How to Open an International Bank Account as a Student?

Why International Bank Account Is Important As a Student?

An international bank account is a bank account in a country other than where you live. It is designed to help international students on their study abroad journey by managing their money in a better way and seeking benefits from rewards. This account will allow you to view, manage, and transfer money between the global accounts, wherever you are. Thus, it is advised to make an international student bank account for international students because of its stunning benefits. To make you better understand below we have listed down the advantages of using an international bank account.

1. No Need for Transaction Fees

By using an international bank account, you can make the payments in local currency and avoid any type of transaction fees that is majorly occurred with a normal bank. You can avoid these additional fees and expenses with the help of an international bank account and can save money.

2. Track Your Finances

By opening a bank account, you can keep track of your spending. For example, there is some sort of data given at the end of the month that shows how and where you have spent your money on travel, restaurants, and others. In this way, you will know where your money is going.

3. Money Management

Having an international bank account teaches the students about money management skills and helps them how they can save their money and budget. Thus, one of the major advantages of opening international bank account is that it makes the students responsible and answerable.

4. Ease of Payment

The international bank account is accepted everywhere you go, and is flexible for students to use. They can make payments and transactions in a very convenient way. Additionally, along with this internet banking and phone banking also become more fast and accessible.

5. Develop a Local Credit History

If you choose to stay back in the country wherever you are for employment options, then having a bank account for international students can help you build a good credit score over time, and that also in the new country. Also, this will keep a proper record of your transactions.

Overall, these are the benefits of opening an international bank account for students. The next section will let you know the types of international bank accounts.

Types of Bank Accounts for International Students

There are two different types of bank accounts for students. Each one of them has its characteristics and is best for various purposes. However, before opening a bank account, you must research the different bank accounts available for students. However, to make it easier for you, we have mentioned the two types of bank account for international students to use.

1. Student Checking Account

A student checking account is for daily use purposes. It includes making purchases, withdrawing cash, and paying the bills. However, you will need your debit card to get access to your checking account. Also, you can earn some little interest on the money but that all depends on your bank.

2. Student Savings Account

This is one of the types of international bank account that saves money and helps in emergencies. Getting access to this account is generally limited, but you can earn interest on your saved money. Furthermore, if you get a job and start to earn, then you can invest all your money into that savings account and make a little fund for yourself.

These are the banks forinternational students to use wherever they are going for their studies. The next section will talk about how to choose the right bank for opening an account.

How to Choose the Right Bank?

Choosing the right bank can be a difficult task, as there are so many options available and so many factors to consider. From the interest rates to the customer service, students need to make an informed decision. Thus, this section will let you know the factors on how to choose the right bank account for international students. Let’s have a look.

• Research Bank Reputation: Research the bank and know its reputation in the market. Thus, choose the bank that is responsive, helpful, and available to assist you when you need it.

• Compare Fees: Understand the bank’s fee structure and the interest rates that can significantly affect your financial well-being. Thus, this is an important factor to keep in mind.

• Security: Before opening bank account, make sure where you are opening your account your money will be keep safe. Thus, you should choose a bank that takes the security seriously.

• Accessibility and Global Presence: The bank should be accessible both physically, online, and over the phone. Consider how easy it will be access to your money and manage your accounts.

• Ease of Fund Transfers: One of the major benefits international students should look that if they can make big payments or transfers easily or not. Thus, it your bank must support that big amount to handle.

• Services: Before opening the bank account, look for the overall services bank is offering. Many times people simply choose the first bank they visit but a lot of factors should be considered.

• Customer Support Availability: Good customer service is essential when it comes to banking. Choose a bank that holds accountable themselves for its mistakes and solves them without wasting the time.

• Minimum Balance and Account Requirements: Check whether the bank requires a minimum balance to open or maintain the account. However, you should find an account that does not charge any extra fees for transactions.

These are the factors to consider before choosing the right or opening bank account. In the next section, you will find out some important documents that are required to open an international bank account.

