Transfer to US

[benawitan]

Hey fellow forumers, I will be going US for my postgraduate studies. How do I transfer my funds to US banks? There is a cost right, isnt it?

I heard that the max amount of cash that a person can carry when going through the airport custom is 20k SGD. Is this true?

 

[starbugs]

Easiest is to buy a USD bank draft and put payee as your own name.

Alternatively, if there is a Citibank branch near your school:
- open an account in Singapore and transfer your funds inside
- apply for internet banking.
- open another Citibank account in US when you get there
- use net banking to transfer from Citi SG to Citibank US (there is no charge and transfer is immediate)

 

[benawitan]

starbugs: Hmmm If i transfer from Citibank SG to Citibank US, what kind of exchange rate will they give? Lets say 1 USG is to 1.397 SGD now. Appreciate your help!

 

[ukey]

It all depends on hwo much u transferring. When transfer more than SGD 25k via HSBC SG to HSBC US, they give me "spot rate" which is decent, with spread of like $0.003. Cit should offer the same service.

If u not transferring enough for the spot rate, u can try changing to USD at ur local money changer, and then deposit into a USD account in Singapore (u pay a small commission only), and then do ur bank wire transfer over. I did it this way last October for SGD 14k.

 

[Rommie2k6]

Here are the ways:

1) Demand Draft. Cheapest of all options but also slowest of all options. Commission is only 0.125% or S$10 min for most banks. It takes about 1 month+ to clear. One advantage is that you do not need to have an existing US bank account, you can bring it with you and deposit there.

2) Telegraphic Transfer. Not as cheap as Demand Draft but faster. Commission is 0.125% or S$10 min from most banks, plus there is a fixed S$20 cable charge (so total S$30 commission). It takes about 1 week to clear. You must have a US bank account to receive money by TT.

3) Traveler Cheque. Good only if you are transferring less than S$1000 over, as the commission rate is high at 1%. However, it is cleared very fast, usually within a week unlike Demand Draft. You also do not need to have an existing US bank account to purchase this.

4) Citibank Global Transfer. If you plan to create a Citibank US account over there then you can set up a Citibank SG account and use their "Global Transfer" service. Commission is cheap at a flat rate of $10, but Citibank FX rate is higher than other banks (compare to DBS which IMO has the lowest FX rate). Also note that the maximum you can transfer is S$3000 - I think the limit is per week pls check. One advantage of Citi Global Transfer is that it is instantaneous. You must have a Citibank account at both countries for it to work, and the minimum sum to maintain Citibank accounts is not cheap.

5) PayPal. Set up a paypal account and link it to your SG bank account and your US bank account. Then transfer from SG Bank -> Paypal Account -> US Bank. Process takes about 1-2 weeks, and PayPal has the most ridiculous FX rate.

6) HSBC Premier Account. If you have a HSBC Premier Account you can ask HSBC to create a US HSBC account for you in Singapore. I think they have free transfers as well between HSBC accounts. However, to be a Premier customer I think you need to park loads of money with them. Probably not accessible for most people.

7) US-Based Broker (e.g. optionsXpress SG). Open a broker that is US-based, fund the brokerage account and leave the money as cash. When you get to the US, open a bank account and link it to your brokerage. Most US brokers support ACH transfer (it's like GIRO) and the money will be in your bank within 2-3 business days.

8) Wells Fargo IPB. It's not a transfer method, but you can open a Wells Fargo US bank account from Singapore by going through the IPB website. This way, you can get the check book, debit card and US bank account all established and sent to you in Singapore before you go. You can then also initiate a TT in Singapore before leaving.

Sample FX rates when I was transferring money a few days back:
DBS: 1 USD = 1.40 SGD
Citibank: 1 USD = 1.41 SGD
Paypal: 1 USD = 1.43 SGD!!!



Personally, if I do not have a US bank account, I'll probably bring cash and Demand Draft. However, if you need a lot of money within a month, then perhaps you should consider finding a bank that allows you to do Telegraphic Transfer through internet banking.

 

[devilboi88]

Here are the ways:

1) Demand Draft. Cheapest of all options but also slowest of all options. Commission is only 0.125% or S$10 min for most banks. It takes about 1 month+ to clear. One advantage is that you do not need to have an existing US bank account, you can bring it with you and deposit there.

2) Telegraphic Transfer. Not as cheap as Demand Draft but faster. Commission is 0.125% or S$10 min from most banks, plus there is a fixed S$20 cable charge (so total S$30 commission). It takes about 1 week to clear. You must have a US bank account to receive money by TT.

3) Traveler Cheque. Good only if you are transferring less than S$1000 over, as the commission rate is high at 1%. However, it is cleared very fast, usually within a week unlike Demand Draft. You also do not need to have an existing US bank account to purchase this.

