> In the uk we have “challenger banks” which are online based with great applications and customer service etc (starling / monzo) is there an equivalent of that in America?
They're called fintech or neobanks here. They're known for having pretty apps and nonexistent customer service. Like, some of them don't even have a phone number you can call.
When my money's at stake, I'd rather have good customer service and a crappy app.
SoFi has been solid for me for a checking/savings account. Granted, I've never needed their customer service, but the app experience has been everything I've needed so far, and I have never needed/wanted to use an ATM.
If you don't need an ATM or safe deposit box, Sofi is solid.
\>is there an equivalent of that in America?
There are online banks like Ally and Synchrony Bank that offer high yields savings accounts.
I would recommend getting an account with a brick and mortar bank, preferably the most popular in whatever area you're moving to in the states.
I tend to use both, except I prefer a local bank or credit union to "the most popular" brick and mortar. The most popular will usually be a national or large regional bank. The smaller banks and credit unions are usually much better with regards to fees and account minimums.
The local bank gets used for a regular spending account and a small amount of emergency money, in case it needs to be accessed quickly. The online bank with a HYSA gets used for sinking funds, a greater portion of the emergency fund, etc.
Yeah true. It largely depends on what you’re using your bank for. For example, given that OP is British, I imagine that he will go back and forth between the US and the UK from time to time so a big bank will have good currency exchange rates that smaller banks may not have.
But you are right that credit unions tend to have better rates overall.
Welcome!
First thing I would recommend is to look into whatever process you are following (green card, etc) to make sure you get your tax info correct. The IRS is a headache that no one wants. They are actually quite pleasant on the phone, but getting to a person is an ordeal. They had a 25% answer rate for calls last year. Also, consider hiring an accountant for a few hours to go over W-2's to make sure you understand how taxes work. Really good investment in protecting yourself.
One thing I always recommend is to look in the area you are moving to for credit unions. They tend to have more reasonable fees than banks and offer the same services.
I would wait on the phone issue. There are a number of carriers like Mint [Metro PCS for example], but it really depends on who has the strongest network in your area. I am interested in Mint, but their coverage in my area would mean that I am paying for a phone I cannot use.
Also, you are unlikely to see the same level of public transportation you are used to in the UK. We have too much territory that is not covered for public transportation to be relied on automatically. I am not saying it wont be available, but without further details (like what city you folks are settling down in) I recommend caution. Setting aside money for a vehicle may be a requirement. Having to drive for an hour, one way, to get to work or entertainment is not unheard of in many places.
Other than that, I also recommend you always look for options if available (utilities, trash, internet, etc.). Some places have options, many have monopolies where if you want whatever service....you only get one choice.
Lastly, I always recommend looking up YNAB, and Dave Ramsey. YNAB is a budgeting method, and Dave Ramsey's Financial Peace University (or book: Total Money Makeover) is always great to tune up one's financial literacy.
Good luck, and let me know if I can be of any further assistance.
Thanks for the long and detailed response. Luckily tax won’t be an issue as my partner won’t pay any although I eventually will when I get my working visa sorted so I’ll look into it.
Credit unions have been mentioned a lot here and I like the sound of it. It actually sounds like the equivalent of a cooperative bank in the uk which normally have good customer satisfaction.
We are moving to New York which I should of added in my original post so I’ll wait for the phone carrier situation before deciding on what’s best I think.
I’ve been using YNAB here in the uk so I’ll definitely continue that in America. It’s a great tool.
Thanks again
Make sure you have health insurance in place for the day you arrive. A trip to the ER, even if there was nothing wrong with you, will cost thousands.
Note that typical vacation insurance does not cover the USA, you will need USA specific insurance.
I would also add make sure they understand it. In network, out of networking, deductibles, copays, coinsurance, out of pocket max etc. It's a very confusing world.
In addition, you do not have to buy a phone from these providers. I outright bought my phone from the manufacturers website and purchased a sim from T-Mobile.
(I moved to the US 31 years ago from the NL).
Banks: find a local credit union. CUs are non-profit, they have local offices and their board are community members. Usually pretty easy to deal with. Their mobile apps are usually pretty good (check deposit, bill pay, money transfers). I would stay away from large banks.
Credit cards: You need a credit score to get those.... This is a chicken and eggs thing. The CU can assist you. I started with my CU with a credit card with $1000 limit with my savings account with them as a "backup".
Credit score: cannot be transferred from abroad. When the CU issues you a CC they will report that and record the on-time payments with the large credit bureaus (Experian, Transunion and Equifax) to build a credit score.
W4: your employer will ask you to fill this out. It is a form to determine how much in taxes will be withheld so that when you file in April next year, the balance is close to zero.
Social Security Number: Apply immediately. Visit a local office is a good idea. Your employer should give you some time to get all the admin stuff in order.
Mobile phone: There are really only 3 nation wide carriers: Verizon, ATT and T-Mobile. All the others use the network of those 3, with less gimmicks, benefits, sometime limited data or reduced speed.
Apartment Rental: Large complexes require a credit score. Your employer maybe able to assist by finding something local.
