The Importance of a US Bank Account For a Non Resident
In this article we would try to examine some of the benefits of a US bank account to a foreigner or non resident. Why is it that everywhere you go online now be it at the forums or search engines, you see a lot of folks looking for information on this?
This has led to a lot e-books on the topic. Many people are writing and selling this info online. Yours truly even wrote and sold one some few years back. We want to examine some of the reasons for the attraction. What is so unique or attractive that many people online are now trying to get a US bank account even if it is a basic one like a savings account?
In answering the question, I want to start by saying the internet has changed almost everything about the way we live. Gone re the good old day where it was okay to just live within the confines of your geographical locality. Not anymore! Everything has changed, thanks to the internet which has joined us all together to form the so called one global village.
In the past if you had a bank account in your locality, that was enough. Not anymore as you now could easily sell or work all over the world online via the internet. You could now set up a shop online and sell to people all over the world 24 hours a day, seven day a week and 30 days a month, in fact round the year.
With the above scenario, you need a financial system or solution outside of the one in your locality or country. You have now gone international. Here he need for an account with banks and financial institutions outside your country. When then US and not pother countries? The answer is very simple. The vast majority of online companies, those that matters are all based or headquartered in the US. Just take a look at the top 10 web companies from Google, eBay, Amazon, Facebook, Yahoo, all these are US based.
When you are online working, trading or doing business, you want to be working with the companies that matters. They are all based in the US. When it comes to pay you is when you realize the complexity of the whole thing if you do not have a presence or at least a bank account in the US.
Take for instance you sell online and get your card payments via any of the 3rd credit card payment processing companies like ClickBank, 2Checkout.com, Plimus.com, PayPal, SHARE-it.com, you need a US bank account so that you can Get your payment fast. They are all based in the US. Also take for instance that you are an Affiliate marketer, most of the Networks too like Amazon.com, Commission Junction, ClickBank, etc. Are all US companies.
The difference between obtaining paid via a US bank account or its alternative solutions and the customary method of being sent a check is about an interval of 10 weeks. Incredible, but that is the reality on ground. If you have a US bank account, you are simply going to be paid by what they call direct deposits or ACH (automated clearing house) system.
This method takes just 2-3 days and mostly it is free of charge. But for all the others outside of the US who do not have a US bank account, a check would be cut and processed to you. You get this check in 3-4 weeks depending on your location and then lodge it in with your local bank who again send it back to the US for collection. Remember the checks are drawn on banks in the US and not your local banks. This can take another 3-4 weeks to get back to the US.
In US it goes for clearing, and then if good it is credited to your local bank’s Agent or correspondent account in the US. The agent will now pass the credit to your local bank who in turn will credit your account. In all you would be looking at 10 weeks before you can get the money paid you by the US company.
So what is the solution? Get a US bank account if you want to flourish or make money online. Without this you are doomed and would sooner or later quit the net out of frustration. I have a US bank account even as a non resident, what happens is that I am paid by ACH or direct deposits and when in 2-3 days the money hits my US bank account, I simply withdraw from a local ATM in my country using The ATM card that the US bank gave me.
This is the main reason many people online are looking for a US Bank account solution or its alternative. They want to receive the monies from their online endeavors cheaply and in a timely manner. They are other benefits like the savings on clearing your checks which could be in the region of $ 100- $ 150 per check. Add up that if you get 20-30 checks per annual.
With a US bank account it is easy to sell on eBay, and get paid by PayPal. A lot of people in the US (the number one market) online will find it easy paying you and so on. Hope you have seen some of the benefits of a US Bank account for a foreigner or non resident.