4) Citibank Global Transfer. If you plan to create a Citibank US account over there then you can set up a Citibank SG account and use their "Global Transfer" service. Commission is cheap at a flat rate of $10, but Citibank FX rate is higher than other banks (compare to DBS which IMO has the lowest FX rate). Also note that the maximum you can transfer is S$3000 - I think the limit is per week pls check. One advantage of Citi Global Transfer is that it is instantaneous. You must have a Citibank account at both countries for it to work, and the minimum sum to maintain Citibank accounts is not cheap.

5) PayPal. Set up a paypal account and link it to your SG bank account and your US bank account. Then transfer from SG Bank -> Paypal Account -> US Bank. Process takes about 1-2 weeks, and PayPal has the most ridiculous FX rate.

6) HSBC Premier Account. If you have a HSBC Premier Account you can ask HSBC to create a US HSBC account for you in Singapore. I think they have free transfers as well between HSBC accounts. However, to be a Premier customer I think you need to park loads of money with them. Probably not accessible for most people.

7) US-Based Broker (e.g. optionsXpress SG). Open a broker that is US-based, fund the brokerage account and leave the money as cash. When you get to the US, open a bank account and link it to your brokerage. Most US brokers support ACH transfer (it's like GIRO) and the money will be in your bank within 2-3 business days.

8) Wells Fargo IPB. It's not a transfer method, but you can open a Wells Fargo US bank account from Singapore by going through the IPB website. This way, you can get the check book, debit card and US bank account all established and sent to you in Singapore before you go. You can then also initiate a TT in Singapore before leaving.

Sample FX rates when I was transferring money a few days back:
DBS: 1 USD = 1.40 SGD
Citibank: 1 USD = 1.41 SGD
Paypal: 1 USD = 1.43 SGD!!!



Personally, if I do not have a US bank account, I'll probably bring cash and Demand Draft. However, if you need a lot of money within a month, then perhaps you should consider finding a bank that allows you to do Telegraphic Transfer through internet banking.

Wow really useful information here, Thanks Rommie!

Hey rommie, then how about those remittance and western union money gram? how do they work?

 

[VanquishShadow]

Hey fellow forumers, I will be going US for my postgraduate studies. How do I transfer my funds to US banks? There is a cost right, isnt it?

I heard that the max amount of cash that a person can carry when going through the airport custom is 20k SGD. Is this true?

IINW the max you can legally bring into US without declaration is USD10k.

Western Union, I asked at SingPost before, for some reason from Singapore cannot do Western Union transfer in USD.

 

[benawitan]

How much does a US bank draft cost to transfer the money over?

 

[VanquishShadow]

bank draft service fee is only made when purchasing the bank draft, i believe.

i think you are referring to telegraphic transfer / bank transfer, which will incur a service fee at both the outgoing and incoming banks. the service fee depends on the bank. for SG banks receiving TT the service fee is around $30

 

[devilish_me]

When I moved to the states, I just brought with me a demand draft which is good for up to 6mths. The charges for demand draft at DBS/POSB is 1/8% - for a min of SGD10 and up to a max of SGD100.

If you are bringing to the US of A a very substantial amount (>USD10K), you need only to declare on your custom form. You’ll be made to go to a different lane at the customs where the officer will ask you some questions. You might want to keep your documents close by in case they ask for proof i.e. admission letters, VISA application, letters from employers etc. For relocation cases for work/study….usually they’d be alright with you bringing in larger amounts of money if you make custom declarations.

Then you can use the demand draft as your initial deposit when you open your US bank account. My suggestion is not to bring too much with you as the future of the USD is quite bleak…and the rate fluctuates quite abit. Just bring enough to help you settle in and some for rainy days. And then, as and when required, just get your family to do a Telegraphic Transfer of the money to you. TT rates are the same – 1/8% up to max of SGD100. There’s also another SGD20+ transaction fee and another USD20+ on the US bank side.

You can perform the TT when the exchange rate is in your favor (rates are available for viewing on the banks’ websites). For TT, there’s no restriction to the amount transferred on the US side. You can transfer USDx,xxx,xxx if you want to and there should be no issue or whatsoever but I believe there might be some discreet screening by the FED.

 

[whucarezz]

very helpful, rommie2k6, thanks!

 

[vaxvms]

Here are the ways:

1) Demand Draft. Cheapest of all options but also slowest of all options. Commission is only 0.125% or S$10 min for most banks. It takes about 1 month+ to clear. One advantage is that you do not need to have an existing US bank account, you can bring it with you and deposit there.

2) Telegraphic Transfer. Not as cheap as Demand Draft but faster. Commission is 0.125% or S$10 min from most banks, plus there is a fixed S$20 cable charge (so total S$30 commission). It takes about 1 week to clear. You must have a US bank account to receive money by TT.

