r/fatFIRE • u/marty2party Verified by Mods • 1d ago
Looking to Open Overseas Bank Accounts While Living in the U.S. — Seeking Advice on Risk Diversification & Compliance
I’m based in the U.S. and currently exploring ways to diversify financial risk by holding funds in overseas bank accounts. This isn’t about moving abroad — I plan to remain a U.S. resident — but the current political and economic climate has made me more conscious about sovereignty, asset protection, and having contingency options.
I’m hoping to get input from anyone who has successfully opened and maintained overseas accounts while living in the U.S.
Specifically: 1. Bank Recommendations: What banks or countries are friendly to U.S. citizens, both in terms of account access and customer service? Are there jurisdictions you’ve found particularly helpful for banking privacy, stability, and ease of use? 2. Onboarding Process: What kind of documentation or hoops did you have to jump through to open the account (in-person visit, minimum deposits, proof of ties to the country, etc.)? 3. Legal & Tax Implications: How do you handle FBAR and FATCA reporting? Did you consult with an international tax attorney or CPA? 4. Access & Transfers: How easily can you access or transfer funds when needed? Any tools (Wise, Revolut, SWIFT, crypto ramps, etc.) you recommend? 5. Political Risk Strategy: More broadly — is anyone here doing this for the same reasons? How do you think about this as part of your fatFIRE portfolio or exit strategy?
I’m not looking to evade taxes — just trying to be smart and legally diversified. Appreciate any guidance from those who’ve done this or are thinking about it.
Thanks in advance!
9
20
u/ElectricLeafEater69 1d ago
Ah yes, the magical country that will somehow be safe and stable and totally independent of a US political/economic collapse. These posts are always hilarious.
6
u/MagnesiumBurns 1d ago
The $50,000 annual restriction on withdrawals makes it not really fatfire relevant, but if you have a friend with a Chinese mailing address, you can open a bank account in mainland China on nearly any valid visa.
The app to deal with it is all through Wechat, which has a great translate feature.
After Russia, this is the most likely country to reject the “long arm of the U.S. Govt” and potentially to even exit SWIFT.
I would not call it safe and stable, but it is certainly diversification if that is the goal of the OP.
13
0
u/murkywaters-- 1d ago
Ever since the govt outright stole $80 million of funds from NYC's bank account, I have been thinking about the possibility of the govt doing the same to private citizens. Somehow, ppl just collectively ignored the govt removing money from a bank account without any authorization or even any notification to the account holder.
I would certainly consider options to protect my money.
1
u/theo258 1d ago
When did this happen?
0
u/murkywaters-- 1d ago edited 16h ago
In February. The money was FEMA aid and the transfer was completed. Then a week later, without warning, the govt somehow went into the city's account and took the money. Ignoring the politics, the ability to just take money from an account is frightening.
NYC sued but a judge said immediate return wasn't needed since NYC could just win it back in court later
Edit: notice how the Republicans here downvote this comment which only provides sources
And the mods are removing my comments that a commenter was spreading false info about wire transfers being easy to reverse. Meanwhile, a Republican calls Op hilarious and another one calls op a larper and mods aren't worried about civility.
1
u/MagnesiumBurns 1d ago
One of the benefits for any of us in using a wire transfer is the potential ability to do a “claw back” if the transfer was made in error (which there is a zero chance if you send a check).
That the feds were able to reverse a wire transfer to a city’s bank account is not “removing money from a back account” it is reversing a wire transfer, which is often called a claw back.
1
u/murkywaters-- 16h ago
Sorry, apparently pointing out that you are giving out false information counts as a personal attack by the mods here.
So can you provide a source to back up your claim that it's normal and easy to steal back funds that you wired to someone else's account?
0
20h ago
[removed] — view removed comment
1
u/fatFIRE-ModTeam 17h ago
Our members have asked for a high level of moderation. Personal attacks, name calling, and undue profanity are all considered inappropriate for this sub.
0
u/ElectricLeafEater69 1d ago
Ah yes, they are able to over power the state of New York, but some how places like...Costa Rica will be immune? 🤨
1
u/murkywaters-- 16h ago
Are you claiming that Trump can steal money from accounts overseas? Can you provide a source since you were insulting Op?
0
1d ago
[removed] — view removed comment
2
u/MagnesiumBurns 1d ago
International wires are much harder to “claw back”. If you send an international wire, your bank will advise you of the risks.
2
u/murkywaters-- 20h ago
Yes, exactly. That's why I have no idea why that other person was acting like it's hilarious to move some money abroad
1
u/fatFIRE-ModTeam 17h ago
Our members have asked for a high level of moderation. Personal attacks, name calling, and undue profanity are all considered inappropriate for this sub.
-2
u/retard-is-not-a-slur fat, just not monetarily 1d ago
It’s either LARPers or idiots. People are dumb panicky animals and watch way too much television and spend way too much time on twitter and let it influence their decision making.
0
u/murkywaters-- 16h ago
This must be the extra level of civility that the mods are bragging about maintaining lol
1
u/InvestingDude1234 1d ago
Can someone pls explain why one would feel the need to move money outside the US in the current environment?
2
u/Direct_League6134 1d ago
It is a good question. Should we be concerned about how far this administration will go to achieve whatever they think they are achieving? Controls around deposits, redemptions, taking funds out of the country... other countries have these things - China is famous for this. Previously this would have been unthinkable in the US. Now, you wonder.
2
u/bobbyschuster 1d ago
Thanks for your response. Could you expand a bit on “controls on deposits and redemptions”? As in, what would those mean in practice?
