Migrosbank has notified its American customers in Switzerland that it will only continue its banking services for them if they sign an IRS W-9 form; the W-9 form is a required document for US citizens owning US securities, such as stocks or bonds of US companies. Providing the US citizen agrees to sign, then, in addition to the current account or savings account that the customer actually wants, Migrosbank will open a securities account and purchase one share of General Electric stock, with the customer's money charging normal fees. Migrosbank will also require the US citizen customer to sign a document relinquishing his/her rights under Swiss bank customer privacy laws.

I have had a rental deposit account at Migrosbank for years and have been notified to sign the W-9 and the second document described or they will close the account. Since I only have a rental deposit account there, it makes no sense for me to continue with Migrosbank.

My advice to US citizens, or anyone else in Switzerland who is taxable in the US, is to avoid Migrosbank. It's not worth the effort.

And my advice, Curt, is to please:

- Write your senator or congressperson, explaining how the misguided FATCA legislation has hurt the interests of Americans abroad - which will ultimately hurt the US economy. This is where your anger should be directed, not to the foreign finacial institutions left trying to figure out whether American customers are worth the hassle and expense that the US government unilaterally imposes.

- Please relate your story to the Americans Abroad Caucus, again detailing how damaging FATCA is to honest american taxpayers living abroad:
http://www.aca.ch/joomla/index.php?o...d=47&Itemid=74

- Please get involved with ACA:
http://www.aca.ch/joomla/index.php

- Please see this thread, and relate your story to the journalist covering the issue.

US citizens with Swiss bank issues

ZKB also requires Americans to sign the W9 form. I think Americans are going to find it very difficult to find any bank here that is willing to let you go without these forms these days.

I agree you should write your congressman or congresswoman.

What's the problem with W-9?

and are you sure you have to pay for that GE share? There was another thread on EF about Migros Bank and I thought the details were different...

I didn't think that Americans living abroad HAD congressmen/women.... or senators.

You register to vote where you had your last US address so I would assume that those are also the representatives and senators you would write to...

You are not going to get a better/different experience else where. In fact, some banks are just refusing American clients all together. From what I hear on the wire, PostBank could be your only option (and even then you could be counting the hours).


Yes. Or where you were last resident/last paid taxes.

I thought Migrosbank was one of the only banks left we could go to...


2017 can't get here soon enough! Why couldn't I have married well and before the law changed so I could do like Michele Bachmann !

You do in theory, at your last physical address in the US. I believe that Democrats abroad are also working on an idea for representation for people outside the US, perhaps with a senator from NY. But.....who knows?

@ NicoleCZ: what happens in 2017???

I'm guessing she gets the little red booklet?

Yes. They still have to represent you. it's just a matter of what do you want to call "home". You still have the right to representation in Congress.
I kept my "home" at my last address in the US, and wrote to my Representative and both of my Senators. WE have to make them aware that these laws made to go after 1% are affecting the rest of us.

Here's the response I got from one of my Senators just today.


Dear Mr. Französisch,

Thank you for contacting me regarding support for revisiting provisions in The Foreign Account Tax Compliant Act (FATCA) due to your difficulties banking in Switzerland. As we work in the Senate to meet the enormous challenges facing this country, including efforts to strengthen our economy, create new private sector jobs, reduce the federal deficit and establish energy independence, your views and those of your fellow Virginians are very important to me.

I am honored to serve Virginia as your United States Senator. My top priority in the Senate is to provide efficient and effective constituent service to all Virginians. Please be sure that my office will review your comments carefully as I consider and vote on relevant legislation.

Again, thank you for contacting me. For further information or to sign up for my newsletter please visit my website at http://warner.senate.gov.


Sincerely,
MARK R. WARNER
United States Senator

Banks - Americans should avoid it (and have only their own country to blame).

I have marked all template stuff in pink so that you may quicker read the personal content, ain't I nice?

This is very sad indeed...America is "throwing the baby out with the bath water," so to speak. I only use my Swiss passport and NEVER use my American passport except when going to USA. However, I am considering giving up my USA blue book in the coming years, not just because of the tax situations but for a number of reasons.

The gentleman from Facebook, Eduardo Saverin, who recently gave up his US citizenship, well, the politicos in the USA are starting to make a big stink about it. The article is here.

My thoughts exactly. You need to fill this out when you open a bank account in the US anyway

It just gives them your SSN so they don't have to do any withholding. If you're properly reporting the interest, there's no issue.

FATCA is pushing withholding and reporting responsibilities onto foreign banks. While I agree that's not the right policy, as an account holder, I don't see an issue.

You should be thankful that Migros is actually complying and doing this. It takes additional resources for them to get the W-9/W-8 and generate the 1099-INTs. They could've simply just closed your account and wave goodbye.

Sorry but how exactly does making Americans abroad pay taxes to the US Government "ultimately hurt the US economy"?. If they weren't paying before since they were abroad, and now have to, means more dollars for the Federal coffers, and thus more money for using in the US for whatever spending programs, that generate money for the economy. It's a no-brainer, if a bit buccaneering.

Yeah, as you said - it's a no brainer. Going after the elusive 1% tax evaders is going to make living abroad nigh impossible for the 99% others. Which in turn will eventually mean LESS money for the US coffers...

Not if they're starting from nil, which is the case.