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  • FIRST POST
    Nath-san
    Savings account - NON UK resident
    • #1
    • 24th Jan 07, 3:31 PM
    Savings account - NON UK resident 24th Jan 07 at 3:31 PM
    Hi

    I used to live in the UK for 6 years and now live permenetly in Spain. I want to invest money in the UK and wanted to find the best saving account for me. I found that on many occasions you need to be a UK resident to open saving accounts or having accounts in a bank to be able to open savings accounts in the same bank. so my options are limited. I kept my barclays accounts in the UK which might give me access to open Barclays savings.

    PS: however I am entitled to tax free interest.

    Thanks for your response.

    Regards,
    Nath-san
Page 1
    • martyn4764
    • By martyn4764 24th Jan 07, 4:04 PM
    • 734 Posts
    • 478 Thanks
    martyn4764
    • #2
    • 24th Jan 07, 4:04 PM
    • #2
    • 24th Jan 07, 4:04 PM
    Hi
    We've got one of these:
    http://www.bbi.co.im/offshore-savings-accounts/offshore-internet-banking/e-access-account.aspx

    Currently 5.6%, I would expect them to increase any day now following the latest BoE increase (they've certainly passed on the full .25 the last couple of times)
    • Cook_County
    • By Cook_County 24th Jan 07, 4:05 PM
    • 2,787 Posts
    • 2,025 Thanks
    Cook_County
    • #3
    • 24th Jan 07, 4:05 PM
    • #3
    • 24th Jan 07, 4:05 PM
    Most UK banks/building societies have branches offshore that would welcome you to invest in Sterling as an EU resident. Your worldwide interest income is taxable in Spain in any case.
    • missile
    • By missile 24th Jan 07, 4:27 PM
    • 8,090 Posts
    • 3,845 Thanks
    missile
    • #4
    • 24th Jan 07, 4:27 PM
    • #4
    • 24th Jan 07, 4:27 PM
    Most Spanish banks will offer you Sterling Savings account, however the rates are not as good as UK. HSBC, Lloyds, RBOS and Barclays all have offices in Spain.

    Most UK banks will not allow you to open an account unless you have a UK address. Obviously your first point of call is to phone Barclays.

    If you have residencia you are subject to spanish tax system which does not have the equivalent to IR85 and all savings are subject to tax. If you intend to keep quiet about UK generated income, you ought to be aware that there are reciprocal agreements for exchange of financial information. I have no idea how efficient they are at following up tax dodgers, but I would not like to risk going to a spanish jail. They are not the holiday camp like in UK.
    "A nation's greatness is measured by how it treats its weakest members." ~ Mahatma Gandhi
    Ride hard or stay home
  • leawillow
    • #5
    • 20th Feb 07, 2:20 PM
    • #5
    • 20th Feb 07, 2:20 PM
    Sorry cant help with your question. I have several friends in Spain with the same problem.
    I own a property over there but am non-resident - can you reccommend a Spanish Bank that does not have charges on its current accounts ?
    Hasta
  • yinnie
    • #6
    • 19th Jun 08, 8:57 PM
    Halifax offers non-UK resident savings accounts
    • #6
    • 19th Jun 08, 8:57 PM
    http://www.halifax.co.uk/savings/nonukcustomerrates.asp
    • PBA
    • By PBA 20th Jun 08, 12:40 AM
    • 1,509 Posts
    • 516 Thanks
    PBA
    • #7
    • 20th Jun 08, 12:40 AM
    • #7
    • 20th Jun 08, 12:40 AM
    Most of the British banks have offshore divisions catering for expat Brits wanting to keep some money in sterling. You can compare rates on moneysupermarket. You'll be able to open an account from pretty much anywhere, and no tax is deducted at source (though the interest does need to be declared for tax where you're resident).
    • nap31
    • By nap31 7th Jul 08, 10:55 PM
    • 6 Posts
    • 0 Thanks
    nap31
    • #8
    • 7th Jul 08, 10:55 PM
    savings options for UK non-resident
    • #8
    • 7th Jul 08, 10:55 PM
    I really cannot get my head around why people think offshore investment is a good thing. Offshore interest rates are not that brilliant considering tax has to be paid in your own country (in my case France). But what is the real downer for me is that the Isle of Man can only offer compensation of 75% on deposits of £20,000. So the most you can ever get back is £15,000 if something goes wrong with the bank. I believe channel island compensation is even worse. In the UK 100% of £35,000 is offered. And apparently that might rise to 100% of £50,000 soon.
    That is why I was pleased to read the previous link here which stated the Halifax in the UK can offer savings accounts for Expats. But when I went to the link, all the savings accounts offered to non-UK residents had to be opened up in a UK branch and cannot be managed over the internet. The internet savings accounts are for UK residents only. Where is the sense in that?
    If anyone knows of a half decent rate savings account that has 100 % compensation and can be managed online can they please post it. Thanks.
  • chopperharris
    • #9
    • 7th Jul 08, 11:40 PM
    • #9
    • 7th Jul 08, 11:40 PM
    you can have a brit ifa open one for you on your behalf (if its offshore), but you still need proof of everything anywhere now in the eu for fraud prevention and money laundering.

