $100k.

Based on that flat rate fee and the average 3% fee via other methods, transferring/pulling money out from a foreign branch thru HSBC becomes progressively more attractive above $1k. Let's say you want to pull $5k - that's $150 at 3%.

Now, if you don't mind pulling money out at your daily ATM limits - usually $300-500, the no-fee Schwab card will cost you less/zero. From your HSBC online banking, you can link to your Schwab account so you can fund it from your local HSBC account. Since they're both domestic, you don't get int'l transfer fees.

Based on the above setup, if you want to pull money out daily then transfer money to your Schwab account from your domestic HSBC account. If you want to pull a large amount at once, transfer to your foreign HSBC account from your domestic HSBC acct and pay the lower flat fee. This is actually the setup I'm putting together. Just got my Schwab card & activated it today. Gonna be setting up my HSBC accounts soon.

If you have income streams in different countries, you can also open HSBC accounts in each country & have your income deposited at the country you earned it that way you don't have to do int'l transfers as you need money. And of course you can link all of them via the HSBC online banking site just in case you need to transfer money around.

Quote:

I don't get your paypal situation, how do you get access to the money from there? They have % fees for withdrawing.

I have all my bank accounts linked to Paypal so I can pull money from one account into PP then out to another account. One can ask to have the withdraw fees removed or the limit raised but this point is moot as I found out that Paypal doesn't allow linking foreign bank accounts to one's domestic PP account. FYI, Paypal has a debit card (M/C) but it has foreign transaction & ATM fees, so the Schwab card is better here.

[HD668B]

(11-09-2010 12:12 AM)Badstuber Wrote:  

Paypal is a scam. Way too easy for customers to chargeback their money. Lost over 400 EUro's. Alertpay is better.

Yep I used Alertpay to send money since its completely free up to 1k$. But I don't deal with them to receive since they charge 2.5%.

I checked Deutsche Kredit Bank, but website is only avaible in German... But I think the linked credit card is absolutely a great solution. I know that some e-payments system (like moneybookers or neteller) offer a prepaid mastercard. And guys, to tell you the truth, I am complicating my life here for one reason, I won't d€clare those revenues if I can move that money solely over internet (or in offshore banks).

[Badstuber]

http://www.payoneer.com/ <---- good option too. Gets you a free mastercard debit card.

[oldnemesis]

(11-09-2010 04:26 PM)exe Wrote:  

One can ask to have the withdraw fees removed or the limit raised but this point is moot as I found out that Paypal doesn't allow linking foreign bank accounts to one's domestic PP account.

Because Paypal does ACH when transferring money to/from bank account, and they cannot do ACH to a foreign account because of compliance issues.

[Tony Ryan]

Quote:

L'Étranger,

If you open a checking account with Charles Schwab they won't charge you ATM fees. If the foreign ATM charges you, Schwab reimburses your acct.

I can vouch for Charles Schwab. I've had an account with them for about 2 years now, couldn't be happier. The no ATM fee's are sick, especially when you're out of the country. Also, since they're an online bank, they don't have very little overhead for their business which translates into giving their customers one of the highest interest rates for basic checking accounts.

I mainly use my AMEX cards to pay for stuff, and then set up auto-payment to pay it in fully each month from my Schwab account.

Check out iwillteachyoutoberich.com - it's one of my favorite blogs on personal finance.

I pretty much based the structure of my personal financial system from this particular article (which many of you might have read already): The Psychology of Automation: Building a Bulletproof Personal-Finance System

[exe]

(11-11-2010 08:33 PM)oldnemesis Wrote:  

(11-09-2010 04:26 PM)exe Wrote:  

One can ask to have the withdraw fees removed or the limit raised but this point is moot as I found out that Paypal doesn't allow linking foreign bank accounts to one's domestic PP account.

Because Paypal does ACH when transferring money to/from bank account, and they cannot do ACH to a foreign account because of compliance issues.

For domestic transfers I also think it's thru ACH but I've paid and have been paid via Paypal by people outside the US, and I think PP uses SWIFTNet for that.

[Vacancier Permanent]

I access my cash online from my bank's online banking, nothing sophisticated nor sexy really. The product I promote pays me weekly in US$ and I then transfer that money to my regular bank account and from there, just withdraw it with my atm card.
I'm thinking of dropping Paypal, those fuckers have put limitations on my account as I forgot to notify them that I was leaving abroad for a few months. I know my fault but completely forgot about them and when I tried to pay for a hotel reservation online, those fuckers declined it and put a hold on my account. Been trying for a week now to have the hold/limitations removed from my account, they told me it's done but somehow it still seems like I can't make payments to my freelancers doing work for me using paypal. Anyone can recommend a good alternative to freaking paypal?

[subutai]

Authorize.net credit card processing is solid.

Also keep in mind that Charles Schwab Bank has a promotion where they refund ATM fees from throughout the world when you take money out. Those fees can add up if you are withdrawing a lot of cash using your US bank card.