BANKING, CHECKS, BUDGET
Opening a bank account:
One of the first things you may want to do after arriving in San Marcos is to open a checking account at a
local bank. A bank account will assure the safe and quick deposit of foreign checks and will free the
student from carrying cash. Most people in the United States do not carry large sums of cash on their
person or keep large amounts in their home. Cash is easily lost or stolen and seldom recovered. Cash
and foreign checks should be deposited in a bank at the earliest possible time.
Once you sign up for a checking account, Banks provide monthly and/or online records of individual
transactions from the checking account, thus allowing easy tracking of one’s finances.
Investigate various banks before choosing which one you wish to use, as all banks have different charges
and fees for services. You should read the small print carefully before signing up with any bank.
The most convenient bank may be Wells Fargo simply because it is on campus; there is a Wells Fargo
located in the LBJ Student Center on the 2nd floor with an ATM in the 2nd floor lobby.
When the Student Center is closed on holidays or some weekends, you can still go another Wells Fargo
bank that is downtown in San Marcos, within walking distance from campus.
Several banks have locations within walking distance of campus. Here is their contact information:
Bank of America
308 E. Hopkins Dr.
512-353-5857
www.bankofamerica.com
Broadway Bank
301 N. CM Allen Pkwy
512-396-2468
www.broadwaybank.com
Compass Bank
300 S. LBJ Dr.
512-754-8800
www.compassweb.com
Frost Bank
231 N. Guadalupe
512-393-5600
www.frostbank.com
Ozona National Bank
141 W. Hopkins
512-754-2600
www.ozonabank.com
Wells Fargo
123 N. Edward Gary
512-396-2525
www.wellsfargo.com
You will need to ask each bank to find out exactly what you need to open an account.
Savings or investment accounts (which can be opened along with your checking account) are used to
hold money that won’t be used immediately. Such accounts bear interest, which may be taxable. Some
savings or investment accounts have penalties for withdrawing funds before a fixed amount of time elapses
but many will allow holders to withdraw or transfer funds to other accounts at any time without penalty
Checks are typically used to pay monthly bills like rent, telephone, and electricity or certain retail purchases
if accompanied by identification. After you open a checking account, you will be given numbered checks
preprinted with your name, address, account number, and perhaps your telephone and driver’s license
numbers. You may then write checks against the balance in your account. When the check is received at
the bank, the amount is deducted from your balance. It is important to keep a record of how much you
spend and how much you have in the bank. It is a serious matter to write a check without having sufficient
funds in the account. In addition to various fees the bank will charge, the individual may suffer serious
financial consequences and may be subject to legal action.
To help prevent identity theft, NEVER write your social security number on your check. (see
www.consumer.gov/idtheft for more information). How can someone steal your identity? By using your
name, Social Security number, credit card number, or some other piece of your personal information for
their own purposes. So be careful to protect your personal information!!
Writing Checks Correctly:
It is very important to know how to write a check correctly. This page explains the process.
Please study it carefully.
Remember to ALWAYS write your check using a pen. NEVER use a pencil. A check written in pencil could
tempt someone to change amounts on the check.
Automatic Teller Machines (ATM)
Basic banking, such as deposits, transfers and withdrawals, is available 24 hours a day at computerized
banking machines (ATM machines) at most banks. These machines can be found throughout the city. It is
recommended to only use ATM’s located in safe and secure places indoors and to avoid making
withdrawals after dark.
Obtaining Cash/ Using Cards
Most banks issue cards to be used by automated teller machines (ATM’s). You may use these cards to
withdraw money from your checking or savings account instantly from conveniently located machines
available 24 hours a day. However, there may be a small fee for using ATM’s that are not owned by your
bank. To use an ATM card, you will need to have a Personal Identification Number (PIN) which is issued by
your bank. Never share this number with anyone and take care not to lose your card. If you do, notify the
bank immediately.
