How To Keep Accounts In USA After Returning To India?

Let’s say you have decided to move back to India but want to keep your money in the US even after returning (whether or not you should is a different question that needs an article of its own). How do you ensure you can access your bank accounts and investment accounts in the USA after returning to India? Which brokerages support non-US residents? What are the recommended best practices you should follow? I will attempt to answer some of the most frequently asked questions based on my research and experience of moving back to India from the USA.

Bank Accounts in USA

Can I continue operating my bank accounts in the US after moving back to India?

Yes, you can continue operating your bank accounts even after returning to India. 

Will all banks allow me to continue my bank account?

Yes, no bank will tell you to close your bank account because you are moving out of the US (after all no bank wants to lose your business!). But that does not mean that all banks will support you when you are outside of the USA. Only a few banks allow you to change your address to an international address.

Is it necessary to change my address to an international address? Can I not give a friend or relative’s address in the US?

No, it is not compulsory to change your address to your Indian address but I would strongly recommend it. For example, I got an unexpected refund from the Massachusetts government via physical mail. I was able to successfully upload the photo of the check in the Bank of America app and deposit it. Had my address not been updated to the Indian address, it might have raised a red flag since the location and address would not have matched. Another reason is that if your address is updated, the system is better prepared for your logins from India. In general, it is a much smoother experience.

Tip: Enable check deposits via mobile app in case it is not. You never know when it might come in handy.

Which banks support international addresses?

I can confirm that Bank of America and Chase support Indian addresses. I have also received physical mail at my Indian address from Bank of America. Discover Bank, DCU and American Express did not let us change our address to our Indian address. This is as of writing and can change in the future.

How do I change my address on the bank account?

Some banks do not allow you to change your address online. We had to call the banks to get our address updated.

How is two-factor authentication done? Will I be able to get verification codes on my number in India?

This one is tricky. Of course, the popular opinion is to get a Google Voice number before moving back to India. This has so far worked out well. We can receive verification codes from Bank of America, Chase as well as Fidelity on these numbers. One hiccup we faced was that my wife’s Google Voice number was discontinued out of the blue without any explanation from Google. We had made sure to maintain some activity and still, I don’t have a good explanation for why it happened. I would recommend keeping a backup number (it costs only $20 once) just in case that happens.

The only bank we have found that sends verification codes by email is Bank of America and highly recommend maintaining an account with them.

We tried changing our phone number to an Indian number but have never been able to receive verification codes on them. So, Google Voice or a US number is your best bet.

Tip: Make sure you have backup accounts and link all your accounts with each other so that in case of issues with a bank in the future, you always have a backup.

Do I need to maintain some activity so the accounts don’t get deactivated?

Yes, we have got reminders from the bank to this effect. We have set reminders to make a transaction every 3-6 months from one account to another. Chase closed my wife’s account due to insufficient activity but on calling them, promptly restored the account.

Credit Cards in USA

Can I continue my credit cards after returning to India?

Yes, you can. One thing to do is to keep making transactions to keep them active. My Amex card was deactivated due to a lack of activity. My Discover card was expired and they refused to send a new card to my Indian address so had to close that card. I have continued to use my Bank of America credit card. They also sent me a new card at my address in India when my card expired. We have used our Bank of America credit cards in India to keep them active. It worked on Amazon India without any issues.

Investments / Brokerage Accounts in USA

Can I continue buying and selling stocks in investment accounts in the US after moving back to India?

Yes, you can continue buying and selling stocks. The only restriction is that you cannot buy mutual funds in the US after returning to India once you become a non-resident. You can continue holding the existing mutual funds that you have in your account. Be very careful while selling your stocks though since you need to take care of tax implications not only in the US but also in India.

Which brokerages support international residents?

I have been using Fidelity for my 401K, IRA as well as individual brokerage accounts. Their customer support has been excellent. They also support international addresses and send you the right tax forms by physical mail. I have also heard great things about Charles Schwab but do not have any personal experience to share. Note that most companies will not let you open new accounts after moving back so it is recommended to open all the accounts you need before returning.

Can I use Robinhood in India?

I did have a Robinhood account but Robinhood does not support international addresses. We transferred over all our investment accounts into Fidelity before moving back to India. We also withdrew our 401K after moving back to India and Fidelity sent us the right tax forms to file taxes.

Fidelity does not send verification codes to non-US numbers. We successfully got verification codes on our Google Voice numbers. They also have an Authenticator-like app which you can use for two-factor verification. You do need to call them to set it up though.

Do I need to let the brokerage company know that I have moved out of the US?

Yes, once you become a non-resident you need to let the company know that you no longer reside in the US so they can send you the right tax forms and withhold the right tax. You need to submit a form called W-8 BEN to Fidelity certifying that you are no longer a resident of the US and give details of the treaty between India and the US. This is extremely important to avoid tax complications in the future. For example, once you submit W-8 BEN, you will receive Form 1042-S instead of 1099-B for your investments.

Tip: Link all your bank accounts with your investment accounts so if you ever need to make transactions, you have flexibility.

Overall, we plan to keep our bank accounts and investment accounts active in the US and apart from a few hiccups, we have not faced any major issues in maintaining these accounts in the three years that we have been in India after moving back.