Before you start

Passport, with visa and I-94 where applicable
A Tennessee residential address
An SSN or ITIN if you have one; a passport number if not
An opening deposit, which varies by institution

Step-by-step

1
Open a checking account in branch
Bring your passport, Tennessee address and SSN or ITIN if issued. Federal Customer Identification Program rules allow a passport number and country of issuance in place of a taxpayer number for non-US persons.
In personWho: YouWeek 1
2
Mention a pending ITIN if you have no SSN
Banks may open accounts for people who have applied for but not yet received an ITIN. File IRS Form W-7 and keep the receipt.
In personWho: You
3
Consider a local bank or credit union
First Horizon is headquartered in Memphis and there is a deep credit-union sector, including institutions serving FedEx and the hospitals. Both tend to be more flexible with thin files than the national banks and price loans better.
In personWho: You
4
Budget the MLGW deposit alongside the rental deposit
The utility will normally ask a customer with no established credit for a refundable security deposit covering all three services. It is returned after a period of on-time payment, but it competes with the rent deposit and the car in the same fortnight.
OnlineWho: YouWeek 1
5
Set up direct deposit
Give payroll your routing and account numbers. Direct deposit waives the monthly maintenance fee on most US checking accounts.
Via employerWho: You and your employer
6
Open a secured credit card in month one
Post a deposit, typically $200–500, and get a card with a matching limit reporting to all three bureaus. Age of history matters as much as behaviour, so starting early beats starting large.
OnlineWho: YouMonth 1

Documents you’ll need

Passport, with country of issuance serving as the identifying number if you have no SSN or ITIN
Visa and I-94, where applicable
SSN card or ITIN letter, if issued
Proof of a Tennessee address
Employer offer letter, accepted by some banks as supporting evidence

Things most newcomers don’t know

Here the utility is your first credit test, not the lender.

Because MLGW supplies all three utilities and asks for a deposit from customers with no US credit history, the cost of a thin file lands in week one rather than in year two. Paying that bill on time is also one of the fastest ways to establish a payment record locally, so keep it in your own name from the start rather than a housemate's.

Source: Memphis Light, Gas and Water

Federal rules let a bank take your passport instead of an SSN.

The Customer Identification Program rule accepts a passport number and country of issuance for non-US persons. Branch staff frequently do not know this; escalate to a manager or try a credit union rather than waiting months for an SSN.

Source: FFIEC BSA/AML Examination Manual — Customer Identification Program

No credit history is treated worse than bad credit history.

US underwriting scores a file, and a file that does not exist cannot be scored. A well-paid newcomer can be declined for an apartment, a car loan and a phone contract in the same week — and asked for a utility deposit on top.

Source: community-reported

Carrying a balance builds interest, not credit.

Scores respond to on-time payment and low utilisation, not to interest paid. Paying in full each month builds history identically and saves a rate above 20% APR.

Source: Consumer Financial Protection Bureau — credit cards

Common mistakes to avoid

Waiting for an SSN before trying to open an account, when a passport is often enough.
Not budgeting for the MLGW deposit in the same month as the rent deposit.
Putting the utility account in a housemate's name and losing the payment history it would have built.
Financing a car in month one with no credit file and accepting a punitive rate.
Paying an avoidable monthly maintenance fee by never setting up direct deposit.

Some of this may be out of date. Spotted something inaccurate? Help us keep it right for the next newcomer.