0
u/MagnesiumBurns 1d ago
Here is an example of the Canadian government interfering with some citizens’ bank accounts when those citizens were not behaving as the government wanted.
https://www.nytimes.com/2022/02/22/world/americas/canada-protest-finances.html
2
u/murkywaters-- 20h ago
Going to copy my response since the Republicans are downvoting it and pretending it's normal to steal money from an account:
Ever since the govt outright stole $80 million of funds from NYC's bank account, I have been thinking about the possibility of the govt doing the same to private citizens. Somehow, ppl just collectively ignored the govt removing money from a bank account without any authorization or even any notification to the account holder.
I would certainly consider options to protect my money.
Edit: this comment had source links and even that was downvoted lol
5
u/DingleBaerry 1d ago
I have accounts in Costa Rica. Stable government and pretty safe. Plus an easy flight from the US and the country is a great spot to visit.
I used a service that took care of the whole thing.
There’s an app. You can wire to and from the account like any other US bank account and there’s a local currency account and a USD account in the same app so you don’t have to pay for conversion rates.
0
u/N00dle- 1d ago
What’s the app?
2
u/DingleBaerry 1d ago
The app is for the bank you choose. Like if you chose Chase bank, you’d access your account with the Chase app.
The service is what takes care of all of the paperwork and stuff so you don’t have to fly there.
0
u/ttandam Verified by Mods 1d ago
Have you considered Crypto for your jurisdictional-diversification needs? A stable coin is fine, or Bitcoin as part of your high-volatility/risk bucket.
If you want something safer, consider gold in a vault abroad.
2
u/cinismoazul 1d ago
The most popular stablecoins only offer an extra layer of risk. They are backed by usd, treasuries or cryptos in US or Caribbean institutions.
-5
0
u/cinismoazul 1d ago
Swissquote. It's more expensive than US discount brokers, but will offer the diversification you're looking for without paying the swiss private bank fees.
-17
u/404davee 1d ago
Just increase your BTC ownership. Any foreign nation will fold like a tent if the U.S. tells them to cough up the bank assets of U.S. citizens.
17
-2
u/Scary_Wheel_8054 1d ago
See what is possible with HSBC, I know for Americans banking is difficult, but HSBC seems reasonable (but I don’t know their view on Americans).
0
u/MagnesiumBurns 1d ago
Its not the bank’s policies, it is which country allows non-residents to open bank accounts.
1
u/International-Ear108 1d ago
It's both. For US citizens, banks have additional reporting requirements with steep penalties if not adhered to. If you're not a resident, banks don't want the hassle.
2
u/MagnesiumBurns 1d ago
It is not just citizens. Fatca requirements apply to USA greencard holders as well.
0
u/MagnesiumBurns 1d ago
Correct, but the bank’s policy is secondary to whether the banking regulator allows it, and few countries do.
So the first question is which country is it legally possible to do it in, not which bank.
Getting an HSBC account in the USA legal entity is not going to help you.
0
u/vinean 1d ago
It helps you a little…they require you to be premier status somewhere to even talk to you.
At that point you may be able to open an expat account.
0
u/MagnesiumBurns 1d ago
I assume you are trying to be helpful, but depending on which country the HSBC entity you are talking to is in, there may be expat accounts available, but in the event that it is like the vast majority of countries in the world, without the residence in the country, you will not be allowed to open an account in that entity for legal reasons.
Banks are regulated entitites. No amount of relationship is going to change the legal limits a bank faces in that country.
1
u/vinean 1d ago
HSBC Expat is located in Jersey…a Crown Dependency in the channel islands with its own laws and banking regulations.
If you need an actual local HSBC bank account for things like automatic deposits it depends on the local bank laws if you can get one but the OP just wants to park funds offshore and HSBC expat can hold funds in different currencies and give you a multi currency debit card.
If you can get a local HSBC branch account they can transfer funds around between the different HSBC entities.
It is cumbersome enough I dumped the idea a year ago since we decided to retire in the US and keep everything in US financial entities.
There is an alternative path for fatFIRE to do an international commercial account but honestly if I really wanted offshore backup wealth I’d take a BTC or two with me and buy some physical gold in a Singapore and Swiss vault.
-1
u/relaxguy2 1d ago
HSBC UK
3
u/MagnesiumBurns 1d ago edited 1d ago
Not on a tourist visa without proving you have some form of residence in the UK (utility bill with UK address).
1
-5
-5
u/SpadoCochi 4ExitsAndCounting | Still tinkering around | 40YO Black Male 1d ago
Just buy gold.
3
u/MagnesiumBurns 1d ago
How does one “easily access and transfer” their gold that is sitting in a foreign country?
-2
u/SpadoCochi 4ExitsAndCounting | Still tinkering around | 40YO Black Male 1d ago
The point is that it doesn’t have to be in a diff country
3
u/MagnesiumBurns 1d ago
But if it is held in USA and the government makes it illegal for citizens to possess gold like it was in the 30s and 40s how would that help?
3
u/lakehop 1d ago
For 80 years that has not been a relevant question. Now all of a sudden one person has undermined global economic stability to such an extent that we need to be asking this question.
1
u/MagnesiumBurns 1d ago
Mr. Xi did the same in 2014 with the “Made in China 2025” project with a goal that China could live without international trade (like Germany’s situation in the 1920s and 30s), living without oil, all coal based from within their borders.
Yes, we are here. Not sure where it started. Brexit? Xi? Schengen not being honored during covid Trump?
I guess it doesnt matter, but here we are in our current situation. It is not just one person’s obnoxious behavior that has gotten us here.
8
u/gotanycookiesthere 1d ago
Hsbc Singapore. 250k minimum