Bank Accounts

Having a bank account is essential for managing your financial life efficiently and offers numerous practical benefits. One of the main advantages is safe money storage. Unlike keeping cash at home, which can be vulnerable to theft, loss, and damage, money kept in a bank account is safe and protected. Additionally, bank accounts provide great convenience for everyday transactions. You can easily pay bills, receive direct deposits, withdraw cash, and make purchases with a debit card linked to your account. Modern banking also lets you manage your finances from virtually anywhere through online and mobile banking platforms.

Types of Bank Accounts: Checking and Savings

In the world of personal finance, understanding the different types of bank accounts is crucial.

• Checking Accounts: Checking accounts, often called personal checking accounts, are designed for everyday transactions like depositing money and debit card purchases. They frequently come with the option of direct deposits and online bill pay. Understanding the differences between checking and savings accounts is essential, especially when considering banking promotions and bonuses that often feature specific offers for opening new checking and savings accounts, including direct deposit requirements and minimum deposits to qualify for cash bonuses.
• Savings Accounts: Savings accounts, including specialized forms like a Barclays savings account, are meant for storing money over a longer period, often with the goal of building an emergency fund. These accounts may offer a higher interest rate and sometimes require a minimum balance. Combining checking and savings accounts can provide a comprehensive banking solution, offering both the flexibility of everyday transactions and the benefit of earning interest on long-term savings, which is particularly advantageous when banks offer promotions and bonuses for these accounts.
• Money Market and CD (Certificate of Deposit) Accounts: Generally offer higher annual percentage yields than regular savings accounts, locking in funds for a specified period to achieve better returns.

Understanding these options helps align banking services with your financial goals, whether you're considering opening a business checking account or a joint savings account at the same bank or credit union.

Opening Your First New Bank Account

To open an account, particularly a new online bank account, start by choosing the right financial institution — it could be an online-only bank, a traditional bank, or a credit union, depending on your financial needs and preferences. Consider factors like accessibility, customer service, fee structures, and the availability of online and mobile banking features when selecting where to open your account.

The process generally involves making an initial deposit, which can vary but is often a minimum opening deposit. Meeting the minimum deposit is crucial to qualify for account bonuses. Some institutions may require only a few dollars, while others may ask for a larger amount, especially for premium or specialized accounts. During the account-opening phase, you'll need to provide personal information like a Social Security Number or an Individual Taxpayer Identification Number, and a government-issued ID, like a passport or driver's license. This information helps the bank ensure compliance with regulatory requirements, including those related to money laundering.

Many banks offer bank account bonuses or a checking account bonus to new checking account customers, which can be an attractive incentive. Opening a personal checking account in America comes with specific bonuses and rewards, including cash bonuses for meeting certain requirements like a qualifying direct deposit. To qualify for these bonuses, customers often need to meet criteria like a minimum deposit within a certain timeframe and maintaining that balance for a specific period. For example, some financial institutions offer cash bonuses for setting up a qualifying direct deposit. This incentive often requires you to receive a regular payment, like a salary or a government benefit, directly into your new account within a certain period of opening the account. Be sure to understand the terms and conditions associated with these bonuses, like minimum balance requirements and the duration of direct deposits.

Additionally, ask about any potential fees associated with the account, like monthly maintenance fees, ATM usage fees, and overdraft charges. Sometimes, banks offer fee waivers under certain conditions, like maintaining a minimum balance or even by enrolling in direct deposit. It's also worth asking about the bank's overdraft policies. Some banks offer overdraft protection programs, which can keep you from incurring fees if you accidentally overdraw your account. This service can be a lifesaver for new account holders unfamiliar with managing their balance, but it typically comes at an additional cost.

Finally, consider the bank's customer service and support options. Reliable customer support can be invaluable, especially if you run into issues with your account or need guidance on using banking services. By carefully considering these aspects, you can ensure your first banking experience is positive and financially beneficial. Remember, the right bank for someone else might not be the right bank for you, so choose based on your specific circumstances and financial needs.

Común Is a Great Choice for Your Banking Needs in the USA

If you're looking for a reliable, modern banking solution in the United States, Común is the perfect choice for you. Común is a digital bank designed for everyone, especially the immigrant community, offering a hassle-free banking experience, no hidden charges, and Spanish-language tools that make managing your finances easier. With Común, you can open an account in minutes from your phone, get your complimentary debit card, and start enjoying benefits like no-cost transfers, direct deposits, and access to more than 55,000 fee-free ATMs nationwide. Plus, Común cares about your security, implementing advanced measures to protect your money and your data. Don't wait any longer — join the Común community for a banking experience that understands and supports your unique needs.

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More Information About Bank Accounts in the United States

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Best practices for managing your account

Effective Account Management

Effectively managing bank accounts goes beyond simply monitoring balances — it involves a comprehensive approach to financial administration. This means understanding and reducing account fees, which can include monthly maintenance, ATM usage, and overdraft charges. One way to minimize these fees is by meeting minimum balance requirements or enrolling in direct deposit, since many banks offer fee waivers under these conditions.

Using online and mobile banking tools is essential for efficient financial management. These platforms allow real-time transaction monitoring, immediate fund transfers, and quick access to statements and banking documents, which can help with budgeting and tax preparation. Setting up automatic bill payments is another crucial feature, ensuring all payments are made on time, avoiding late fees and service interruptions.

For those managing multiple accounts, like a business checking account and a personal checking account, linking these accounts can simplify money management. It allows easier transfers between accounts and a consolidated view of finances, which is particularly beneficial for small business owners who need to keep personal and business expenses separate. Additionally, having multiple bank accounts can offer significant benefits, like separating funds for different purposes — such as everyday expenses, savings, and investments — and meeting individual or joint financial needs, including for international travel or business purposes.

Additionally, mobile banking has revolutionized access to financial services, letting users complete a variety of banking tasks from their devices, like checking balances, depositing checks remotely, and withdrawing cash from ATMs without a physical card. This convenience, however, needs to be balanced with diligent security practices to protect financial data.

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Security and Protection

Account security is critical for protecting financial assets from potential threats like fraud and identity theft. Banks, whether online or traditional, implement robust security measures, including encryption, Secure Sockets Layer (SSL) certificates, and continuous monitoring for suspicious activity. However, responsibility also falls on the account holder to improve their personal security.

Enabling two-factor authentication adds an extra layer of security, significantly reducing the risk of unauthorized access. Using strong, complex passwords and changing them regularly are fundamental practices for securing online banking portals. Account holders should also be alert to phishing scams — fraudulent attempts to obtain sensitive information. Recognizing suspicious emails, links, or phone calls requesting personal banking information is crucial.

Regularly monitoring account activity is another proactive security measure. Many banks offer customizable alerts that immediately notify the account holder of unusual or large transactions, allowing quick action against unauthorized access. It's also advisable to frequently review transaction history to identify any irregularities that might indicate fraudulent activity. Additionally, understanding the latest banking security technologies and using all available tools provided by financial institutions can significantly improve the security of banking operations. These tools include biometric verifications, like fingerprint and facial recognition, which offer a higher level of security than traditional passwords.

By incorporating these advanced management and security practices, people can significantly improve both the efficiency and security of their banking experience, ensuring their financial assets are managed wisely and protected against potential threats.

Conclusion

Navigating the complexities of bank accounts — from choosing the right type to managing and securing them — can significantly impact your financial well-being. Understanding the various account types available, from personal and business checking accounts to savings and CD accounts, lets you make informed decisions that align with your financial goals. Opening your first account is a crucial step that lays the groundwork for building a robust financial future. By selecting the right financial institution, understanding fee structures, and taking advantage of incentives like account bonuses, you position yourself to maximize the benefits of banking.

