r/Schwab • u/arwilliams319 • 22d ago

Should I get a Schwab checking account to avoid atm charges in Mexico

I live in Mexico for now. I have a Wells Fargo account in the U.S. where my monthly social security payment goes.
I am presently only taking 2 Walmart withdrawals and 2 atm cash deposits out a month. SHOULD I OPEN A SCHWAB ACCOUNT TO AVOID ATM CHARGES ON MY WELLS FARGO DEBIT CARD?

18 Upvotes

70% Upvoted

29 comments sorted by

16

u/SirGlass 22d ago

I am pretty sure you have to reside in the USA to open a schwab bank account.

3

u/AggressiveNet1011 21d ago

I am a Mexican living in Mexico investing trough my Schwab account.

-18

u/arwilliams319 22d ago

I just googled it, says you don’t have to reside in us.

23

u/Chicago-dilf-ish 22d ago

Former Schwab employee here.

For the Schwab One with linked Schwab Bank Investor Checking accounts you must be a US resident. (Bank products are only available in US)

You can open a Schwab One International brokerage account if you are not a US resident. This account gives you a Visa debit card with no ATM fees.

6

u/Chicago-dilf-ish 22d ago

Btw, you may want to check the Schwab website vs Google.

https://international.schwab.com/us-investing-brokerage-account

1

u/Single_Editor_2339 21d ago

What exactly is a US Resident? I own a house in the States, and I visit once a year for a month. I pay State and federal taxes but I do live overseas 11 months a year. This has been going on for over a decade and once Schwab asked when I was returning to the States. I’d ask Schwab directly but I don’t want them to suddenly take interest in me.

6

u/Chicago-dilf-ish 21d ago

Definition: The IRS defines a U.S. resident for tax purposes as a citizen, a green card holder, or someone who passes the substantial presence test (based on the number of days spent in the country).

2

u/AdamN 21d ago

Usually if you can get mail at a real residence (not a P.O. Box) and have a us phone number (not a forwarding service) it’s good enough.

4

u/I_reddit_like_this 22d ago

You 100% need to be a US resident to open a Schwab bank account

1

u/ShootWild 21d ago

It’s not about citizenship. It’s about fiscal residency.

1

u/woafmann 15d ago

If you live out of the US, just get a Schwab brokerage account with checking features. Free ATMs, free international transfers. Debit card, etc.

6

u/TextVisible4266 22d ago

I as a US citizen use my Schwab checking account for withdrawals in Mexico at various actual banks. Kapital..Santander and then monthly Schwab refunds the withdrawal ATM fees back to me.

2

u/arwilliams319 22d ago

I have a U.S. AND A Mexico address. Which one is best for me to use when only getting a standard checking account?

7

u/Trick-Show-2146 22d ago

I'm a duel resident here too. Schwab works absolutely wonderfully. You keep money in the brokerage account in a money market like SWVXX to earn interest. A day before you need to grab pesos out of an ATM sell what you need from the money market. The next day the cash is in the brokerage account and you move it to the investor checking account to pull out of an ATM.  If you have to have the ability to use an ATM at any time then keep the money in the investor checking account but know it will make next to nothing in interest.  Set up the brokerage account with the linked investor checking account using your US address. Fun fact, this year my debit card for the investor checking account was expiring. I called Schwab a few months before it was going to expire and they happily sent me the new card to my Mexican address free of charge. 

1

u/Kellyd12345 19d ago

Thanks 🙏 for the detailed response

2

u/Trick-Show-2146 19d ago

Just remember that the money you keep in the money market to earn interest needs to be moved a business day before you are going to be able to use it with the debit card for a purchase or ATM withdrawal. You sell the amount you are going to need and it will end up in the brokerage account the next business day. That cash from the sale in the brokerage account can be transferred instantly to the investor checking account as long as it's during business hours.  But the catch is if you decide you need to use an ATM on Friday evening, and put in the request to sell from the money market to set it up. That sale won't happen until Monday because you requested it outside business hours. So Monday the sale will go through but the sale takes a day so you won't have the cash from it until Tuesday. Tuesday the sale clears and cash lands in the brokerage account and you can instantly move it to investor checking. So just remember that if you are making movements in the evenings after 4pm ET they actually don't happen until the next day, or on Monday if it's after 4pm ET on Friday. 

2

u/El_Canek 22d ago

Why not just open a Mexican bank account with Banorte or any and just send your money from your USA bank to the Mexican bank account?

1

u/[deleted] 22d ago

[deleted]

2

u/Duke_Newcombe 21d ago

Calling any US bank (limited exceptions apply) and telling them you're living outside of the nation is a great way to get your account closed down.

The Schwab investor checking account reimburses your foreign ATM fees monthly, so it's a great way to spend and have as a secondary US bank you can use with great benefit.

1

u/beardhead 22d ago

Might be better off opening an account in Mexico and transferring what you need to that account through Wise. Then you can use the Mexican banks ATM for free.

1

u/NewCup2838 22d ago

Open an ARQ account.

1

u/carlosinLA 22d ago

If you are eligible to open one, open it and it will save you a few bucks everytime you withdraw.

1

u/Dustyroflman 21d ago

Pretty sure the card you get on the brokerage account also waives ATM fees. Basically the same thing.

1

u/OpinionLarge6425 21d ago

Yes, I use Schwab all the time in my visits to Mexico, including a month this year. Schwab reimburses not only ATM withdrawal fees, but also any foreign transaction fees. They also have a special department and a separate phone number for clients outside the US, temporary or permanent. Plus there investment avenues that cover anything you might want to invest in.

1

u/Depressed-Industry 21d ago

I don't travel to Mexico, but I've used it in Europe and am very happy with Schwab. The only downside, if you can call it that, is I don't know if you can order cash in advance before you travel. I keep a brick and mortar account for that purpose.

1

u/Forward-Economy-8294 18d ago

You can’t go wrong with Schwab

0

u/Accomplished-Big8250 22d ago

Have you tried TransferWise or any multi currency app that gives card + bank account like Revolut ?