Before You Come to Caltech

Banking

Checking Account | Savings Account | Credit Card | Direct Deposit Payment | Finding a Bank

As a resident of Southern California you will need to pay for your bills, including things like rent, food, utilities, etc. The best place to store your money is in a bank or credit union.  These financial institutions offer a variety of services including Automatic Teller Machine (ATM) cards, electronic bill pay and wire transfers.  Caltech has its own credit union as well as an informal relationship with several area banks.

To open an account you do not need a social security number.  You will need to bring your passport, Caltech ID, and sometimes an address verification (a rental agreement, utility bill or letter from your landlord should suffice). 

There are different types of accounts:

Checking account

A personal checking account is safe and convenient way to manage your money. Instead of carrying large sums of cash around, most people put their money in a checking account. Almost all Caltech employees have their pay directly deposited into their checking accounts. For purchases, most merchants will accept a personal check but will ask for proper identification. A California driver's license or a California identification card will be sufficient for check purposes. Never use your social security number as personal identification under normal circumstances.

Many banks offer a debit card in conjunction with a checking account. A debit card allows you to do banking transactions at an ATM machine, and make purchases directly out of your checking account, usually on the same day. It is important to make sure that you have enough money in your checking account to cover the checks you have written and the ATM/debit card transactions you have made as banks normally charge a hefty fee for insufficient funds in an account. Banks also charge a fee for ATM transactions made by a customer of another bank so it is important to limit your transaction to ATM machines that are operated by your bank. Most checking accounts offer an on-line banking feature which allows you to do banking transactions and pay bills using the bank's web site. Having a checking account with a bank also makes international wire transfers easier. There are usually fees involved, one for the bank emitting the funds and one for the bank receiving the funds (range from $30 and up.)

Savings Account

Money in a savings account is for safe keeping purposes and earns interest from the bank. Many banks required a minimum balance in a savings account. Withdrawals from savings account are made at the bank.

Credit Card

A credit card account helps people establish credit. The term "credit" used here means a history of how a person handles financial responsibilities. A good credit rating is given to people who pay their bills on time, a poor credit rating is given to people who are not so responsible. In the US, companies use the credit rating system to evaluate risk. For example, a bank will give a car loan to someone who has a good credit rating and reject a loan application from someone whose credit rating is poor.

The best way to establish credit is by having a credit card account. Since you are new in the US, the best place to apply for one is through the Caltech Credit Union. As a postdoctoral scholar at Caltech, your affiliation gives you an advantage. The credit union offers lower interest rates than most banks and normally authorizes a $1,000 credit line for postdoctoral scholars. Please check out the Caltech Employees Federal Credit Union web site for information. Another good way to establish credit is to open a credit account with a department store like Target.

Purchases made using a credit card are not paid out of your funds immediately. The credit card company will bill you at monthly intervals. You normally have from 10 to 20 days grace period to pay your bills. The best way to manage a credit card account is to always pay the balance in full before the due date. Because the credit card companies are basically paying for expenses in advance, they charge high interest rates on unpaid balances.

To get a credit card account with a bank, since most postdoctoral scholars have not established an American credit history, the bank may require a $300 deposit in the checking account as a security collateral for a credit card. Typically after 12-18 months, the bank will waive this requirement. As you establish a good credit history, the credit line limit (the maximum amount a card holder can charge against the account) and the interest rates (the rate the bank charge on unpaid balances) on the account can be negotiable. You can request a higher credit line and/or lower interest rate on your account.

Direct Deposit Payment

For your added convenience, Caltech employees are eligible to participate in the Automated Payroll Direct Deposit system. Employees who have a savings or checking account with almost any bank or financial institution in the United States are eligible to participate.
When you choose to participate in the direct deposit program, your pay will automatically be credited each payday to your personal checking or savings account. In lieu of a paycheck, you will receive an earnings statement which reflects the same information that would have been shown on your paycheck stub. For more information about the Direct Deposit and the process to fill the form.

Finding A Bank

Caltech Employees Federal Credit Union
Caltech has its own credit union. As Postdoctoral Scholars, you and your immediate family are eligible to join.  The credit union’s savings rates are among the best in the area, but it does not provide checking accounts.  The start up fee is $0.25, with a $5 minimum for account startup.  ATM cards have a yearly fee of $10. Call (626)395-6300 for details on starting an account or visit CEFCU 

Local Area Banks
Caltech has an informal relationship with several area banks close to the intersection of Lake Ave. and Colorado Blvd, within walking distance of campus.  They all provide services to international scholars, with checking and savings account and ATM/debit cards (debit cards work like credit cards, but the money is deducted directly from your checking account).  Sometimes a Caltech direct deposit is required to keep the account free.  You should check with each individual bank for minimum initial deposit requirements.

Wells Fargo    
82 South Lake Avenue.                                      
Pasadena  91102
626-449-8611

1739 East Colorado Blvd                        
Pasadena  91106
626-578-7820

Chase Bank      
860 East Colorado Blvd.
Pasadena  91101          
626-795-5177                                        

Bank of the West    
587 East Colorado Blvd.
Pasadena  91101
626-564-4000

Citibank                                                            
285 South Lake Avenue
Pasadena 91101                        .                                  
800- 627-3999

Union Bank of California    
70 South Lake Avenue
Pasadena 91101
626- 683-5500                                                

Bank of America   
880 East Colorado Blvd
Pasadena 91106
626-304-3120

City National Bank
89 South Lake Avenue
Pasadena, CA 91101
626-432-7100

If you need more information, please contact Barbara Avouac.