Effective account management and vigilant security measures are essential to getting the most out of your banking experience. Using online and mobile banking tools not only provides convenience, but also lets you keep close oversight of your financial activities, ensuring your money works for you as efficiently as possible. Additionally, the importance of security can't be overstated — protecting your financial information from fraud and theft is paramount in today's digital age.

Ultimately, carefully managing and protecting your bank accounts is crucial to maintaining financial health and reaching your monetary goals. By adopting the practices outlined in this guide, you can confidently navigate the banking landscape, making informed decisions that strengthen your personal and business finances. Whether you're opening your first account or optimizing existing ones, remember that every step you take is a building block toward greater financial security and freedom.

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A prepaid card is loaded with money in advance and generally is not linked to a traditional checking account. A debit card is linked to a checking account, and money is taken directly from the available balance in that account. A debit card is generally connected to additional banking features, such as account statements, direct deposit, and other account services.

The main difference is their connection to a bank account, as a debit card draws funds directly from a checking account, while a prepaid card requires you to load money onto it in advance. Neither prepaid cards nor debit cards typically help you build a credit score because they generally are not reported to the major credit bureaus.

What is a prepaid card?

A prepaid card is a payment card that must be loaded with funds before it can be used. Spending is limited to the amount loaded onto the card. They are commonly available through retail stores and financial service providers.

Prepaid cards are commonly used for everyday purchases, online payments, and sending or receiving limited funds. Prepaid cards can be reloadable, meaning you can add money again after spending the balance. Some also allow direct deposit, but the features available depend on the provider.

Because prepaid cards are generally not linked to a traditional checking account, they may not include features such as full account statements, overdraft services, or other banking features. Available services vary by provider.

What is a debit card?

A debit card is linked to a checking account. When a purchase is made, the money is taken directly from the account balance.

Debit cards are commonly used for daily spending, online purchases, ATM withdrawals, and bill payments. They are also commonly used for receiving income through direct deposit from employers or other payment sources.

Because the card is connected to an account, all transactions are recorded in account statements. These statements can be used to track spending, income deposits, and account activity over time.

A debit card generally reflects your available account balance as transactions are processed.

Prepaid card vs. debit card: main differences

Prepaid cards and debit cards can look similar in everyday use, but they operate in different ways behind the scenes. The comparison below breaks down how each one works across key features such as account access, fees, deposits, and financial tools. Común’s debit card is included to be used as an example of a debit card.

This comparison shows how prepaid cards and debit cards differ in structure, cost, and financial features, especially when it comes to account access and long-term use. A debit card linked to a checking account can offer more functionality, including direct deposit and account statements. Eligible customers can open a Común checking account using a Passport or certain Latin American IDs.

What are the disadvantages of prepaid cards?

Prepaid cards can be useful for basic spending, but they can have limitations depending on how they are used.

One common limitation is cost structure. Many prepaid cards may charge fees for adding money, withdrawing cash, or maintaining the card. The types and amounts of fees vary by provider.

Some prepaid cards also have limits on deposits, withdrawals, or transfers.

Another limitation is access to financial features. Prepaid cards usually do not include all of the features available with a traditional checking account, such as detailed account statements, bill payment tools, or other banking services.

Can immigrants get a debit card without a Social Security Number?

Some financial institutions and service providers allow individuals to open accounts using alternative identification instead of a Social Security Number. Accepted identification varies by institution and may include a passport or other forms of government issued identification.

Verification is still required to confirm identity under U.S. financial rules, but the documents accepted can vary by provider.

Once the account is approved, a debit card is issued and linked to the checking account. It can then be used for purchases, withdrawals, and direct deposits.

In the United States, some financial service providers accept different forms of identifications for their verification process. For example, Común accepts passports and more than 100 Latin American IDs to open an account.

When does it make sense to use a prepaid card?

A prepaid card can be useful for basic spending, short-term use, or situations where a traditional checking account is not available.

It can also be used as a budgeting tool since spending is limited to the loaded balance.

Some people use prepaid cards as a first step in the U.S. financial system before moving toward debit accounts with more features.

How to switch from a prepaid card to a debit card

Switching from a prepaid card to a debit card usually involves opening a checking account and moving recurring payments or deposits to the new account.

Once the account is open, money can be added through direct deposit, transfers, or other supported methods depending on the provider.

Some users keep their prepaid card active during the transition period while updating payment information across services.

If you’re considering switching from a prepaid card, Común offers a checking account with a debit card that eligible customers can open using a passport or accepted Latin American IDs. The account doesn’t have any minimum balance requirements or monthly maintenance fees.

FAQ

Is a prepaid card the same as a debit card?

No, a prepaid card is loaded with money in advance and is not connected to a checking account. A debit card is linked to a checking account and uses the available balance in that account.

Can I use a prepaid card to build credit?

Prepaid cards generally do not build credit because purchases are not typically reported to the major credit bureaus.

What are the fees on a typical prepaid card?

Fees can include monthly maintenance charges, reload fees, and ATM withdrawal fees. The exact cost depends on the provider.

Can I get a debit card without a Social Security Number?

Some services allow account opening using alternative identification such as a passport or national IDs, depending on verification requirements.

What do I need to open a debit card account as an immigrant?

Requirements typically include a valid form of identification, personal information, and verification steps required by the financial provider.

Común is a financial technology company and not a bank. Banking services are provided by Community Federal Savings Bank, Member FDIC. The Común Visa® Debit Card is issued by Community Federal Savings Bank, pursuant to a license from Visa U.S.A. Inc. and may be used everywhere Visa Cards are accepted.

No minimum balance requirements or monthly maintenance fees. ATM or transfer fees may apply. See app for fee details.

Direct deposit funds are typically available when we receive the payment file, up to two days before the scheduled payment date. This early availability is not guaranteed.

Funds in your account are FDIC insured up to applicable limits by ownership category through Community Federal Savings Bank (CFSB), Member FDIC, in the event CFSB fails.

Money transfer scams in 2026: how to identify and avoid them

Money transfer scams continue to affect thousands of families across the United States, especially immigrant communities that regularly send money to loved ones abroad. In recent years, scammers have become more sophisticated, using fake banking apps, social media impersonation, AI-generated voices, and emotional manipulation to steal money and personal information.

According to recent data from the Federal Trade Commission (FTC), consumers reported losing $15.9 billion to fraud in 2025, with impersonation scams remaining the most commonly reported types of fraud.

For Latino immigrants in the U.S., these scams can feel especially stressful because they often involve urgent family situations, language barriers, or financial pressure.

What are money transfer scams?

Money transfer scams are fraudulent schemes designed to convince someone to send money or share sensitive financial information. These scams may happen through phone calls, text messages, WhatsApp, social media, fake banking apps, email phishing, or online marketplaces.

Most common scams in 2026

Bank impersonation scams:

Scammers pretend to be your bank, sending messages that look official asking if you authorized a transaction. They then call claiming to represent the bank and instruct you to transfer funds to 'reverse' fraud.

Government impersonation scams:

Someone claims to be from the IRS, Social Security, or immigration and threatens consequences if you don't pay immediately.

Marketplace scams:

Scammers on platforms like Facebook Marketplace request payment through transfers. After funds are sent, the item may never arrive.

Overpayment scams:

A scammer claims to have 'accidentally' sent money and asks for it back. Their original payment may later be reversed or prove fraudulent.

Romance/friendship scams:

Someone develops an online relationship and then asks for money for an 'emergency'.

AI-generated voice scams:

In 2026, scammers use AI to clone family members' voices and create false urgency by claiming to be in an emergency.

