A Social Security number (SSN) is a numerical identity assigned to US citizens and other residents in order to track income and benefits. The Social Security Number was established as part of the New Deal in 1935. The Social Security Administration issues Social Security Numbers. This is difficult to comprehend why so many popular investing applications require a social security number when getting started with investments. There is reluctance to submit this identifying detail due to concerns about the safety implications of disclosing this number to other companies. Apps that provide basic advice on investing approaches, in general, do not require a social security number. If you are allowed to make trades, you will almost certainly be requested to enter your social security number. 

But, apps such as Firstrade, that enable non-US citizens to trade, are an exception to this rule. So, in this article, we will go into detail on why your social security number is necessary by investing apps.

Open an Investment Account Without The Need Of A Social Security Number

Numerous people want to invest in the stock market but they lack the necessary documentation to do so. One will be unable to access several popular investment programmes like Robinhood, TD Ameritrade, Webull, and others without a social security number.

Firstrade

Another alternative is to go into Firstrade. Even if you do not have US citizenship, are not a permanent resident, as well as do not possess a social security number or an Individual Taxpayer Identification Number (ITIN), you can open an international account. They provide a comprehensive range of investment products such as stocks, ETFs, options, and mutual funds. Its app is extremely user-friendly, has educational tools for beginner traders, and offers trading from 8:00 AM to 8:00 PM EST. 

It offers various amazing perks that their consumers like, and they are incredibly competitive even from other renowned investing apps. Some people enjoy dealing with Firstrade as they provide money saving advantages like $0 commission on all trades, $0 options contract charge, No deposit minimum, and No hidden expenses. 

Why Are Social Security Numbers Required For Investment Apps?

You will have a difficult time discovering legitimate investment apps that do not need a social security number. All investing companies must gather this data in order to identify users on their platform. It’s important in assisting them in upholding the Patriot Act’s trading regulations.

It also extends beyond simply knowing who is engaged on their trading platform. Investing applications are required to report to the IRS at the end of the financial year. It implies they will require your social security number to connect you to the gains and losses you experienced over the year. It is necessary to provide your social security number for tax reasons. 

Is It Possible To Open An Investment Account Without A Social Security Number?

If you were not born in the US but would like to invest in some of the popular apps, the best part is that these investment applications can still be used without a social security number. In its stead, you will require an Individual Taxpayer Identification Number (ITIN). This substitute for a social security number nevertheless makes you liable for paying taxes on earnings, losses, and dividends at the end of the year. Please remember that applying for a brokerage account without a social security number may be limited. 

If you use an ITIN rather than a social security number, several brokerages and investment apps will demand a paper application. Even if you do not have an ITIN, you may be able to invest on popular platforms such as Firstrade. This website allows non-US citizens and foreigners to invest in the same manner that popular American apps as Robinhood do. 

Conversely, you may look for an app that works outside of your home country. Several of these sites will still enable you to invest in international markets, such as the stock market in the United States. Although converting your country’s currency to US dollars may require a little more effort, it is one way around the necessity to acquire a social security number or ITIN. 

What Documents Are Required For Investing In The United States?

The most frequently asked concerns about social security numbers and investment platforms is what documents are required to open an account. You must possess a permanent address in the United States in addition to a social security number or an ITIN. Another common query is about your income. You must be capable of revealing where the funds for your investing strategy are coming from. If you are not a US citizen, try contacting an accountant for assistance in paying taxes on money you received or dividends earned via your investments. 

How To Invest Without A Social Security Number?

Are you ready to get started investing but lack a social security number to use several of the famous US-based investment apps? The best part is that you may still be able to benefit from these investment tools by registering for an ITIN, which allows you to report gains, losses, and dividends to the IRS at the end of the year. If you are not a citizen, another option is to check into trading platforms that work in your home country. Several companies, such as Firstrade, even enable you to invest without a social security number. 

To discover more about an app’s requirements, contact them with any queries you may have concerning citizenship requirements. It should clear up any doubts you have about the prerequisites for investing with them. If you are looking for an investing app that does not require a social security number, make sure to sign up for Firstrade.