Banking in the United States
The US financial system runs on credit. Your credit score affects housing, car loans, insurance rates, and even employment. Building credit should start immediately.
Opening a Bank Account
Requirements:
- Passport (foreign passport accepted)
- Secondary ID (driver's license, visa stamp, utility bill)
- Proof of address (lease, utility bill, employer letter)
- Initial deposit ($25-100 minimum at most banks)
You do NOT need:
- Social Security Number (helpful but not required)
- US credit history
- Green card
Recommended Banks for New Immigrants
| Bank | Why It's Good |
|---|---|
| Chase | Large network, newcomer programs |
| Bank of America | SafePass for those without SSN |
| Citibank | Global transfers, international presence |
| Wells Fargo | Extensive branches |
| Charles Schwab | No ATM fees worldwide |
| Credit unions | Often more immigrant-friendly |
Building Credit from Zero
Step 1: Get an ITIN or SSN
- SSN: Apply once authorized to work
- ITIN: For tax purposes, doesn't authorize work
Step 2: Secured Credit Card
- Deposit becomes your credit limit
- Options: Discover it Secured, Capital One Platinum Secured
- Use for small purchases, pay in full monthly
Step 3: Credit Builder Programs
- Some banks report to credit bureaus for checking accounts
- Self Lender, Chime Credit Builder
Step 4: Become Authorized User
- Ask friend/family with good credit history
- Their payment history appears on your report
Credit Score Explained
| Score Range | Rating | Impact |
|---|---|---|
| 800-850 | Exceptional | Best rates on everything |
| 740-799 | Very Good | Most approvals, good rates |
| 670-739 | Good | Decent rates, most approvals |
| 580-669 | Fair | Limited options, higher rates |
| 300-579 | Poor | Difficulty getting approved |
What affects your score:
- Payment history (35%)
- Credit utilization (30%) - keep under 30%, ideally under 10%
- Length of history (15%)
- Credit mix (10%)
- New inquiries (10%)
Useful Apps and Tools
- Credit Karma: Free credit monitoring
- Mint: Budget tracking
- Venmo/Zelle: Peer payments
- Wise/Remitly: International transfers
Pro Tips
- •Get a secured credit card within your first week
- •Set up autopay for all bills to never miss payments
- •Keep credit utilization under 30% (under 10% is better)
- •Don't close old credit cards - length of history matters
- •Check credit reports annually at annualcreditreport.com
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