Red flags: how to recognize a scam

• They ask you to send money immediately or you'll 'lose' something
• They pressure you to keep the transaction secret
• The offer seems too good to be true
• They ask you to pay with hard-to-trace methods (gift cards, wire transfers, crypto)
• The phone number or email doesn't match the official one
• They unexpectedly ask you to confirm personal information

What to do if you were scammed

• Contact your financial institution immediately
• Report to the FTC at reportfraud.ftc.gov
• Save all evidence: screenshots, messages, phone numbers
• Change passwords and enable two-factor authentication

How Común protects your money

Común uses encryption and identity verification to protect transactions. If you receive a suspicious message claiming to be from Común, contact official support directly through the app or at ayuda@comun.app. Común will never ask for your password or verification code via text message.

FAQ

How do I know if a call is really from my bank?

Hang up and call the official number on the back of your card or the bank's official website. Legitimate banks will never ask you to transfer money to 'protect it'.

Can I get my money back if I was scammed?

It depends on the transfer method and how quickly you report. P2P transfers and wire transfers are difficult to reverse. Report immediately to your financial institution.

Común is a financial technology company and not a bank. Banking services are provided by Community Federal Savings Bank, Member FDIC.

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Understanding Money Transfer Scams

Money transfer scams are fraudulent schemes designed to trick people into sending money or sharing sensitive financial information. These scams can happen through various channels, including emails, phone calls, text messages, and even social media. Scammers often pose as legitimate entities, like banks, government agencies, or trusted companies, to earn the victim's trust and prompt immediate action.

Common Tactics Used in Money Transfer Scams

• Impersonation: Scammers often pose as credible entities to make their requests seem legitimate. They may pretend to be from your bank, a government agency, or even a friend or family member in trouble.
• Urgency and Fear: Scammers create a sense of urgency or fear, insisting immediate action must be taken. This tactic pressures victims into making hasty decisions without proper verification.
• Emotional Manipulation: Many scams exploit the victim's emotions. For example, a scammer might claim a loved one is in trouble and needs money right away.
• Phishing: Scammers use emails or messages that appear to be from legitimate sources to steal personal information, like login credentials or bank details.

Impact of Money Transfer Scams

The consequences of falling victim to a money transfer scam can be severe:

• Financial Loss: The most direct impact is losing money, which can range from a few dollars to substantial sums.
• Identity Theft: Scammers can use stolen information to commit identity theft, leading to further financial and legal complications.
• Emotional Stress: Victims often experience significant stress and anxiety after realizing they've been scammed.

Understanding these tactics and their potential impact is the first step to protecting yourself from money transfer scams. Learn about Común account security

Types of Scams

Money transfer scams come in several forms, each with unique methods for deceiving victims. Below are two common types of scams to be aware of:

They Send You a Check in Exchange for a Return Payment

In this scam, the victim receives a check, often for a large amount, with instructions to deposit it into their bank account. The scammer then asks the victim to send part of the money back to them or to a third party, usually under the pretext of covering fees, taxes, or another made-up reason.

How It Works:

• Receiving the Check: The scammer sends a check that looks real, often claiming it's an overpayment, a prize, or some other reason.
• Depositing the Check: The victim deposits the check into their account. Initially, the bank may credit the amount to the victim's account, making it appear the funds are available.
• Return Payment Request: The scammer then asks the victim to send back a portion of the funds before the check fully clears.
• Returned Check: Eventually, the check is returned as fraudulent, leaving the victim responsible for the full amount, including the money they sent to the scammer.

Warning Signs:

• Receiving a check from an unknown source.
• Instructions to send money or gift cards in return.
• Pressure to act quickly before verifying the check's authenticity.

They Ask for a Confirmation Code Before Withdrawing Funds

In this scam, the scammer poses as a legitimate company or financial institution and contacts the victim, asking them to provide a confirmation code to verify their identity or complete a transaction.

How It Works:

• Initial Contact: The scammer contacts the victim, often through a phone call, text message, or email, posing as a representative of a trusted entity.
• Confirmation Code Request: The victim is asked to provide a confirmation code, usually sent to their phone or email.
• Unauthorized Access: Once the victim provides the code, the scammer uses it to access the victim's bank account or complete an unauthorized transaction.
• Withdrawal of Funds: The scammer withdraws funds from the victim's account, leaving them with financial losses.

Warning Signs:

• Unexpected requests for confirmation codes or personal information.
• Calls or messages claiming urgent verification needs.
• Requests to share codes sent to your phone or email, especially if you didn't initiate any transaction.

By understanding these specific types of money transfer scams, you can better protect yourself and recognize warning signs when they come up.

How to Avoid Money Transfer Scams

Avoiding money transfer scams requires vigilance and following certain best practices. Here are some essential tips to help protect you from falling victim to these fraudulent schemes.

Never Send Money to Someone You Don't Know

One of the most important rules to remember is to never send money to someone you don't personally know. Scammers often pose as legitimate businesses or people in urgent need, but once the money is sent, it's nearly impossible to get it back.

Key Points:

• Verify Identity: Always verify the identity of the person or organization requesting the transfer. Use official contact information to confirm their legitimacy.
• Question the Request: Be skeptical of any request to send money, especially if it comes from someone you haven't dealt with before or don't know in person.
• Consult Trusted Sources: Before sending money, check with friends, family, or financial advisors for a second opinion.

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Remember: Money Transfers Are Like Sending Cash

Money transfers are a convenient way to send money, but they're also irreversible and can be easily exploited by scammers. Treat money transfers with the same caution you'd use with cash transactions. Learn how to make international transfers

Key Points:

• Understand the Risks: Money sent via transfer is money that's gone. Unlike credit card transactions, money transfers don't have fraud protection or dispute mechanisms.
• Use Alternative Methods: For transactions with unknown parties, consider using payment methods with better security and fraud protection, like credit cards or payment platforms like PayPal.
• Double-Check Details: Before completing a money transfer service, double-check all the recipient's details to ensure accuracy and legitimacy.

Verify Identity and Authenticate Transactions

Verifying the identity of the parties involved in a transaction and ensuring the transaction itself is authentic are crucial steps to preventing money transfer scams. Scammers often rely on impersonation and fake transactions to deceive victims.

User Authentication at the Point of Purchase

Implementing strong user authentication methods at the point of purchase can significantly reduce fraud risk. This involves verifying the buyer's identity before completing the transaction.

Effective Authentication Methods:

• Biometric Verification: Use biometric data, like fingerprints or facial recognition, for added security during transactions.
• Secure Payment Gateways: Use secure payment gateways that offer robust authentication processes.
• Verification Codes: Require verification codes sent to the user's mobile device or email before completing the purchase.

Be Cautious When Transferring Money

Exercising caution and diligence when transferring money is essential to avoid scams. Here are some tips to keep in mind:

• Double-Check Recipient Details: Always double-check the recipient's information before starting a transfer. Make sure the name, account number, and routing or control number are accurate.
• Avoid Public Wi-Fi: Only complete financial transactions on secure, private networks. Public Wi-Fi can be easily compromised by scammers.
• Limit Transfer Amounts: If possible, limit how much money you transfer at once, especially when dealing with new or unknown parties.

Protect Your Bank Account

Protecting your bank account from unauthorized access is vital to preventing financial losses due to scams.

Security Measures:

• Strong Passwords: Use complex, unique passwords for your bank accounts. Avoid easy-to-guess information, like birthdates or common words.
• Regular Monitoring: Regularly monitor your bank statements and account activity for suspicious transactions.
• Account Alerts: Set up account alerts to notify you of large withdrawals, suspicious activity, or login attempts from unrecognized devices.
• Secure Devices: Make sure your devices are protected with up-to-date antivirus software and that you use secure browsers for online banking.

