Banking while not in the UK

Toni_Tax

Hi guys and gals,

I'm wondering if you clever lot can help me

I am going travelling later in the year and spending 9months in Oz and then some time in NZ, Thailand and maybe America. I am remortaging and taking 10K out to fund my travels. My flat will be rented while I am away and this will pay the mortgage.

But, what should I do with the 10K? I am thinking put, say, 6K in a high interest savings account , 2K in an Australian Bank account and 2K in a 'normal' UK bank account (same bank as savings account for ease) with debit card, then transfer money as I need it. What do you guys think is the best to do?

I have also been advised not to use internet cafe's for internet banking whilst away so I would have to do all transfers by phone which could cost a lot so I would have to do this as little as poss.

Do all debit cards for withdrawals work anywhere abroad? And are there any about with low or no charges for withdrawals made abroad because I could potentially end up spending a fortune in bank fees.

If anyone has any suggestions or any experience of this I would be grateful for your comments.

TIA
Toni :j

chipfire

Take a look at citibank's international accounts

http://www.citibank.co.uk/personal/banking/international/travelabroad.htm

Chrismaths

If you are travelling, get a Nationwide Flexaccount. They don't charge the usual 2.75% exchange rate fee.

missile

Forget Australian bank account. Deposit all your cash in Nationwide e Saver. It may not be the highest rate but it is close. You will be able to access your account anywhere in the world via an internet cafe and transfer to your flex account and draw out cash in any local currency @ a good exchange rate without penalty, as and when you need to.

Toni_Tax

missile, I was told not to use intenet cafe's for internet banking as it's not safe

Thanks tho, I will look at Nationwide as already suggested by Chrismaths

missile

It is not safe if you are careless, but obviously you need to take extra care. Nationwide (as do most banks) offers protection against online theft.

I guess you will need to access your account(s) sometime during the 10 months and whatever you do there are risks. If you are concerned access via telephone banking or use a lap top you can use that at any hot spot and that is as safe as using it at home.

Toni_Tax

Well I am planning to get an office job in OZ so hopefully should be able to use an office PC, so perhaps a mixture of internet and telephone banking

Chrismaths

Make sure you get a Woolworths (the major supermarket over there) calling card when you're over there, I think it costs 2 cents to call the uk. Also make sure you get the "number whilst overseas" - ie geographic number from the bank (don't try calling 0845 numbers from abroad).

Ironically, the call will probably travel half way round the world to the UK, and then a quarter way back to india. Strange days...

Also, if you need a bank account whilst you are out there so you can get paid directly, the Commonwealth bank have a tie up with Woolworths - I think it's called ezybanking or something similar. The biggest problem with Aussie banks is almost all of them charge a monthly fee, and most also charge transaction charges. Woolies give you c50 free transactions per month at woolies stores, so you can withdraw cash there.

Cook_County

1. You will need to register as a non-resident landlord with HMRC so you can receive rent gross.
2. You will need to check with your mortgage lender and insurers before taking tenants.
3. Your employment income in Australia will still be taxable here as well bcause you will not be absent from the UK in full time employment for a complete UK tax year. You can however claim credit in the UK for Australian tax payable.

Chrismaths

Non-resident Australian tax is 29%, with no personal allowance, so he's unlikely to have to worry about it with double taxation relief.

But won't he be classed as non resident next tax year as he'll likely be out of the country for more than 6 months of the tax year?

Cook_County

No - he will remain UK resident as he will not be in full time employment abroad for a period including a complete UK tax year.