I think I am reading unfamiliar jargons but I shall try to describe them in my context, and hopefully you can assimilate these services to a name familiar to you.
Where I come from, when we open an account with a bank, it will provide its account holders with an ATM card and check book. We use the ATM card to withdraw money from the specific Bank's ATM and pay for most of our purchases e.g. supermarket, shops etc. without tax and service charges except the 4D and TOTO (I shall not comment further on this matter). Credit cards on the other hand are used to pay for services or goods not payable via ATM cards. For example meals at restaurants. These days credit cards are accepted in most shops that ATM cards are used solely for money withdrawal. The local banks are aggressively promoting their offers with a lot of goodies and gifts with a number of points accumulated. I presume that promotions are a lot more interesting in NY, correct?
Whilst I have no experience withdrawing cash from ATM using my credit card, I do believe there is a charge imposed for every withdrawal. So, unless you are a tourist, no locals would use credit cards for withdrawals because we have the ATM card. Which brings me to my question. What is a checking card? Is it equivalent to my understanding of ATM card? Does the credit card providers in NY impose charge for ATM withdrawals?
Here is another extract from
CMU:
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New Bank Account
In US, you have many choices when it comes to opening a bank account. There are Commercial banks, Saving & Loans (also called Thrifts) and Pure Internet Banks. Again, choosing a bank involves trading off several factors such as:
Convenience: can I withdraw/deposit money easily? Interest rates and service charges: In general, the larger commercial banks tend to have lower savings interests and higher service charge. Thrifts and online banks tend to give higher interest rates and many free services. Risk: People generally associate smaller banks or online banks with higher risk. In US, all regulated banks are monitored by their respective federal agencies and are mandated by law to offer their depositors with a deposit insurance of up to US$100000 per account. So, before opening an account (especially with an online bank), make sure the bank is a regulated one.
[In NY, there are plenty of big commercial banks.] If you'd like to find out more about each bank, you could either look up their websites or make a trip down to the bank and talk to their account managers. [This is not my cup of tea, which banks have some of you guys and gals selected?]
If you're also interested in other banks such as the smaller thrifts, you can look up the Yellow Pages for more information. [Sounds interesting, what are your experiences? Care to name the few online ones?]
It is not advisable to carry too much cash. IMO, using Traveler's Checks and your country-based credit card is good enough to tide over the first couple of months. To open a bank account, you can either use cash, traveler's checks or a money order. The caveat for using a money order is that you will not have immediate access to your cash; it usually takes about a week to 9 business days. Once you have an account you can always wire money from your country when you need, but costs are rather high (about US$40 + local charges per wire transfer).
Using a Check Card
If you open a checking account, you will be given a Check Card (aka ATM card in Singapore). However, in reality they worked somewhat differently. When you make payment with your ATM card using NETS, your transaction is logged and reflected in real time at the ATM machine. Over here, this is not true especially if you make a transaction on weekends. To illustrate, imagine I have $50 in my check account. On a particular Sat, I went shopping at Guess and fell in love with a $100 dress. Thinking I have $150 in my checking account, I decided to pay using my checking card. Then, I went to the ATM machine to check my balance (which still shows $50 because the last -$100 transaction has not been reconciled with the bank yet) and withdraw $20 so I can buy dinner. Note also that unlike ATM cards, a Check Card can be used even when you have negative amount in your bank - the only thing is the bank charges you for every overdraft item you make!
Credit History
In US, every individual with a social security number can be tracked in terms of how well and prompt they have been in paying their bills (rent, utilities, phone, magazines, credit cards, etc.). When you do not pay your bills, your creditor will report to a credit bureau who will then make this information available to companies that are interested in your credit history. A good credit history is important, not your earning power, if you plan to take a loan, buy car insurance or apply for credit cards.
Credit Cards and Loans
As a new resident with no credit history, it can be a challenge to get a credit card or to apply for a loan (such as buying a car). Fortunately, Citibank and
CMU offer student cards to students who are receiving some form of income (stipends included) [Similarly for CUNY I suppose?]. They usually set up a booth during the first few weeks of each semester. Initially, your credit limit will be extremely low but that increases rapidly after a year if you maintain a good credit history with them.
For students that do not receive stipends and are not getting a US-based income of any form, the tendency to be rejected for a credit card application in your first few months here is higher. Some students eventually get an application through but in case of rejection, you should use your country-based credit card as a backup.