By following these guidelines and putting these security measures in place, you can significantly reduce your risk of falling victim to money transfer scams.

Recovering From a Money Transfer Scam

If you suspect you've fallen victim to a money transfer scam, it's crucial to act quickly to limit any potential damage and increase your chances of recovering lost funds. Here are the steps to take to address the situation:

What Are the Steps to Recover Funds From Money Transfer Scams?

Contact Your Bank Immediately

The first and most critical step to recovering from a money transfer scam is contacting your bank. Here's what to do:

• Provide Details: Give your bank all the information about the transaction, including dates, amounts, and any communication with the scammer.
• Request an Investigation: Ask the bank to investigate the transaction. They may have specific procedures for handling fraud cases.
• Follow Up: Stay in regular contact with your bank to stay updated on the investigation's progress and any action they take.

Report to Authorities

• File a Report: Report the scam to your local law enforcement agency. Give them all the details and any evidence you have.
• Contact Federal Agencies: In the United States, report the scam to the Federal Trade Commission (FTC) and the Internet Crime Complaint Center (IC3). These agencies can help investigate the fraud and potentially recover funds.

Notify Your Employer

If the scam involves your workplace or business accounts, notify your employer right away. They may have additional resources or protocols to help mitigate the impact.

Monitor Your Accounts

• Watch for Unauthorized Activity: Closely monitor your bank accounts and credit reports for any signs of unauthorized transactions or identity theft.
• Set Up Alerts: Enable alerts on all financial accounts to get notified of any suspicious activity.

Change Security Details

• Update Passwords: Change the passwords on all your financial accounts and any other accounts that may have been compromised.
• Enable Two-Factor Authentication: Improve your account security by enabling two-factor authentication wherever possible.

Seek Professional Advice

• Legal Advice: Consider consulting with an attorney specializing in financial fraud to understand your legal options and rights.
• Financial Advisor: A financial advisor can help you assess the scam's impact on your finances and advise you on steps to prevent future occurrences.

By following these steps, you can take proactive measures to recover from a money transfer scam and protect yourself from future incidents. Staying informed is key to safeguarding your financial well-being in an increasingly digital world. Learn more about the immediate actions you can take if your account has been compromised

Conclusion

Money transfer scams are pervasive threats in today's digital landscape, targeting both individuals and businesses with sophisticated tactics. However, armed with knowledge and vigilance, you can protect yourself against these fraudulent schemes. By understanding common tactics, recognizing warning signs, and implementing preventive measures like verifying identities and protecting your bank accounts, you can significantly reduce your risk of falling victim to scams.

In the unfortunate event that you're scammed, quick action is crucial. Contact your bank immediately, report the scam to authorities, and monitor your accounts for unauthorized activity. By staying cautious and skeptical of unsolicited requests for money or personal information, you can navigate financial transactions with confidence and security.

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How to transfer money between banks

To transfer money between banks in the United States, you can use an ACH transfer, wire transfer, online bank transfer, peer-to-peer payment app, or a fintech app connected through Plaid. The right option will depend on how quickly you need the money to arrive, how much you are sending, and the transfer fees.

Some bank transfers take minutes, while others can take several business days. Wire transfers are typically faster for large payments, ACH transfers are commonly used for everyday banking, and P2P apps are often used for sending money between friends or family members.

Quick comparison: 6 methods at a glance

ACH transfer

ACH transfers are one of the most common ways to transfer money between banks in the United States. ACH stands for Automated Clearing House, the electronic network financial institutions use to process transfers between accounts. This method is commonly used for paying bills, sending payroll deposits, and moving money between personal accounts.

Wire transfer

Wire transfers are electronic transfers of funds between financial institutions through secure financial networks. They are typically used for larger amounts, urgent payments, real estate transactions, and business payments. Domestic wire transfers generally process the same business day. Fees vary significantly by institution.

Online bank transfer

Many banks allow customers to transfer money between their own accounts instantly or same-day through their app or online portal. This is commonly used for moving money between a checking and savings account at the same institution.

P2P payment apps

Peer-to-peer payment apps like Venmo, Cash App, Zelle, and Común's Pay allow users to send money quickly using just a phone number, email, or QR code. They are ideal for everyday payments between people who know each other.

How long does a bank transfer take?

Times vary: ACH transfers typically take 1 to 3 business days. Domestic wire transfers can complete the same business day. Transfers between accounts at the same institution can be instant. P2P apps can be instant or take up to 1 business day.

How much do banks charge for transfers?

Fees vary widely by institution and method. ACH transfers are generally no fee. Domestic wire transfers can cost $15–$35. International wire transfers can cost $35–$75. P2P apps are generally no fee for standard transfers.

FAQ

Can I transfer money between banks without a fee?

Yes, ACH transfers are generally no fee. Many P2P apps also offer standard transfers without a fee.

How long does an ACH transfer take?

Generally 1 to 3 business days, although same-day ACH is available at some institutions.

What do I need to make a wire transfer?

You generally need the recipient's bank account number and routing number, and for international wires, the SWIFT/IBAN code.

Común is a financial technology company and not a bank. Banking services are provided by Community Federal Savings Bank, Member FDIC. Peer-to-peer payments services are provided by Cross River Bank.

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Minimum wage in the United States in 2026

The federal minimum wage remains $7.25 per hour, unchanged since 2009 under the Fair Labor Standards Act.

However, that number does not reflect what all workers earn. Many states, some cities and counties have set higher minimum wages, which means that your legal minimum pay depends on where you work.

Understanding the minimum hourly wage in the USA is not just about knowing the federal number. It's about knowing whether you are being paid what you are legally owed.

Why has it stayed the same for so long?

Changes to the federal minimum wage require approval from Congress. While there have been multiple proposals to increase it, none have passed into law. As a result, the federal rate has not kept up with inflation or the rising cost of living.

In practice, this means the federal minimum wage acts as a baseline, not the standard in many parts of the country.

Minimum wage by state in 2026

Workers must be paid the highest applicable minimum wage, whether it comes from federal, state, or local law.

Below is a representative minimum wage by state table for 2026. It is important to always verify your local rate, as some cities have higher minimums.

Source: https://www.dol.gov/agencies/whd/minimum-wage/state

A few things worth noting: The states in the $7.25 group include states that adopted that rate under state law, while Georgia and Wyoming technically maintain a lower state minimum wage of $5.15 per hour. However, for most employees covered by the Fair Labor Standards Act (FLSA), the federal minimum wage of $7.25 per hour generally applies instead.

Three states have mid-year increases scheduled for 2026: Alaska jumps to $14.00 on July 1, Florida rises to $15.00 on September 30, and Oregon adjusts as well.

States with the highest minimum wage

Some states and cities have set wages far above the federal level to match actual local living costs. The highest minimum wages in 2026 are found in:

• Washington, D.C. at $17.95
• Washington State at $17.13
• Connecticut at $16.94
• California at $16.90

If you are working in one of these places, your pay should reflect at least those standards and not the federal minimum.

States with the lowest minimum wage

Several states' laws set their minimum wage below what the federal minimum wage indicates; in this case the federal standard of $7.25 per hour takes precedence. Some of them are:

• Georgia at $5.15
• Wyoming at $5.15
• Alabama and Louisiana — no separate state minimum wage law

If you live and work in these states and work minimum wage, your salary should reflect the federal minimum hourly wage in the USA.

Minimum wage for tipped workers

For tipped workers, it's important to understand that federal law permits a lower base wage. Under the Fair Labor Standards Act, employers can pay as little as $2.13 per hour as long as tips bring total earnings to at least the applicable minimum wage.

If tips do not cover the difference, the employer must make up the gap. However, some states, like California, do not allow this lower rate and require full minimum wage regardless of tips. It is important to check with your official local authorities the specific laws in your state for tipped workers.

