The major difference between a traditional bank account and an international bank account is that the latter is marked by a specific IBAN (International bank account number). Going abroad to study is expensive, and you can’t expect to have all the money you need with you. This is when accounts with foreign banks come into play. Along with offering a secure location for your money, it will also offer facilities for payments, withdrawals, overdrafts, and debit and credit cards. In fact, many banks provide a variety of budgeting tools to aid students in choosing wisely between savings and expenses.
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Advantages of International Bank Account
The following are the significant advantages of opening an International bank account:
1. Save money on currency conversions: Using a home account will save you from having to pay bank and currency conversion fees. Generally, you’ll save money while transferring large amounts and try to keep as much of your spending in the local currency.
2. Loan can be repaid with ease: Having a bank account in the currency of your student loan can be major savings, just as you shouldn’t use your home account for living expenditures.
3. Create a history of local credit: If you keep your possibilities for employment open after graduation, you may stay in your host country longer than you had anticipated. Creating a bank account in the host country is the initial step in either case towards establishing credit in a new nation.
4. Helps in getting allowances quickly: The bursar’s office will need a place to deposit your money if you get loans or scholarships that can be used for paying expenses but are paid to the university. When you have a local bank account, they’ll almost always move your funds to it.
Also Read: Education Loan in USA for International Students
Factors to Consider while Opening an International Bank Account
While opening an international bank account students should take into consideration the following factors:
- Online features and services
- Rewards on payments
- International student debit card or credit card purchase cost
- Ease of deposit
- International transfer fees
- Overdraft limit and monthly service fees
- Transfer fees
- Currency conversion rates
- Monthly maintenance charges
- ATM withdrawal fees
- Loan interest rates
- Netbanking facilities
- Customer service availability
- Minimum balance limitations
- Branch availability
- Quality of official app
- Availability of funds
- Security of your funds
Also Read: Types of education loan for students
Best Banks for International Students
Following are some of the country-wise best banks that students can consider for opening an international bank account:
Bank of China
Bank of America
Traditional Banks such as LCL and Société Générale
Also Read: Best Bank Accounts for International Students in USA
Things Required to Open an International Bank Account
Some of the paperwork needed to open a bank account for an international student includes the following:
- Your passport and the appropriate student visa
- A second photo ID, typically a driver’s licence or student ID
- Evidence of your home and address, your university enrolment (this is why the student card works so well)
- Some cash to deposit (keep in mind that each bank and account will carry its own minimum deposit).
Ans. Opening up an account in the host nation is best for international students as it reduces the cost of money transferring and provides the utmost convenience to students to pay their expenses.
Ans. The ICICI Campus account, Indusland Student Saving account, and HDFC DigiSave Youth account are some of the best banks for students in India. As accessories, books, and other stationery are necessities for students on a daily basis, having a personal bank account will be helpful.
Ans. On the basis of their passports, overseas students can open an NRO account to study in India. Even if they cannot provide instant address evidence while applying for a bank account, foreign students can create bank accounts in India.
Ans. Barclays, Lloyds and HSBC are considered the best banks in the UK for Indians.
Ans. With the following documents, you can easily open an international bank account in your host country: Passport, Visa, and a three-month-old bank statement from your home bank.
Address verification from the UK or abroad (check with your bank), a student ID or your university’s letter of acceptance.
Are you planning to study abroad? We at Leverage edu are all about helping students to realise this dream which can open the door to many career opportunities. To get assistance in your application process, just register on our website or call us at 1800-572-000.