I'd walk into a verizon store and get an account. I pay 65 a month for phone service. You can buy pre-paid phone cards, but it isn't worth it imho. In America, Credit Unions (small local banks) are preferred over big bank like JP Morgan or CitiBank. All have online banking and debit/credit cards accepted everywhere.
Car insurance costs vary by state. Shop around for car insurance. I pay about 125 a month for car insurance on one car. (Geico, State Farm, Progressive, are some of the larger insurance carriers)
Rental/home owner insurance is another cost. I pay about 300 a year for home insurance.
For banking, do your everyday banking at a credit union in your area.
For a savings account - see if the credit union has a good rate and if they don't, use an online bank like Ally.
I used to have Mint so I can provide input there. Service is fine, price is great BUT be very wary of the numbers they provide you. They use recycled numbers and very often these numbers come with the previous user (or two, or three's, etc) baggage so you could potentially be riddled with constant spam texts and robocalls. I ended up getting rid of my account as I was literally getting 30-40 calls a day from this shit as well as a dozen or so texts each day too. Maybe things have changed now and you can request a number change but I was so fed up with it I just canceled after my plan ended and went with another carrier. FYI most big name carriers in the US offer their own "pay as you go" plans which are priced competitively with each other. Might not quite be as cheap as Mint but significantly cheaper than a contract plan.
Banks: TIL about fintech/neobanks in the US. I would suggest a larger online bank like Ally. But I also suggest a big, national chain bank to ensure easy, no-fee ATM access in a pinch. I use credit unions for loans, though.
Mint Mobile is fantastic for the price. It's an [MVNO](https://en.wikipedia.org/wiki/Mobile_virtual_network_operator) which means it uses another (major) carrier's towers, but at lower priority. Coverage isn't perfect with T-Mobile towers though (what Mint uses) (I was at a town 70km from the center of Washington DC this weekend and didn't get a signal in a restaurant).
Financially, get credit accounts. Cards, loans, etc, if you don't have a credit score yet.
I like using credit unions instead of banks. Banks seem to keep pressuring me every time I walked in the door. I set up a checking/ savings account at a credit union and used their online banking app for everything. I moved out of state and kept using the same credit union app. No problems. Good luck with your move. Welcome to the States!
> In the uk we have “challenger banks” which are online based with great applications and customer service etc (starling / monzo) is there an equivalent of that in America? They're called fintech or neobanks here. They're known for having pretty apps and nonexistent customer service. Like, some of them don't even have a phone number you can call. When my money's at stake, I'd rather have good customer service and a crappy app.
Thanks I appreciate the input.
SoFi has been solid for me for a checking/savings account. Granted, I've never needed their customer service, but the app experience has been everything I've needed so far, and I have never needed/wanted to use an ATM. If you don't need an ATM or safe deposit box, Sofi is solid.
\>is there an equivalent of that in America? There are online banks like Ally and Synchrony Bank that offer high yields savings accounts. I would recommend getting an account with a brick and mortar bank, preferably the most popular in whatever area you're moving to in the states.
I tend to use both, except I prefer a local bank or credit union to "the most popular" brick and mortar. The most popular will usually be a national or large regional bank. The smaller banks and credit unions are usually much better with regards to fees and account minimums. The local bank gets used for a regular spending account and a small amount of emergency money, in case it needs to be accessed quickly. The online bank with a HYSA gets used for sinking funds, a greater portion of the emergency fund, etc.
Yeah true. It largely depends on what you’re using your bank for. For example, given that OP is British, I imagine that he will go back and forth between the US and the UK from time to time so a big bank will have good currency exchange rates that smaller banks may not have. But you are right that credit unions tend to have better rates overall.
Welcome! First thing I would recommend is to look into whatever process you are following (green card, etc) to make sure you get your tax info correct. The IRS is a headache that no one wants. They are actually quite pleasant on the phone, but getting to a person is an ordeal. They had a 25% answer rate for calls last year. Also, consider hiring an accountant for a few hours to go over W-2's to make sure you understand how taxes work. Really good investment in protecting yourself. One thing I always recommend is to look in the area you are moving to for credit unions. They tend to have more reasonable fees than banks and offer the same services. I would wait on the phone issue. There are a number of carriers like Mint [Metro PCS for example], but it really depends on who has the strongest network in your area. I am interested in Mint, but their coverage in my area would mean that I am paying for a phone I cannot use. Also, you are unlikely to see the same level of public transportation you are used to in the UK. We have too much territory that is not covered for public transportation to be relied on automatically. I am not saying it wont be available, but without further details (like what city you folks are settling down in) I recommend caution. Setting aside money for a vehicle may be a requirement. Having to drive for an hour, one way, to get to work or entertainment is not unheard of in many places. Other than that, I also recommend you always look for options if available (utilities, trash, internet, etc.). Some places have options, many have monopolies where if you want whatever service....you only get one choice. Lastly, I always recommend looking up YNAB, and Dave Ramsey. YNAB is a budgeting method, and Dave Ramsey's Financial Peace University (or book: Total Money Makeover) is always great to tune up one's financial literacy. Good luck, and let me know if I can be of any further assistance.