Minimum wage for young workers

Workers under 20 years old can be paid a youth minimum wage of $4.25 per hour during their first 90 consecutive calendar days of employment. After that period, or once the worker turns 20, employers must pay the standard minimum wage.

What if your employer pays you less than minimum wage?

If you are being paid less than the legal minimum wage, your employer may be violating federal, state, or local labor laws.

Workers generally have the right to:

• Be paid at least the applicable minimum wage
• Receive overtime pay where required by law
• Keep records of hours worked and wages received

Employees can report potential violations to the U.S. Department of Labor's Wage and Hour Division. In general, labor law protections relating to minimum wage and overtime apply regardless of immigration status.

How much do you earn on minimum wage?

Assuming full-time work at 40 hours per week, your monthly and annual income could look like this (before taxes):

These figures are estimates before taxes and depend on consistent full-time hours.

Is minimum wage enough to live in the U.S.?

In many parts of the country, the minimum wage does not fully cover the cost of living. Expenses such as housing, transportation, food, and healthcare vary widely by location. In states like California or New York, where the cost of living is high, even with better rates for minimum wages it may not be enough to support a family without an additional income.

It is important to consider the minimum wage and costs of living by state when choosing where to live and work.

How you get paid matters

Once you are earning, how you receive and manage your money can make a real difference. Some workers are paid by check or even in cash, which can make it harder to track income, build financial history, or send money to family.

Having a bank account or financial services platform may help:

• Receive direct deposits
• Track your income and expenses
• Send money securely to family members abroad
• Start building a financial roadmap to eventually access credit and build a credit history

For those who may not have access to traditional banking, there are a wide range of financial service providers and platforms including Común, which offer the ability to open a debit account with a passport or Matrícula Consular while you wait for your ITIN. You can manage your money through a mobile app which is also available in Spanish. Visit comun.app to learn more.

FAQ

Does the minimum wage increase in 2026?

The federal minimum wage remains $7.25, but many states continue to raise their rates annually.

What is the minimum wage in my state?

It depends on where you live. Always check your state and city laws, as local rates may be higher.

Can I be paid less if I am an immigrant?

No. Labor laws apply regardless of immigration status. You are still entitled to minimum wage and overtime protections.

Understanding your pay and what comes next

The minimum wage in the United States is not a single nationwide standard for all workers. It is a system shaped by federal law with state adjustments. Knowing the correct rate for your location is the first step. Making sure you are actually being compensated fairly is just as important.

Once you are earning, setting up a secure way to receive and manage your money can help you stay in control. With options like Común's debit account, you can receive direct deposits, track your income, and plan your finances in an app that is also available in Spanish. Visit comun.app to learn more.

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Understanding the Basics

In today's connected world, being able to deposit money into someone else's bank account is a valuable skill. Whether you're helping a friend in need, managing household expenses, or running a business, understanding the ins and outs of transferring funds safely is essential. Bank-to-bank transfers are a popular method for moving money from one bank to another, using external transfer features on bank and credit union websites as viable options for these services. Comparing bank-to-bank transfers with other methods, like wire transfers and money transfer apps, is crucial, since there may be fees and limits to consider.

Different Methods of Depositing Money

There are many ways to deposit funds into someone else's bank account, including knowing the recipient's bank account details for electronic transfers, which is crucial for a smooth transaction:

• Cash Deposits: Making a cash deposit directly at a bank branch is straightforward, but it may be subject to limitations or restrictions due to security policies.
• Bank-to-Bank Transfers: Online bank transfers or wire transfers between bank accounts are commonly used for larger or urgent transfers.
• Third-Party Services: Using money transfer apps like Venmo, Apple Cash, and PayPal is a popular and easy way to send money electronically, instantly. These apps require users to create an account, link a payment source like a bank account or card, and make sure the recipient has an account with the same app — offering a convenient solution for quick transfers between people.
• Checks: Depositing a personal or cashier's check can be safer when transferring significant amounts.

This section can cover the benefits of each method, like minimum direct-deposit amounts or possible wire transfer fees, and expected timelines, from the same business day to a few business days for processing.

Step by Step: Depositing Cash and Checks

Depositing money into someone else's bank account can be essential for several reasons. People often need to transfer funds to pay rent, help family members, or settle bills directly into someone else's account. This process, which involves transferring money directly into someone else's bank account, usually through ACH transfers or wire transfers, is legal and regulated to prevent issues like money laundering. It's crucial to have accurate details like the recipient's bank account number and routing number. By following these detailed steps, you can make sure your transactions run smoothly and securely.

To deposit cash or a check, follow these steps:

1. Gather the Necessary Information: Get the correct person's account number and financial institution details.
2. Visit the Bank: At the bank branch, fill out a deposit slip with the recipient's account number and the cash or check amount.
3. Verification: Some banks may require ID, especially if you're depositing into someone else's account.
4. Receipt: Always get a receipt as proof of the cash deposit or check deposit, making sure the funds reach the recipient's bank account.

Online Transfers and Mobile Payments

Using online or mobile banking to deposit money offers convenience and speed. Here's how to use these platforms effectively:

• Setup: Make sure both parties have active online accounts. This may involve linking a debit card or setting up a mobile banking app.
• Complete the Transfer: To transfer money, use the recipient's bank account details or use various electronic methods, including apps like Venmo, PayPal, Zelle, or Western Union, for a seamless transaction experience.
• Confirmation: Both the sender and recipient should receive confirmation that the money has been deposited into the recipient's savings or checking account.

Privacy and Security Considerations

When sending money to someone else's bank account, keep these privacy and security measures in mind:

• Verify the Details: Double-check the recipient's account details, including the bank account number and routing number.
• Security Protocols: Use secure networks for online transactions to prevent data breaches.
• Monitor Transactions: Regularly review your bank statements to quickly catch any unauthorized transactions. Keep in mind the legal aspects and financial institutions' policies related to depositing money into someone else's account.

This is a process that can be mastered with careful attention to detail and security. By following the steps outlined above, you can make sure your money transfers are effective and secure. Remember, the key to successful financial transactions lies in thorough preparation and vigilant monitoring, making sure every transaction strengthens trust and security in our financial systems.

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Legality and Compliance

Banks are legally required to report certain types of transactions to regulatory bodies to prevent and monitor illegal activity like money laundering. In the United States, for example, financial institutions must file a Currency Transaction Report (CTR) for cash transactions exceeding $10,000 in a single business day. Similarly, suspicious activity that may not meet CTR criteria but is unusual or has no apparent legal purpose must also be reported through Suspicious Activity Reports (SARs).

For depositors and recipients, this means any large transaction could lead to additional scrutiny. It's important for both parties to keep records of the source of funds and the purpose of the transaction, since these could be required in an investigation or audit. Being aware of these requirements helps ensure both parties maintain transparency and avoid unintentional legal complications.

Legal Implications of Transferring Money on Behalf of Others

When transferring money on behalf of others, individuals take on significant responsibilities and should be aware of the legal framework governing such activities. The main legal concern here is the risk of inadvertently engaging in unauthorized financial practices, such as operating as an unlicensed money transmitter, which can carry severe penalties, including fines and imprisonment. It's crucial to have clear agreements and records when handling financial transactions for someone else, particularly in business or caregiving scenarios.

Additionally, transferring money on behalf of others can expose a person to fraud risks. If funds are misused, both the person handling the transaction and the recipient could face legal action or financial losses. It's advisable to use documented methods and formal channels to transfer money to protect against misunderstandings or fraud, ensuring funds are used for their intended purpose.

