Having a firm grasp of personal finance skills is crucial before relocating to the UK. When relocating to the UK for a job, school, or retirement, it’s essential to know that there are many reputable financial institutions from which to choose nonresident bank accounts.
Although it is possible to open a bank account in the UK as a foreign national, you should be aware that British banks and building societies often demand confirmation of residency before opening an account. This might be challenging for a new expat arrival. Below, we discuss every potential avenue, including traditional banks, overseas accounts, mobile banking apps, and more.
When visiting the UK, do you need to create a bank account?
While establishing a UK bank account isn’t required by law, you may find it dramatically facilitates your daily life. Although having a bank account is not mandatory in the UK, few businesses would likely deposit paychecks into overseas accounts or pay in cash.
Using a foreign bank account at UK stores or ATMs may also incur additional fees. A bank account is also required when applying for a mortgage or paying utility bills. If you don’t want to register a regular bank account in the UK, you may choose from other methods of handling your finances on non-resident bank accounts, such as:If you have a bank account in the UK, you’ll have a simpler time renting a place.
Why is it more challenging to create a bank account in the UK as a new resident? Credit unions National Savings and Investment accounts (previously Post Office Savings accounts)
Foreigners frequently encounter difficulties while trying to settle in the UK because of the extensive documentation required to verify their new residence. It’s challenging if you’ve just moved to the UK and are staying with family rather than finding your place to call home since you won’t have a credit history to establish a rental history or a name on any invoices.
How can a non-UK resident get ready to establish a bank account in the UK?
You may still handle your financial matters from your overseas account before opening a UK bank account as a non-resident. However, here are some things you can do to make the transition to life in the UK easier:
- Find out from your domestic financial institution whether you may use your debit or credit cards overseas.
- Tally up the whole total of all transaction fees and foreign exchange rates.
- Verify if your home bank has a correspondent banking connection with a UK bank to see whether they can assist you in opening a bank account there.
You might also prepare for your transfer to the UK by opening an international account with one of the country’s banks because many allow non-resident bank accounts to do so from outside the UK (notably the EU). However, some banks impose monthly fees for such accounts, so it’s essential to determine whether your chosen financial institution is one of them before opening account months in advance of your move.