Opening A US bank account for Canadians - A detailed guide

If you want to open a US bank account from Canada, you may have a lot of questions. We’ve put together everything you need to know about opening your first US bank account, including all the options available to Canadian citizens.

We will also take a look at Wise as a simple alternative, helping you hold, receive, convert, and send your money in the US, Canada, and further afield.

Table of Contents
How to open a US bank account from Canada What are the fees for these US bank accounts? Get your Wise US account details in minutes Bottom line

How to open a US bank account from Canada

There are a few ways to open a US bank account from Canada. We’ve put together all of the possibilities so that you can choose the right option for you.

Opening a US Bank account at an international bank from Canada

Some banks are international, meaning that, even if they conduct business from the US, non-residents can also apply for a bank account with the right documentation. This includes banks like Charles Schwab.¹

Although international US bank accounts are a valid option for Canadian residents, these accounts often require large initial deposits, and some accounts may also charge ongoing fees.

To open an international US bank account, there are often several general requirements, such as:

• your passport
• proof of address in your home country
• a completed W-8BEN form
• proof of employment

The requirements for each international US bank account will differ from bank to bank, so it's important to double-check before choosing this route.

Opening a US Bank account online with an ITIN

A social security number is one of the ways a US bank may check your identity - but you’ll only have this number if you’re a US citizen. That’s where ITIN comes in.

An ITIN (Individual Tax Number) is a number assigned to those who don’t have a social security number, but who need to declare tax in the US.

This applies to all non-residents, and it can help you easily open a US bank account online. An ITIN legitimately proves your status as a US taxpayer, even if you live elsewhere.

This is particularly important if you want to conduct business in the US.

You can apply for an ITIN through IRS:

• by mail
• using the services of an IRS-authorized Certifying Acceptance Agent
• making an appointment at an IRS Taxpayer Assistance Center²

Once you receive your ITIN, you can apply for a US bank account at many major banks, such as Alliant Credit Union, Santander Bank, and HSBC.

Opening a US account with a major Canadian Bank

It’s also possible to open a US bank account with many major Canadian banks.

RBC, TD Bank, CIBC, Scotiabank, BMO, and Tangerine all offer US bank accounts for Canadian citizens. This could be a simple option if you already bank with one of these establishments, and you don’t need a US citizenship to apply.

Each bank will have its own requirements when opening a US bank account from Canada. For example, the RBC US Direct Checking Account requires:

• 50 USD deposit to open
• 39.50 USD annual charge
• 10 debits per month³

There are benefits to choosing a major Canadian bank when opening a US account from Canada. If you have any issues, you can visit a Canadian branch for help, and US bank accounts at Canadian banks are typically very easy to open.

We’ve listed some of the possibilities to help you make an informed decision.

Bank	Type of Account
RBC	RBC US Direct Checking RBC US Premium Checking RBC US Preferred Money Market Savings
TD Bank	Borderless Plan US Daily Interest Chequing account TD Convenience Checking TD Beyond Checking TD 60 Plus Checking
CIBC	CIBC US Personal Account CIBC Bank USA Smart Account Simplii Financial USD Savings Account*
Scotiabank	Scotia US Dollar Daily Interest Account
BMO	BMO US Dollar Account BMO US Checking Account
Tangerine	US Dollar Savings Account

*Simplii Financial is owned by CIBC

What are the fees for these US bank accounts?

If you decide to open a US bank account, it’s important to understand any fees you may be charged.

For example, the CIBC US Personal Account charges 0.75 USD per US transaction, and there’s also a small fee for paper statements. However, there are no monthly account fees to consider.⁴

The TD Beyond Checking Account also levies various fees. For example, if you don’t keep at least 2,500 USD in your account, you may be charged ATM fees. You’ll also pay a monthly maintenance fee of 25 USD.⁵

International banks also levy fees. For example, Zenus Bank charges a 50 USD application fee.⁶

What are the International transfer fees involved?

In addition to regular fees, many banks may charge an international transfer fee whenever you send or receive your money in the US or further afield.

Typically, banks charge a markup on the exchange rate. This is how they make money - and it can mean you end up paying more than the mid-market rate for international transfers.

This can range anywhere from a 2% to 4% markup for any foreign transactions. You might not know how much you’re paying until you complete your transfer.

Get your Wise US account details in minutes

Wise isn’t a bank, but it’s a great alternative to cover your money management needs - including direct deposits, local currency transfers, and more, for minimal transfer fees.

Wise never charges a markup on your transfer - meaning you’ll only ever pay the mid-market exchange rate when sending your money abroad.

Wise ensures transparency by informing you of what you pay before you transfer money. There are no costs associated with opening an account. The only time you pay is when you send money abroad.

Whether you’re a business or a consumer, Wise offers multiple transfer options to cover everything you need. Wise can even help you get started with your account, letting you send, spend, and receive your money across the world.

Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up to date pricing and fee information. See Which Countries Can I Use Wise In for list of authorized countries.

Bottom line

A US bank account could help you hold money outside Canada, for yourself or your business.

There are several different ways to open a US bank account without needing citizenship or residence. Applying for an ITIN can help you easily apply for a US account from Canada, or you could open an account with a regular Canadian bank, including TD Bank or CIBC.

Wise is a simple alternative, letting you send, spend, and receive your money across the globe with the touch of a button.

To explore your international money transfer options, check out Wise.

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Sources

1. Charles Schwab
2. IRS
3. RBC
4. CIBC
5. TD Bank
6. Zenus Bank
   Sources last checked on 26 May 2023