Guidelines for International Transfers

International transfers aren't just more complex because of the involvement of multiple financial systems — they also come with stricter compliance measures. When sending money abroad, regulations from both the sender's and recipient's countries must be considered. Compliance requirements may include providing additional identification, disclosing the source of funds, and detailing the purpose of the transfer.

Currency conversion rates and fees are also significant factors in international transfers. Exchange rates can vary considerably depending on the financial institutions or services used, which could affect the amount received on the other end. Additionally, international wire transfers are subject to regulations like those imposed by the Office of Foreign Assets Control (OFAC) in the U.S., which can block transactions involving specific countries, individuals, or entities.

Understanding these guidelines helps ensure international money transfers run smoothly and legally, minimizing the risk of delays or legal issues and ensuring compliance with global regulatory standards.

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Conclusion

Depositing money into someone else's account is a process enriched with various methods, legal considerations, and practical steps to ensure safe and secure financial transactions. There are various methods, legal considerations, and practical steps to ensure safe and protected financial transactions when depositing money into someone else's account. Whether you choose to deposit cash at a bank branch, use online transfers, or make mobile payments, understanding the ins and outs of each method is crucial for effective money management.

This article has explored the legal frameworks that protect these transactions and the compliance measures needed for both domestic and international transfers, giving you the knowledge to navigate this space with confidence. Remember, the key to successful financial transactions lies in thorough preparation and vigilant monitoring, making sure every transaction strengthens trust and security in our financial systems. With this knowledge, you're well-equipped to handle the responsibilities of depositing money into someone else's account efficiently and ethically.

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A joint bank account is an account shared by two or more people, commonly used by couples, families, or business partners to manage shared expenses. Before opening one, it's important to understand both its benefits and its risks.

What Is a Joint Bank Account?

A joint bank account is a single account shared by two or more people, letting all account holders deposit, withdraw, and manage money from the same account. It's perfect for people who need to manage finances together, like spouses, parents and children, or business partners. Joint accounts can be set up as joint checking or joint savings accounts, depending on the co-owners' financial needs.

Click here to learn more about personal bank accounts in the U.S.

Benefits of Joint Bank Accounts

Managing shared expenses becomes much simpler with a joint account. Instead of juggling multiple accounts for different payments, you can handle household bills, car payments, mortgage payments, and other shared expenses from one place. This simplifies tracking and organizing your finances and reduces the need to transfer funds between separate accounts.

With a joint bank account, both account holders have access to the funds. This can be incredibly convenient in emergencies or when one partner is unavailable. For example, if a spouse is traveling or incapacitated, the other can still pay bills and manage shared expenses without delay. This equal access ensures financial management continues smoothly no matter the circumstances.

Open your account with Común now. Banking designed specifically for you.

Shared Financial Goals

Joint accounts are fantastic for working toward shared financial goals. Whether you're saving for a house, a vacation, or your child's education, having a joint account ensures both partners are on the same page and contributing toward these goals together. This shared approach can foster stronger financial planning and more cohesive spending and saving habits.

A joint bank account improves transparency and trust in relationships. It encourages open communication about finances and helps ensure both parties are aware of and agree on how money is being spent and saved. This can lead to better financial decisions and reduce the potential for misunderstandings or conflicts over money management.

In emergencies, a joint account ensures one partner can access funds if the other is incapacitated. This is especially important for older couples or those with health concerns, providing peace of mind that finances can be managed even in difficult times. Older parents and adult children can also benefit from this setup, ensuring necessary expenses are covered smoothly.

Considerations for Shared Accounts

Sharing an account means sharing individual control over your finances. It's important to have mutual agreements about spending and to trust your partner's financial decisions. This could be a drawback for those who prefer full autonomy over their money. Having both joint and separate accounts can balance shared financial management with personal spending autonomy.

Managing money together can sometimes lead to disagreements. To avoid conflict, set spending limits and have regular financial discussions to make sure both parties are on the same page. Clear communication is key to reducing potential disputes, and consulting a financial planner or wealth advisor can also help manage joint accounts effectively. Setting clear guidelines for deposits, withdrawals, and spending means deciding together how much each person will contribute to the joint account, whether a fixed amount or a percentage of income.

Rules for Spending and Saving

This can include setting rules for large withdrawals or purchases, requiring both partners' agreement to avoid disputes. Having a mutual understanding of how the account will be managed can prevent misunderstandings and foster a cooperative approach to money management.

Aligning Long-Term Financial Goals

Align your long-term financial goals, like saving for a house, retirement, or a child's education. Setting and working toward shared goals strengthens your financial partnership and provides clear direction for your joint account. Regularly review and adjust your goals as needed to stay on track and adapt to any changes in your financial situation.

Legal Aspects

Joint accounts come with legal responsibilities, like liability for overdrafts and debts. It's essential to have clear agreements, especially in business partnerships, to avoid legal complications. Understand the legal aspects and make sure both parties are aware of their responsibilities. The Federal Deposit Insurance Corporation (FDIC) insures joint accounts, but it's important to understand the coverage limits and implications.

Joint accounts can affect both account holders' credit scores. Responsible management and regular account monitoring are crucial to avoiding negative impacts on your credit. Make sure both partners are committed to maintaining good financial habits. Any debt incurred on the joint account will show up on both account holders' credit reports, so it's important to manage the account carefully.

Understanding the Legal and Tax Implications

Be aware of the legal and tax implications of having a joint bank account. In some cases, joint accounts can affect your individual credit standing and tax liabilities. Consult a financial planner or banking advisor to understand the impact on your personal finances, and make sure you comply with any legal requirements. This understanding helps you make informed decisions and avoid potential legal or financial issues.

Tips for Successfully Managing a Joint Bank Account

Communication is key, and regular financial discussions are essential. Talk openly about your financial goals, spending habits, and any concerns you may have. Schedule regular check-ins to review your joint account and discuss any changes in income, expenses, or savings goals. Open communication ensures both partners stay on top of the account's status and can address any issues promptly. Managing a joint bank account takes teamwork, communication, and clear guidelines. Here are some tips to help you navigate this financial arrangement smoothly:

• Keep Individual Accounts for Personal Spending. Keeping individual accounts for personal spending can help avoid conflict and ensure both partners have some financial independence. Separate checking and savings accounts can complement a joint account by providing a space for individual spending and saving. This setup lets each person manage their own money separately while still contributing to shared expenses through the joint account. It also reduces potential conflicts over personal purchases and spending habits. Introducing Común.app: for those looking to keep individual accounts alongside a joint account, Común.app offers a perfect solution. With Común.app, you can easily manage your personal finances while tracking your shared expenses. The app provides a user-friendly platform for budgeting, saving, and making payments, ensuring you have full control over your individual spending. This can be especially helpful for couples who want to balance shared financial goals with personal financial autonomy.
• Use Financial Tools and Resources. Make the most of the financial tools and resources available at your bank or financial institution. Many banks offer budgeting tools, financial planning services, and wealth advisors who can provide guidance on managing joint and separate accounts. These resources can help you and your partner stay on track with your financial goals and make informed decisions.
• Set Up a Contingency Plan. Have a contingency plan in case of emergencies or major life changes. Discuss what would happen if one partner becomes incapacitated, loses their job, or if the relationship changes. Having a clear plan ensures both partners are prepared for unforeseen circumstances and can keep managing the joint account effectively.

By following these tips, you can successfully manage your joint bank account, fostering a collaborative and transparent financial partnership. Remember, the key to a successful joint account is open communication, clear guidelines, and mutual respect.

