Schwab Bank High Yield Account Investor Checking Account and Studying Abroad?

It’s probably a long shot, but I was wondering if anyone or their sons or daughters ever studied abroad and used this as their primary source of funds while overseas. If yes, why? If not, what did you/they use that worked?

It may or may not be relevant, but I will be in Spain and I do not plan on venturing out of the euro zone.

Any and all replies with tips on money and studying abroad will also be appreciated.

It works for me, and is good for someone like me who prefers to make more frequent ATM withdrawals in lower amounts.

Do make sure to get a receipt for each withdrawal, however, to ensure that the proper amount for the withdrawal fees is reimbursed. Usually, the fee has to be itemized on the receipt for the fee reimbursement to occur. If you believe the improper amount was reimbursed, you can make a claim with the receipts.

Also, only use ATMs that are attached to banks. That way, if the ATM card is stuck (the probability of it happening goes up when you are in a foreign country), you can ask bank staff to retrieve it for you.

When it comes to purchases, I still highly recommend using a credit card instead of a debit card because of better fraud protection. I highly recommend a Capital One credit card, as there are no foreign transaction fees with any of their cards. However, you definitely need to have the discipline to properly use a credit card, otherwise the interest and/or late fees that can potentially be accrued will greatly offset the benefits.

This is good to hear. My D will be studying in London fall semester and I’ve been grappling with what to do about $$$ and cell phone. I researched endlessly online and came across a blog that touted the Charles Schwab Bank. Researched further and it sounds like the perfect solution. They refund all ATM fees and the exchange rates do not seem to be padded. @umcoe16 thank you for the suggestion she saves all withdrawal receipts. I will tell her to do so. I already have a Schwab brokerage account so will set up a joint checking with her. That way I can monitor cash level (and assist in the event of lost or stolen card). This really does seem like the best solution. Also got her a Barclays JetBlue Visa - no foreign transaction fee. I’m wondering if she needs a second credit card “just in case” - but am not sure. She does have a Discover which has no foreign transaction fees but I hear it’s not accepted a lot of places.

My D opened this Schwab account specifically for study abroad last year because of the no foreign transaction fees and ability to use any ATM. It worked great–she had no issues. She continues to use it as her main ATM card because of the flexibility.

She had a Visa and a Discover card with her. The Discover card was pretty useless in Europe.

She survived but I think a second (more useful) card would have been a good idea just in case something happened with the first.

Thank you!!! Good to hear it worked!! Can I ask what you did re: cell phones?

My D just used her own phone. Sprint has a free international plan that includes unlimited 2G data (3G data for an additional cost), unlimited text and voice calls for 20 cents/minute. Since the majority of the time she was on wifi and she rarely makes phone calls, this worked out fine. She said she didn’t really notice any issue with the 2G when she was off wifi. When she traveled away to other countries I would upgrade her to the 3G for a week since we wouldn’t know how accessible wifi would be for her or reliable the 2G would be.

I think T-Mobile has a generous international plan as well. I’m not sure about the others.

But from what I’m told getting a sim card is really easy (they sell them at the airport etc). You’ll have to call your provider to get your phone unlocked for international travel and then switch sim cards when you get there. This was originally our plan, but my D said the 2G worked fine and she never bothered to switch. Very convenient because she didn’t have to worry about a new phone number or missing texts from friends back home.

I noticed that many ATMs abroad are actually not as evil as those in the US in terms of charging ATM operator fees. Some of them are actually surcharge free. Therefore, you will mainly have to worry about fees charged by your bank.

I feel that having one Visa card will work fine the majority of the time. If you really want a second Visa card, look into Capital One (I really recommend them). Try not to get a second card from the same bank, in case it gets to the point where they have to shut one card down, chances are they will shut all cards you own from that bank down. Yes, Discover is not very useful abroad, thus making me wonder what the use of them having no foreign transactions is…