Three accounts every expat retiree should have
(1) US bank with no foreign transaction fees and ATM rebates. Schwab Investor Checking is the gold standard — they reimburse all international ATM fees. Fidelity Cash Management is second.
(2) Wise multi-currency account. Open with passport scan online. Holds USD, EUR, GBP, and 50+ currencies. Convert at near-spot rates. Use for receiving SS deposits or sending money to local banks abroad.
(3) One local bank in your country of residence. Required for paying utilities, rent, sometimes health insurance. Small balance ($1-3K) for monthly expenses.
Currency conversion
Wise charges 0.4-0.6% for currency conversion. Banks typically charge 2-3% (sometimes more, sometimes hidden in poor exchange rates).
On a $500K nest egg, converting via Wise vs. a US retail bank saves $7,500-$15,000 over 10 years just on FX.
For large transfers ($100K+) to buy property abroad, use a specialty FX broker (OFX, Currencies Direct). They negotiate better rates than Wise on large transactions.
Investment accounts
Vanguard, Fidelity, Schwab, and most US brokerages let you keep your investment accounts as a US citizen abroad — but some restrict trading to certain account types or require a US address.
Vanguard: getting harder for expats. Some accounts require you maintain a US address. New accounts may be denied if you're abroad.
Fidelity and Schwab: more expat-friendly. Will keep existing accounts open. Schwab International (separate entity) is built for expats.
Interactive Brokers: most expat-friendly. Built for international clients. Holds positions globally. Worth opening as a backup before you move.
Address and US mail
Most US financial institutions require a US address. Use a 'mail forwarding service': Anytime Mailbox, Earth Class Mail, USA2Me. Cost: $20-$50/month for a real US address with mail scanning and forwarding.
Pick the address state strategically: Florida, Texas, South Dakota, or Nevada are tax-friendly with no state income tax. The address service should be there to support 'state of residency' for tax purposes if it's still in dispute.
Hidden costs to watch
Inactivity fees: some banks (especially Vanguard) flag accounts as 'inactive' if no transactions for 12+ months. Set up a recurring small transfer to avoid.
Foreign withholding taxes: some countries withhold tax on dividends or interest paid to non-residents. Review tax treaty for refunds.
ATM fees: even with Schwab rebates, foreign ATMs sometimes display absurdly high fees on screen. Always pick 'pay in local currency' (decline DCC — Dynamic Currency Conversion which adds 5-10% to the rate).