We'll show you how to manage your personal accounts in the U.S. here

Conclusion

Joint bank accounts offer numerous benefits, from simplifying finances to fostering transparency and trust. However, they also require careful consideration and clear communication to avoid potential pitfalls. Weigh the pros and cons carefully and make sure both partners are on the same page before opening a joint account. Financial situations can change, so it's essential to stay flexible and adaptable. Regularly reassess your joint account setup and make adjustments as needed. Whether it's changing your contribution amounts, adjusting spending limits, or reevaluating your financial goals, staying adaptable ensures your joint account continues to meet both partners' needs.

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What is a joint bank account?

It's a single account where two or more people can deposit, withdraw, and manage money, typically used by couples, families, or business partners.

What are the benefits of a joint account?

It makes paying shared expenses (rent, utilities) easier without constant transfers between individual accounts, and lets another holder access funds in an emergency.

What should I consider before opening a joint account?

All holders have equal access to the money, which requires trust and clear agreements about how funds are used. It's also important to agree on how to split expenses and review activity regularly.

Frequently asked questions

Who can open a joint bank account?

Generally two or more people who share expenses, such as couples, family members, or business partners.

Do all holders have equal access to the money?

Yes, in a standard joint account, all holders can deposit, withdraw, and manage the money equally.

What happens if one holder has a legal or credit issue?

It can affect the whole account; it's important to consider this risk before opening a joint account.

Is it easy to close or unlink from a joint account?

The process varies by institution; it generally requires agreement or signatures from all holders.

How do I avoid conflicts in a joint account?

By agreeing upfront on how expenses are split, reviewing activity often, and keeping open communication between holders.

Is a joint account better than keeping separate accounts?

It depends on each person's situation; many couples and families combine both: a joint account for shared expenses and individual accounts for personal spending.

International money transfers can be sent via bank wire, money transfer apps, or remittance services — each with different fees, speed, and delivery options. With Común, transfers to Latin America start at $2.99, with most arriving within minutes.

For immigrants in the United States, sending money to their home countries regularly is essential. Therefore, it is important to have access to affordable and accessible financial services.

If you want to know how to make an international money transfer, it is crucial to first compare the different providers of this service and choose the one that offers the most advantages for you and your family.

Comun stands out as a popular option among immigrants because it allows them to send money abroad from the United States, offering advantages in terms of cost, speed, and other key factors.

Below, we provide a comparison table that includes Comun and traditional financial institutions in the United States, such as Bank of America and Wells Fargo:

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How Does an International Money Transfer Work?

The first point to understand is the types of bank transfers available, as this determines the final cost of sending an international money transfer.

In the United States, there are two types of international money transfers: through traditional banks or through specialized services for sending money abroad.

International Money Transfers via Traditional Banks

• Supported by official U.S. financial institutions and security measures, including:
  
  • Identity verification (KYC/CIP) and ongoing AML monitoring (BSA).
  • OFAC sanctions screening for senders and recipients.
  • Consumer protections for remittances under Regulation E (pre-transfer disclosures, cancellation rights, and error resolution).
  • Network and messaging security standards (e.g., SWIFT Customer Security Program).
  • Multi-factor authentication and encryption for online banking access.
    
    
• A U.S. bank account is mandatory
  
  
• Operates through the SWIFT code
  
  
• Generates higher fees due to intermediaries
  
  
• Transfer time may take up to 5 business days
  
  

International Transfers via Specialized Applications

• Operates through digital networks connected with banks or physical branches in each recipient country
  
  
• Lower fees, as they do not use intermediaries and offer more competitive exchange rates
  
  
• Money transfers are completed within minutes or hours
  
  
• A U.S. bank account is not mandatory to use these services
  
  

Before paying unnecessary fees, make sure to choose the best international money transfer provider and make the most of your money.

Steps and Requirements for Making an International Money Transfer

Below, we outline what is needed to easily make an international bank transfer from the United States, whether you choose a traditional bank or a specialized application for this type of service:

1. Choose a Provider

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Some of the traditional banks you can use are Chase, Bank of America, Capital Bank, Citibank, and Wells Fargo. If you don't have a US bank account, you'll need to make sure you have the necessary requirements to open an account, such as a Social Security Number (SSN). For the aforementioned banks, you can present an ITIN instead, along with a government-issued ID.

Another factor to consider is how long an international money transfer takes, as traditional banks usually take longer due to intermediaries involved in the process.

If you prefer a specialized application for international money transfers due to the flexibility they offer compared to banks, an excellent alternative is Comun, which allows you to transfer money from your phone without complications or intermediaries.

2. Create an Account

General Requirements for Opening an Account at a U.S. Bank

• Valid passport or immigration document
  
• Social Security Number (SSN)
  
• Individual Taxpayer Identification Number (ITIN)
  
• Proof of address in the United States
  
• Some banks require an initial deposit of approximately $25 USD
  Depending on the bank, you may open the account online or by visiting a branch for data verification.
  
  

Requirements for Opening an Account with Comun

• Mobile phone compatible with Android or iOS
• Email address
• Official foreign identification
• Have a US residential address
  
  

In both cases, you will have access to a debit card and a mobile application that will allow you to make international money transfers and other transactions from the palm of your hand.

3. Enter Transaction Details

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Once you activate your account, enter the information required for an international money transfer:

• Full name of your recipient, as it appears on their official ID
  
• Recipient’s phone number
  
• Recipient’s address (only if sending money to a bank account)
  
• Recipient’s account number (only if sending money to a bank account)
  
• SWIFT code (if transferring through a traditional bank)
  
  

Then, enter the amount you wish to send.

Comun and other specialized applications also allow cash pickup at physical locations, so your recipient does not need a bank account.

4. Review Costs and Rates

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Next, review the international money transfer fees as well as the exchange rate, as these will impact the final amount your recipient receives.
The cost of an international money transfer depends on several factors, which we detail below.

5. Send the Money

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Once you confirm that the information entered is correct, authorize the transfer, including any additional fees.

Comun allows you to track your transfers through its application, whether you choose to send money to a bank account or opt for cash pickup at a physical location.

Remember that transfer speed depends on the platform, and traditional banks can take up to 5 business days to complete these transactions.

6. Confirm Receipt

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Finally, confirm with your recipient that the transfer was received within the stipulated timeframe. You can generate a transaction receipt directly in the mobile application.

Everything About the Cost of Sending Money Abroad from the U.S.

International money transfers are a common practice among immigrants in the United States.

That is why it is essential to detail the factors that influence the cost of transfers, as well as the best options for sending remittances to your family quickly and without complications.

These are the main factors to consider when calculating the cost of your international money transfers:

• Transfer Fees

International transfers incur a fee, which varies depending on the platform, whether it's a traditional bank or a specialized app.

Another factor that affects the fee level is the method used to send the money. The price can vary depending on whether the transaction is made through a website, an app, or at a physical branch.

International money transfer fees at traditional banks vary depending on the financial institution. Here are some examples:

• Bank of America: $45 USD
• Wells Fargo: from $25 to $40 USD 
• Citibank: from $25 to $35 USD 
• Truist Bank: $65 USD

On the other hand, some mobile applications offer international money transfer options for less than $3 USD, which is much more beneficial for the economy of foreign workers.

• Exchange Rate
   

The exchange rate also significantly impacts the final amount your recipient receives. It refers to the value applied by the platform when converting the dollar amount to the local currency.

Traditional banks generally use a lower rate than the official rate. For example, if the Mexican peso is officially 18.00, banks might apply approximately 17.20 MXN.

This means that if you send $300 USD, your recipient could receive about $13 less (240 MXN less), not counting the bank fees, which make the cost even higher.

• Hidden Fees

In addition to international money transfer fees, traditional banks may charge additional fees if intermediary banks are involved in processing the transfer.

We recommend checking all costs involved and choosing a competitive option that does not reduce the total amount your family will receive.

