For those of you with US accounts, can you please explain the advantages and disadvantages of a Cdn resident having a US bank account? Is it possible for a me (a Canadian) to have a US account IN the US, at a US bank? Are there US banks in Canada? What is the point of of having a US account at a Canadian only bank? (with no branches stateside) I may be receiving some US funds, it got me thinking that with the our dollar dropping. I could open a US account and leave the money in US funds.
TD has banks across the US. You can set up a US account with TD here in Canada and access it there from what I understand. Keep it in USD for a while, looks like our dollar is going to slip even more. Ufff.
I believe the Royal bank has U.S banking, it may just be American mortgages though. Not teller services. I have a U.S. bank account, mostly because of living in the states. Still have property there. Its convenient, I can get a cashiers check from a major U.S bank and buy cars easier in the states. Also looking to buy more property, having a major U.S bank account and credit cards, makes getting mortgages, etc. easy. But if I just received money every once in awhile, a U.S. account at a Canadian bank, would be my route. I do have U.S. checking at a Canadian bank. Have a consultant gig and its paid in U.S dollars.
You can have a US bank account which you can open with a Canadian passport only (not having a US social insurance number equivalent / SSN). I think typically they want you to have a US physical address because of government regulations.
Can you get US mortgages only with a US bank account and credit cards but no US credit history or employment? How's that I'd like to hear it.
Its easier now because the Royal bank does U.S mortgages, based on Canadian credit. But Canadians can get what's known as a social security number for non employment purposes. To get this you need proof you entered the U.S. legally. With this number you can open bank accounts and get credit cards. Just like the auto auction houses a U.S bank will except a letter of credit from a Canadian bank. Most will penalize you as a non resident, with higher rates, etc. But its pretty easy to get credit going in the U.S. One thing that helps is putting down larger down payments.
Ok that is news to me because I have Canadian friends who have the Tax ID in the US and you specifically cannot get a credit card with that number just applying regularly. Maybe they should consider a credit report letter from a Canadian bank to start?
I have American credit cards, a credit line and mortgages with U.S bank. All this with a tax id number. At first I needed a letter of credit from my Canadian bank to get credit cards. But now I have a 10+ year credit history in the U.S. and my American credit is good enough on its own. Its easy to get the number. At the border ask for an I-94 entry and exit record form. Some border crossings charge $10 for this. Then go to any social security office and ask for a non employment social security card. Open a bank account.
I deal frenquently in US currency with states and overseas and find it convenient with my Royal Bank & National Bank US accounts plus my Canadian issued Master Card US.
I have NO affiliation - am just a happy client - but I'm using Scotia's new USD Visa card - and pay it off with my USD Scotia cash account. This can elegantly be managed online. It's saved me a fortune ordering stuff from Ricambi and travelling in the US. For me - with no actual dealings in the US, it's super helpful with no IRS implications at all. RK
Most will need one of big four Canadian banks U.S credit cards and they all do U.S. mortgages now, so no need for an American bank account. . I lived in the states for seven years and just decided to keep my American accounts going. Really no need for an American bank, unless you want teller services. Canada and the U.S. have a tax treaty. Just don't earn an income in the U.S. the Canadian money you bring into the U.S. will be non taxable. Assuming you've paid taxes in Canada. The treaty avoids dual taxation. You'll only create U.S. implications if you earn an income from U.S. sources. IRS says: "The United States has tax treaties with a number of foreign countries. Under these treaties, residents (not necessarily citizens) of foreign countries are taxed at a reduced rate, or are exempt from U.S. taxes on certain items of income they receive from sources within the United States. These reduced rates and exemptions vary among countries and specific items of income. Under these same treaties, residents or citizens of the United States are taxed at a reduced rate, or are exempt from foreign taxes, on certain items of income they receive from sources within foreign countries. Most income tax treaties contain what is known as a "saving clause" which prevents a citizen or resident of the United States from using the provisions of a tax treaty in order to avoid taxation of U.S. source income. If the treaty does not cover a particular kind of income, or if there is no treaty between your country and the United States, you must pay tax on the income in the same way and at the same rates shown in the instructions for the applicable U.S. tax return." Just don't have U.S source income. Canadian income can't be double taxed by the IRS. Its pretty easy and legal to stay out of the U.S. tax system.