Credit Cards:
Credit cards are used often in the United States but are sometimes difficult to obtain for international
students and scholars who have not yet established good credit in this country. For this reason, some
students and scholars choose to apply for credit cards in their home countries rather than in the United
States. Major credit cards in the United States are Visa, Mastercard, American Express and Discover, but
businesses do not always accept all cards. Credit cards issued by department stores or oil companies are
usually easier to obtain and can be used to establish credit. It may be important to have credit cards for
emergency expenses but one should use caution in using credit cards as a means of postponing payment
for purchases. Almost all credit cards charge interest, which may range from 12% to 22% per year. If a
credit card is lost or stolen, it is important to file a report with the police and notify the company that issued
the card immediately.
Identification:
Most stores require at least one kind of identification before accepting your check. The most common form
of identification is a driver’s license, but a passport is sometimes acceptable. If you do not have a driver’s
license, consider getting a Texas Identification Card from the Department of Public Safety. Your Texas
State ID is also useful for identification purposes on campus.
Money in the U.S.:
U.S. Coins & Currency - The U.S. dollar is divided into 100 cents. The symbol used are $ (dollar) and ¢
(cents). U.S. coins do not have a numerical designation on them. The coins currently in use are:
cent or penny
1¢ or $0.01
nickel
5¢ or $0.05
dime
10¢ or $0.10
quarter
25¢ or $0.25
half dollar
50¢ or &0.50
U.S. bills come in denominations of $1, $2 (rare) $5, $10, $20, $50, and $100.
Budgeting Your Money:
You should prepare a budget within a few days of arrival. Calculate very carefully the funds you have
available and the amount you will spend each month. Try to set aside some money for unexpected
expenses. Adjust your budget, as you become more familiar with the actual expenses you are incurring. If
you find that your anticipated expenses will be more than your anticipated income, the time to start solving
the problem with your sponsor is now rather than after your funds are expended. Tuition and fees for the
next semester will be due prior to the end of the current semester. Allow extra time for foreign currency
exchange, scholarships and loans to be processed.
Expenses Often Overlooked
Overnight lodging Hotel rates in big cities tend to be quite high.
Tips on taxi fares and restaurant meals It is customary to add 15% to the bill.
Winter clothing Warm clothing, including a heavy coat and boots, can cost more than $200.
Deduction from assistantships and other awards for federal and state taxes Up to 30% will be
deducted from some stipends by the federal and state governments.
Personal and household items Cell phone service set-up fees and deposits will be high compared to the
usual monthly costs of an already-established service. In furnished and unfurnished apartments, tenants
have to provide linens, towels, kitchen utensils, etc.
State and local sales taxes on goods or services Consumer taxes vary from state to state and range
from 1% to 8% (in Philadelphia 7%).
Security deposit When renting an apartment off-campus, the tenant has to pay three months' rent before
moving into the apartment. Payments must be made by check or money order, not credit card.
Here is a helpful budgeting worksheet to help you learn how much money you might want to use.
BUDGET WORKSHEET
INCOME (List the actual amount available for twelve months.)
Savings
$__________
Family support
$__________
Scholarship
$__________
Employment
$__________
Other
$__________
Total income for the year
$_____________
EXPENSES (List anticipated expenses for twelve months.)
Tuition and fees:
Fall
$__________
Spring
$__________
Summer
$__________
Books:
Fall
$__________
Spring
$__________
Summer
$__________
Living Expenses:
Rent
$__________ /month x 12 = $________
Food
$__________ /month x 12 = $________
Laundry and Cleaning $__________ /month x 12 = $________
Transportation
$__________ /month x 12 = $________
Car Insurance
$__________ /month x 12 = $________
Entertainment
$__________ /month x 12 = $________
Personal Expenses
$__________ /month x 12 = $________
Total expenses for one year
$_____________
Difference between income and expenses
$_____________
Here is an estimate of the cost of attending Texas State for an International student per year:
http://www.international.txstate.edu/pros_students/tuition.html