Comun is an excellent alternative for making international money transfers, as your first transfer fee is waived, and subsequent transfers have a fee starting at $2.99 USD per transfer, up to applicable limits, with no hidden fees or intermediaries.

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Review our comparison table between traditional banks and Comun at the beginning of this article, and choose the best option for your money.

Want to Make Secure International Money Transfers? Do It Easily with Comun

In this article, we presented how to make an international money transfer from the United States through traditional banks or specialized applications such as Comun, an excellent choice for immigrants.

Comun is the solution for bringing immigrant families closer together through affordable and low-cost remittances.

Why Choose Comun for International Money Transfers?

• Easily open your account with official documentation from your country
  
• Send money to your family with a transfer fee starting at $2.99 USD, up to the applicable limits.
  
• Your money will arrive within minutes
  
• Access a mobile application and Visa debit card for better control of your finances
  
  

Discover an easy and fast way to access the financial services you deserve. Open your account with Comun and forget about complications.

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What are the main ways to send money internationally?

Bank-to-bank wire transfers, dedicated money transfer apps, and remittance services are the three main options, each with different costs and delivery times.

What should I compare between international transfer options?

The fee, exchange rate, delivery speed, and whether the recipient needs a bank account or can pick up cash.

How does Común handle international transfers to Latin America?

Transfers start at $2.99, with your first transfer at no cost. Delivery options include bank deposit or cash pickup at locations like Elektra and Oxxo in Mexico, with most transfers arriving within minutes.

Frequently asked questions

What's the cheapest way to send money internationally?

It depends on the corridor and amount; always compare the fee AND the exchange rate, since a low fee can hide a worse exchange rate.

Do I need a bank account in the destination country to receive money?

Not always — some services, including Común, offer cash pickup options that don't require a bank account.

How long do international transfers usually take?

It varies by method — bank wires can take days, while modern remittance apps like Común often deliver within minutes.

Are international money transfers safe?

Yes, when using a licensed provider that's transparent about fees and exchange rates before you confirm.

What information do I need to send an international transfer?

Typically the recipient's name, destination country, and either their bank account details or pickup preference, depending on the method.

Does Común charge for international transfers?

Fees start at $2.99 per transfer, with your first transfer at no cost.

ITIN vs SSN: What's the difference and why does it matter?

If you are authorized to work in the United States, you need a Social Security Number (SSN). If you are not eligible for an SSN but still need to file taxes or access certain financial services, you may need an Individual Taxpayer Identification Number (ITIN).

If you recently moved to the United States, you have probably heard the terms 'ITIN' and 'SSN' many times already. They often come up when opening a bank account, filing taxes, applying for work, or trying to build credit.

Understanding the ITIN vs SSN difference matters because each number serves a different purpose in the US financial and tax system.

What is an SSN?

A Social Security Number (SSN) is a nine-digit identification number issued by the Social Security Administration. It is primarily used to track earnings, taxes, and eligibility for certain federal benefits.

SSNs are generally issued to:

• US citizens
• Permanent residents
• Certain noncitizens authorized to work in the US (for example: people with work visas, some asylum applicants or refugees)

An SSN is required for legal employment, payroll reporting, and access to some government programs.

What is an ITIN?

An Individual Taxpayer Identification Number (ITIN) is a tax processing number issued by the Internal Revenue Service, known as the IRS. ITINs are designed for people who are not eligible for an SSN but still have US tax filing obligations or need access to certain financial services.

An ITIN can be used by:

• Immigrants without SSN eligibility
• Dependents or spouses of US residents or visa holders
• International students or temporary visa holders in certain situations
• Individuals required to file US taxes

It is important to note that an ITIN does not authorize someone to work in the United States.

ITIN vs SSN Comparison Table

Which one do I need?

You need an SSN if:

• You are a US citizen
• You are a permanent resident
• You are legally authorized to work in the United States
• Your employer requires it for payroll and tax reporting

You may need an ITIN if:

• You are not eligible for an SSN
• You still need to file taxes in the United States
• You want to access and open financial accounts
• You want to begin building a financial history

Many recent immigrants apply first for an ITIN while they are still navigating the US financial system or while they're waiting for changes in their work authorization status.

Can I have both an ITIN and an SSN?

Yes, in some situations a person may have both at different stages of their life. For example, someone may initially receive an ITIN because they are not eligible for an SSN at the time. Later, if they become eligible for work authorization or permanent residency, they may receive an SSN. When this happens, the SSN becomes the primary identification number used for taxes and financial reporting.

What can I do with each?

An SSN can be used to:

• Work legally in the United States
• Receive wages through payroll systems
• File taxes
• Access certain federal benefits if eligible
• Open debit card and checking accounts
• Apply for loans and credit products
• Build credit history

An ITIN can be used to:

• File taxes with the IRS
• Open debit card and checking accounts at institutions that accept ITINs
• Build credit with lenders that report ITIN activity
• Establish financial history in the US

Can you work with an ITIN?

An ITIN itself does not authorize employment in the United States. It is primarily a tax identification number used for IRS reporting purposes.

Does an ITIN build credit?

An ITIN may help some people begin building credit history in the United States. Certain banks, lenders, and financial platforms report account activity linked to ITINs to credit bureaus. Policies vary by institution.

How can I apply for an ITIN?

Applying for an ITIN generally involves submitting:

• A completed IRS Form W-7
• A valid federal tax return (unless you qualify for an exception)
• Proof of identity and foreign status

The IRS may request original documents or certified copies depending on the situation. Processing times may vary.

How can I apply for my ITIN with Común?

If you need or want help with the application process, Común offers ITIN application support for $199 with a money-back guarantee if the application is not approved. Visit comun.app/itin to learn more.

Requirements to apply for an ITIN with Común:

• You must live in the U.S.
• You must have a valid passport with an expiration date more than 6 months from the date of your application
• You will need to file your taxes to apply for an ITIN

The process:

• We recommend you open a debit account with Común from your mobile phone
• Complete the application form at comun.app/itin and submit your payment
• Upload a scan of your passport
• If you choose to file your taxes along with your ITIN application, upload documentation of your income from the previous tax year
• Común's agents will contact you via email if they have any questions
• Print, sign, and submit your completed official ITIN application (Form W-7)
• Común's agents will submit your application to the IRS

The application process does not consider your immigration status, and your status will not be reported to any government immigration authority.

Open your Común Account

A debit account can be a great first step to building your financial future in the United States. Común allows customers to open a debit account using ITIN, passport, country-of-origin ID, or more than 100 accepted Latin American valid IDs. You can open your Común account from your phone. The app is available in Spanish. Visit comun.app to learn more.

FAQ

What is the difference between ITIN and SSN?

An SSN is issued by the Social Security Administration primarily for employment, taxes, and federal benefits eligibility. An ITIN is issued by the IRS for people who are not eligible for an SSN but still need to file taxes or access certain financial services.

Can I have both ITIN and SSN at the same time?

In some situations, yes. A person may first receive an ITIN and later become eligible for an SSN. Once an SSN is assigned, it generally becomes the primary number used for taxes and financial reporting purposes.

Can I work legally in the US with an ITIN?

An ITIN alone does not authorize employment in the United States. It is primarily used for tax identification and reporting purposes through the IRS.

Do I need an SSN to open an account?

Not always. Some financial institutions, including Común, allow customers to open debit accounts using an ITIN, passport, or other forms of identification.

How do I apply for an ITIN?

Applying for an ITIN generally requires completed IRS Form W-7, identity documentation, and a filed federal tax return. The IRS may also request certified supporting documents.

How long does the ITIN application take?

Processing times can vary depending on the time of year and the completeness of the application. In many cases, ITIN applications may take several weeks to process after submission to the IRS.

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