Documents Required to Open an International Bank Account

To open an international bank account, students are required to arrange all the necessary documents. However, depending on the country the documents can differ but few of them remain the same. Thus, this section has mentioned the generic documents needed to open an international bank account. 

• Proof of Identity
• Passport
• National ID Card
• Driving License
• Student Visa
• Proof of Enrollment

• Proof of Address

• Bank Statement
• Utility Bills, Rental Agreement, and Official letter showing where you live.
• Other documents with your current address

• Other Documents
• Completed application form
• Passport size photographs

These are the documents that are required for international students to show in the country wherever they are going. The next section will talk about the process on how to open an international bank account.

Step By Step Process to Open an International Bank Account

Opening an international bank account can be convenient for students to use and manage their finances. However one should understand the process to open the account. Thus, in this section, we have mentioned the process step-by-step on how to open an international bank account for students.

Step 1: Choose the Right Bank and Type of Account

Research out and find out the bank that offers services for international students. After that, decide which type of account you want to open whether a checking (current) account, savings account or both.

Step 2: Collect All the Necessary Documents 

You must gather all the documents like a passport, student visa, proof of enrollment, and proof of address where you are living in the country. Thus, look for all the documents that the bank is asking for.

Step 3: Make an Initial Deposit

To open an international bank account, you need to deposit a minimum amount of money. The amount can differ depending on the account type and the bank. However, it is usually small but you must do it.

Step 4: Receive Account Details

Once you have made the payment, your application will be approved. After this, you will get a number, debit card, and other essential information. Also, mobile or online banking will be set up for easy transfer.

Step 5: Activate Your Account

Follow the steps above to activate your debit card and set up online banking, if possible. This will include setting a PIN or logging in for the first time to confirm your details.

Step 6: Currency Exchange (Not Necessary)

See if you need to convert the currency or send money to some other country. Thus, check if your bank provides this service at low fees and know the whole process along with requirements.

These are the steps that students must follow while opening an international bank account. In the next section, we will talk about the tips for managing your bank account.

Tips for Managing Your International Bank Account

If you plan to study or live abroad for a year or more, then you will have benefits from the international bank account. However, students must plan to save their money as it can come into use in emergencies. Thus, look down at some tips that international students can follow in managing their bank accounts.

• Keep a track record of your balance and spend wisely.
• Choose the right bank with low fees and multi-currency options.
• Use local ATMs to minimize withdrawal fees.
• Activate the online banking for easy and fast transactions
• Look for the affordable student accommodation when living in other country.
• Understand the tax regulations 
• Check for any account maintenance or inactivity fees.
• Choose international debit/credit cards with no transaction fees.

Conclusion

To conclude, we talked about international bank account and their importance for international students. Further, we also had a brief look at the types of bank accounts, how to choose the right bank, the documents required, the process to open an account and tips to manage your account. This blog has helped you to understand everything about the international bank account. Still, if you face any doubts regarding your bank account, accommodation, and others we’re here for you to help! , Gradding homes.com has the best student accommodation in UK, USA, Canada, and Australia options available.

FAQs

1 What Is an International Bank Account?

An international bank account is a bank account in a country other than where you live. This account will allow you to send and receive money, manage assets, and conduct transactions in different currencies.

2 Why Do International Students Need a Bank Account Abroad?

By using an international bank account, you can make the payments in local currency and avoid any type of transaction fees that is majorly occurred with a normal bank. There are other benefits too for using the account.

3 Can I Open an International Bank Account Before Moving Abroad?

Yes, you can open an international bank account as some of the Indian banks offer this service through their overseas contacts.

4 Which Banks Are Best for International Students?

Some of the best banks for international students are as follows:

• Bank of America
• HSBC USA
• S. Bank
• TD Bank
• Capital One
• Santander

5 What Is the Easiest Way to Send Money Internationally?

The online money transfer is the easiest way to send the money internationally.