3) Traveler Cheque. Good only if you are transferring less than S$1000 over, as the commission rate is high at 1%. However, it is cleared very fast, usually within a week unlike Demand Draft. You also do not need to have an existing US bank account to purchase this.

4) Citibank Global Transfer. If you plan to create a Citibank US account over there then you can set up a Citibank SG account and use their "Global Transfer" service. Commission is cheap at a flat rate of $10, but Citibank FX rate is higher than other banks (compare to DBS which IMO has the lowest FX rate). Also note that the maximum you can transfer is S$3000 - I think the limit is per week pls check. One advantage of Citi Global Transfer is that it is instantaneous. You must have a Citibank account at both countries for it to work, and the minimum sum to maintain Citibank accounts is not cheap.

5) PayPal. Set up a paypal account and link it to your SG bank account and your US bank account. Then transfer from SG Bank -> Paypal Account -> US Bank. Process takes about 1-2 weeks, and PayPal has the most ridiculous FX rate.

6) HSBC Premier Account. If you have a HSBC Premier Account you can ask HSBC to create a US HSBC account for you in Singapore. I think they have free transfers as well between HSBC accounts. However, to be a Premier customer I think you need to park loads of money with them. Probably not accessible for most people.

7) US-Based Broker (e.g. optionsXpress SG). Open a broker that is US-based, fund the brokerage account and leave the money as cash. When you get to the US, open a bank account and link it to your brokerage. Most US brokers support ACH transfer (it's like GIRO) and the money will be in your bank within 2-3 business days.

8) Wells Fargo IPB. It's not a transfer method, but you can open a Wells Fargo US bank account from Singapore by going through the IPB website. This way, you can get the check book, debit card and US bank account all established and sent to you in Singapore before you go. You can then also initiate a TT in Singapore before leaving.

Sample FX rates when I was transferring money a few days back:
DBS: 1 USD = 1.40 SGD
Citibank: 1 USD = 1.41 SGD
Paypal: 1 USD = 1.43 SGD!!!



Personally, if I do not have a US bank account, I'll probably bring cash and Demand Draft. However, if you need a lot of money within a month, then perhaps you should consider finding a bank that allows you to do Telegraphic Transfer through internet banking.

sorry to dog this out
I find it useful
and it is still valid

paypal is really sucks...good for buyer, seller withdraw is a pain

 

[Shiny Things]

A few updates:

• Wells Fargo doesn't seem to offer their IPB service any more, which is a shame;
• I'm not sure about wire transfers taking a week to clear. Whenever I've wired cash to America or Australia from my DBS account, it's always been there same day.

The most reliable method is still wire transfer (TT).

 

[mollys]

it is advisable to use local money changer to get the most out of usd? i notice their rates are higher than brokers.

 

[Shiny Things]

it is advisable to use local money changer to get the most out of usd? i notice their rates are higher than brokers.

Sounds crazy, I know, but the local money changers are absolutely the place to go. The guys in the little booths at the Raffles Place end of Change Alley have pretty much the tightest retail spreads in the world.

 

[usejyw]

Hi, i wonder if this thread is still valid, as I am also going to study at US soon.

I am thinking of using currency transfer services like WorldFirst and Transferwise, which has really cheap rates from what I gathered and compared from banks and even money changers (they can keep almost the same rate with the rate stated on XE without much spread).

Has anyone used their services before? Can you give your insights on these services? Thanks.

 

[BBCWatcher]

There are some other options that have emerged in the several years since this thread was last active. Examples include Interactive Brokers, Charles Schwab, and even a couple of Singapore's traditional banks. Also, for credit card spending (i.e. at merchants/shops in the U.S. that accept credit cards, and a great many do), ICBC's Global Travel MasterCard is quite excellent right now (and until further notice -- no expiration date) since it's offering a flat 3% rebate on overseas spending. Less the 2.5% foreign transaction charge, that means you should still come out ahead by about 0.5%. That card has a 3 year annual fee waiver, too.

I disagree with the cash idea, at least if we're talking about more than $1,000 or so. It's quite risky in any large(ish) quantity, and it's gotten more risky since this thread was last active. You will have to make at least one customs declaration if you're carrying US$10,000 or more in cash/cash equivalents.

 

[arctician]

use transferwise..its the most disruptive app now with one of the lowest commissions, think can be lower than 1% commission

 

[BBCWatcher]

use transferwise..its the most disruptive app now with one of the lowest commissions, think can be lower than 1% commission

That's not actually very good these days. Schwab, for example, is quite simple and is approximately a 0.3% markup. You'd open a Schwab One account in the United States (with its wonderful ATM/debit card) and use local GIRO fund transfers into Schwab's custodial account in Singapore. The funds magically appear in your account at the other end, and rather quickly. This path assumes some period of U.S. residence (to qualify to open a Schwab One account), but that's Usejyw's situation here.