Best Debit Card in the World? & Why?

[Kushagra_]

I invest in US index funds using SIP, was also considering using IndMoney to buy US stock, how is Schwab international brokerage account compared to IndMoney?

has someone compared loading money in these 2? which is beneficial after all charges and everything?

Following for updates

 

[telescope]

I invest in US index funds using SIP, was also considering using IndMoney to buy US stock, how is Schwab international brokerage account compared to IndMoney?

has someone compared loading money in these 2? which is beneficial after all charges and everything?

Almost same. Not much difference, except that you'll get more ETFs to choose from in Schwab. If you are into stocks then with INDmoney, you can buy fractional stocks. Here the downside with schwab is that you cannot buy fractional stocks.

 

[quino]

Here the downside with schwab is that you cannot buy fractional stocks.

because you are the real owner there.

If you are into stocks then with INDmoney, you can buy fractional stocks

here, your broker owns them. you don't get voting rights i guess.

 

[newIntern]

Almost same. Not much difference, except that you'll get more ETFs to choose from in Schwab. If you are into stocks then with INDmoney, you can buy fractional stocks. Here the downside with schwab is that you cannot buy fractional stocks.

but I guess withdrawal will be easier with IndMoney?

 

[telescope]

because you are the real owner there.

Not really. USA doesn't have demat account concept like what we have in India. Whether you buy fractional or whole stock, it will be under "street name". Basically it'll be under broker's name on behalf of you.

Schwab has the facility of fractional stocks but only for residents, and not foreigners.

here, your broker owns them. you don't get voting rights i guess.

no voting rights for fractional shares.

 

[telescope]

I read in another post that to pay bill of US based Amex cards you need a US bank account, is that true? If yes then does this account work for that?

No. Just checked, bill payment is not available for schwab one international brokerage account. It is only available for Charles schwab bank investor checking account. But, if you don't have US address, you can't open checking account.

 

[newIntern]

No. Just checked, bill payment is not available for schwab one international brokerage account. It is only available for Charles schwab bank investor checking account. But, if you don't have US address, you can't open checking account.

also 25k usb is mandatory for checking account,

 

[telescope]

also 25k usb is mandatory for checking account,

No. Checking account is available ONLY for US residents. US address proof is must. And this checking + brokerage account for US residents has no minimum funding requirement. Even $1 deposit is fine.

This $25k requirement is only for international brokerage accounts opened by foreigners without US address proof.

Schwab one international brokerage account is not really a bank account, although it works like one. It has some restrictions, such as, bill payment to US credit card not possible, no zelle/venmo payments etc.

 

[NABNAB is verified member.]

I invest in US index funds using SIP, was also considering using IndMoney to buy US stock, how is Schwab international brokerage account compared to IndMoney?

has someone compared loading money in these 2? which is beneficial after all charges and everything?

1. No Brokerage or Fees from Schwab. Only expense will be the forex you are paying for the transfer.

2. Schwab will not give you the ITR forms as per the Indian returns requirement as IndMoney. You will have to do the calculations accordingly.

3. You can buy fractional shares through Schwab. It's called Slices. They support fractional for the S&P 500 shares only.
@telescope

 

[telescope]

3. You can buy fractional shares through Schwab. It's called Slices. They support fractional for the S&P 500 shares only.
@telescope

3. Schwab slices is not available for me. It shows the error "this account is not eligible for schwab stock slices" on the top of the screen whenever I try to place order. After few phone calls to customer care, learned that it is not available for international brokerage accounts.

 

[NABNAB is verified member.]

3. Schwab slices is not available for me. It shows the error "this account is not eligible for schwab stock slices" on the top of the screen whenever I try to place order. After few phone calls to customer care, learned that it is not available for international brokerage accounts.

That's wrong information. Keep calling until they activate it.
Mostly it will be done after your 25K USD is verified and settled, clears security, etc. It can take a month or two or more.

 

[telescope]

That's wrong information. Keep calling until they activate it.
Mostly it will be done after your 25K USD is verified and settled, clears security, etc. It can take a month or two or more.

Ok. I'll call again. I already talked 3 times. The first guy said it's not available for international accounts.

The second one kept me on long hold then said because I have thinkorswim activated stock slices is not active and they need my consent to disable thinkorswim, and stock slices will be available from next day. I told her to go ahead and do the necessary things. Thinkorswim got disabled but nothing happened for next few days.

Called again, the third agent apologized for the miscommunication of his colleague and said, stock slices is not available for international accounts.

After that I have given up. Slices is kind of important for me and was disappointed that it isn't available. I'll give a call now.

 

[NABNAB is verified member.]

Ok. I'll call again. I already talked 3 times. The first guy said it's not available for international accounts.

The second one kept me on long hold then said because I have thinkorswim activated stock slices is not active and they need my consent to disable thinkorswim, and stock slices will be available from next day. I told her to go ahead and do the necessary things. Thinkorswim got disabled but nothing happened for next few days.

Called again, the third agent apologized for the miscommunication of his colleague and said, stock slices is not available for international accounts.

After that I have given up. Slices is kind of important for me and was disappointed that it isn't available. I'll give a call now.

Yes, they always give different reasons and routes to different departments. Never any streamlined answer.

 

[0006mathew]

Didn't they get rid of 25k USD requirement? Btw if you can't do fractional trading with Schwab, try IBKR. Reach out in case you need a referral.

 

[newIntern]

Didn't they get rid of 25k USD requirement?

its still mentioned on their website

Btw if you can't do fractional trading with Schwab, try IBKR. Reach out in case you need a referral.

how is it in comparison with apps like INDMoney? I just want to invest in index funds & the MF I was using stopped SIPs.

 

[0006mathew]

its still mentioned on their website


how is it in comparison with apps like INDMoney? I just want to invest in index funds & the MF I was using stopped SIPs.

Well IBKR is a full broker unlike tech companies like INDMoney or Vested which partners with brokers in the US. There's no charges other than forex charges by the bank which you use to send outward remittance.
I should say before hand that the UI and process might feel hectic for some people but for me it was a breeze.

 

[NABNAB is verified member.]

Well IBKR is a full broker unlike tech companies like INDMoney or Vested which partners with brokers in the US. There's no charges other than forex charges by the bank which you use to send outward remittance.
I should say before hand that the UI and process might feel hectic for some people but for me it was a breeze.

I believe they have brokerage charges and withdrawal charges as well. Which is not there at Schwab.

 

[0006mathew]

I believe they have brokerage charges and withdrawal charges as well. Which is not there at Schwab.

There's one withdrawal free per month, charges only apply above that. Brokerage = commission applies based on which pricing you are on tiered, fixed and exchange you buy the security on. That's something almost all brokers have, that's why I didnt call it out.

Schwab doesn't have them on US listed stocks and ETFs but it doesn't allow trading in non US ETFs etc and the major downside you have to be worry about it in the long run is 6040% estate tax above 60k USD imposed on non-resident aliens by the US in the event of your death. I stick with Irish domiciled funds due to that reason.

 

[quino]

in the long run is 60% estate tax

only applicable on the PF value above 50L INR. that too 40% only, on the part above 50L (incremental).

 

[arihant6]

Opened Schwab brokerage account without any $25k bs and it’s working and funded
1) will I get debit card without $25k initial? (Form uploaded in message center)
2) what’s the process of withdrawing funds to India as it always asks for routing numbers for transfer. Can I use wise here?