    suitable proof now to open any accounts are proof of income and/or pension , passport and a bill thats current....and tax statement.

    as for managing online that will be subject to the bank and type of account.

    contact barlcays , they do a account in spain and here .... and subject to joiing the international transfer with them system you can transfer funds back and forth without fee....exchange rate is still applied.

    if your thinking you can dodge tax with using offshore though then you cant....it has to paid somehwere....or should that be avoid tax?
    • nap31
    • By nap31 8th Jul 08, 8:32 AM
    • 6 Posts
    • 0 Thanks
    nap31
    I very definitely do not want to dodge/avoid tax. This is my whole point about why I don't think offshore accounts are a good investment tool. The tax is out of the equation as the amount you pay is the same wherever you invest - as it has to be paid in your resident country. What is bad with offshore accounts is that they offer the same interest rates as British accounts but they cannot offer the same compensation.
    But thanks for the IFA and Barclays info, they have branches in France too so I shall look into that.
  • CaymanExPat
    UK Expat Living In Cayman Islands - Savings Advice
    I am a UK national and a non resident - living and earning a tax free income in the Cayman Islands. I would love to take advantage of some of these high interest, fixed rate savings accounts however I cannot find any which non-residents can apply for. Can anyone please help?
    • dunstonh
    • By dunstonh 17th Aug 08, 7:59 PM
    • 83,682 Posts
    • 48,719 Thanks
    dunstonh
    I really cannot get my head around why people think offshore investment is a good thing.
    tax being the main reason.

    Offshore interest rates are not that brilliant considering tax has to be paid in your own country (in my case France).
    Thats not investing. That is saving. Also, you are only looking at unwrapped offshore holdings there and not wrapped holdings such as an offshore investment bond. However, it is possible to put institutianal savings accounts into an offshore investment bond.

    There is the benefit of gross roll up, deferment and segmentation. However, for short term money the benefits are not great and can be actually significantly more expensive.

    For unwrapped money on deposit then there is often no real benefit as tax has to be paid straight away but for some there may still be benefits.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • Jonbvn
    • By Jonbvn 17th Aug 08, 10:19 PM
    • 5,222 Posts
    • 5,370 Thanks
    Jonbvn
    I am a UK national and a non resident - living and earning a tax free income in the Cayman Islands. I would love to take advantage of some of these high interest, fixed rate savings accounts however I cannot find any which non-residents can apply for. Can anyone please help?
    Originally posted by CaymanExPat
    I'm sure that there are lots of offshore banks where you live:rolleyes::rolleyes::rolleyes:

    There are lots of accounts available in Jersey & IOM. Moneysupermarket has some details.
    http://www.moneysupermarket.com/savings/OSResults.asp

    With you living outside the EU, your interest will be tax-free. However, you will be liable be for tax on the interest in the Cayman Islands (which I think is non-existent).

    All the offshore banks have stringent requirements to verify your ID to prevent money laundering.
    In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot
  • Gounie
    Egypt or Isle of Man for long term savings
    I live in Egypt where we get really high interest rates on Egyptian Pound accounts but the exchange rate is based on the dollar so has dropped. I am returning to the UK for a week and am thinking of moving some money from Anglo Irish in Isle of Man out to Egypt and exchanging it into EGP and putting it in the National Bank of Oman where the interest rate is currently 7%. Current interest rate at Anglo Irish is now only 2.75%. The exchange rate for the Egyptian Pound was around GBP1 = EGP11 but now only GBP1 = EGP9.

    No idea whether National Bank of Oman is safe? I have banked with them for six years. Can anyone tell me whether it is a good idea to move some money or should I keep it in the Isle of Man?

    Thanks in advance.
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