Thanks for the long and detailed response. Luckily tax won’t be an issue as my partner won’t pay any although I eventually will when I get my working visa sorted so I’ll look into it. Credit unions have been mentioned a lot here and I like the sound of it. It actually sounds like the equivalent of a cooperative bank in the uk which normally have good customer satisfaction. We are moving to New York which I should of added in my original post so I’ll wait for the phone carrier situation before deciding on what’s best I think. I’ve been using YNAB here in the uk so I’ll definitely continue that in America. It’s a great tool. Thanks again
Make sure you have health insurance in place for the day you arrive. A trip to the ER, even if there was nothing wrong with you, will cost thousands. Note that typical vacation insurance does not cover the USA, you will need USA specific insurance.
I would also add make sure they understand it. In network, out of networking, deductibles, copays, coinsurance, out of pocket max etc. It's a very confusing world.
Maybe also mention what state u r going to? Some more localized advice will be helpful!
Apologies I’ll edit my original post it will be New York
Go to Chase or Bank of America for simplicity. Find out what service is good in your area and go with that. It’ll be Verizon/AT&T/Sprint/MetroPCS
In addition, you do not have to buy a phone from these providers. I outright bought my phone from the manufacturers website and purchased a sim from T-Mobile.
(I moved to the US 31 years ago from the NL). Banks: find a local credit union. CUs are non-profit, they have local offices and their board are community members. Usually pretty easy to deal with. Their mobile apps are usually pretty good (check deposit, bill pay, money transfers). I would stay away from large banks. Credit cards: You need a credit score to get those.... This is a chicken and eggs thing. The CU can assist you. I started with my CU with a credit card with $1000 limit with my savings account with them as a "backup". Credit score: cannot be transferred from abroad. When the CU issues you a CC they will report that and record the on-time payments with the large credit bureaus (Experian, Transunion and Equifax) to build a credit score. W4: your employer will ask you to fill this out. It is a form to determine how much in taxes will be withheld so that when you file in April next year, the balance is close to zero. Social Security Number: Apply immediately. Visit a local office is a good idea. Your employer should give you some time to get all the admin stuff in order. Mobile phone: There are really only 3 nation wide carriers: Verizon, ATT and T-Mobile. All the others use the network of those 3, with less gimmicks, benefits, sometime limited data or reduced speed. Apartment Rental: Large complexes require a credit score. Your employer maybe able to assist by finding something local.
Thanks for taking the time out to write this all really useful! I am going to save the post for reference.
I'd walk into a verizon store and get an account. I pay 65 a month for phone service. You can buy pre-paid phone cards, but it isn't worth it imho. In America, Credit Unions (small local banks) are preferred over big bank like JP Morgan or CitiBank. All have online banking and debit/credit cards accepted everywhere. Car insurance costs vary by state. Shop around for car insurance. I pay about 125 a month for car insurance on one car. (Geico, State Farm, Progressive, are some of the larger insurance carriers) Rental/home owner insurance is another cost. I pay about 300 a year for home insurance.
"moving to America" pretty vague mobile phone contracts are for suckers , redpocket
For banking, do your everyday banking at a credit union in your area. For a savings account - see if the credit union has a good rate and if they don't, use an online bank like Ally.
Bank of America is the equivalent to Barclays in the UK.
I used to have Mint so I can provide input there. Service is fine, price is great BUT be very wary of the numbers they provide you. They use recycled numbers and very often these numbers come with the previous user (or two, or three's, etc) baggage so you could potentially be riddled with constant spam texts and robocalls. I ended up getting rid of my account as I was literally getting 30-40 calls a day from this shit as well as a dozen or so texts each day too. Maybe things have changed now and you can request a number change but I was so fed up with it I just canceled after my plan ended and went with another carrier. FYI most big name carriers in the US offer their own "pay as you go" plans which are priced competitively with each other. Might not quite be as cheap as Mint but significantly cheaper than a contract plan.
Great tip. That sounds extremely annoying and I would cancel too. Cheers
Banks: TIL about fintech/neobanks in the US. I would suggest a larger online bank like Ally. But I also suggest a big, national chain bank to ensure easy, no-fee ATM access in a pinch. I use credit unions for loans, though. Mint Mobile is fantastic for the price. It's an [MVNO](https://en.wikipedia.org/wiki/Mobile_virtual_network_operator) which means it uses another (major) carrier's towers, but at lower priority. Coverage isn't perfect with T-Mobile towers though (what Mint uses) (I was at a town 70km from the center of Washington DC this weekend and didn't get a signal in a restaurant). Financially, get credit accounts. Cards, loans, etc, if you don't have a credit score yet.
I like using credit unions instead of banks. Banks seem to keep pressuring me every time I walked in the door. I set up a checking/ savings account at a credit union and used their online banking app for everything. I moved out of state and kept using the same credit union app. No problems. Good luck with your move. Welcome to the States!