What issues can arise if non-US non-resident alien opens US bank account with US address?

[DavidS]

Let's say you are not a US resident, alien (resident of a different country).

Let's say you have someone in US who can forward mail to you.

And you open bank account in US indicating this as residence address without even living or being in US.

Theoretically this means they don't report FATCA.

What issues can arise from this?

 

[Sols]

What visa are you going to show the bank? Do you have a US residence permit?

Even if that somehow slips through the banks checks (including ongoing checks), you are committing wire fraud, so you're looking at potential prosecution under US federal law (maybe state as well). As for how they would find out, that's entirely up to you. You would need to give the bank zero reason to think you are resident outside of the US. That means having a US phone number, logging in from a US IP address, and primarily transact with other US persons/companies.

US banks don't care much about being FATCA compliant nearly as much as banks outside of US care about being compliant with CRS. But they don't like bank fraud.

If the amounts are small, the most you'll face is arrest is you ever visit US or have a layover at a US airport. If the amounts are large, the US can leverage its enormous international influence to go after you anywhere in the world.

Don't poke the bear (or bald eagle?).

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This is the probably the answer to your question.

 

[Martin Everson]

DavidS said:
What issues can arise from this?
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Bank fraud charges as you will have opened the account under false pretenses in order to gain access to the US banking system. You will have gained access you may not have otherwise have been granted by misrepresenting yourself.

I would definitely not ever do this. As lets say you are able to get a credit card, cash back or some credit from that bank. Under 18. U.S Code 1343 you can face a fine or up to 20 years in prison. The part "or affects a financial institution" can be used in a very broad sense...lol.

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Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[DavidS]

Very good advice. This is definitely a bad idea.

What are "large" and "small" amounts?

 

[d3pr3sso]

DavidS said:
Let's say you are not a US resident, alien (resident of a different country).

Let's say you have someone in US who can forward mail to you.

And you open bank account in US indicating this as residence address without even living or being in US.

Theoretically this means they don't report FATCA.

What issues can arise from this?
Click to expand...

I don't think the effects are as dramatic as indicated here, I have held a US bank account for many years as a non-resident with several banks and I know of a dozen people who have also done so with no problem. I even have US credit cards. It's relatively safe to do and you stay under the radar if the amounts are reasonable. No bank has ever asked for a visa, banks like WF do not even ask for proof of address (this is their policy). I have stated I am a foreigner and had to sign a W-8BEN.

 

[suzy]

how did you open all the banks as an foreigner in the USA? I have yet to see how people are doing it and what they say is for real?

The only way I can see it work is with Mercury bank and a US LLC ?

 

[startfleetio]

d3pr3sso said:
I don't think the effects are as dramatic as indicated here, I have held a US bank account for many years as a non-resident with several banks and I know of a dozen people who have also done so with no problem. I even have US credit cards. It's relatively safe to do and you stay under the radar if the amounts are reasonable. No bank has ever asked for a visa, banks like WF do not even ask for proof of address (this is their policy). I have stated I am a foreigner and had to sign a W-8BEN.
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I second this