Expat

FlyGirl_2

Hi everyone! I'm new to this site but just looking for some advice really...
I'm actually living in Dubai been there for 3 and half years and was curious as to whats legal for me in regards to saving money in the uk as in isa's and what not.

I'm also looking for the advice on how to save money the best way...I earn roughly 1,700pounds a month but have no outgoings such as rent or water and electricity bills...i have a credit card debt of 1,800pounds and a student loan of 10,000pounds. I'm only 25 but looking to start saving for my future now any help would be fantastic.

darkpool

FlyGirl wrote: »

Hi everyone! I'm new to this site but just looking for some advice really...
I'm actually living in Dubai been there for 3 and half years and was curious as to whats legal for me in regards to saving money in the uk as in isa's and what not.

I'm also looking for the advice on how to save money the best way...I earn roughly 1,700pounds a month but have no outgoings such as rent or water and electricity bills...i have a credit card debt of 1,800pounds and a student loan of 10,000pounds. I'm only 25 but looking to start saving for my future now any help would be fantastic.

i stay in muscat, i buy shares each month.

however if you don't have a house in the uk (?) i would start saving cash. i think you have to stay in the UK to open an ISA.

I'd also invest some money in shares, maybe a few hundred a month, so you get an idea about investment. i'd consider an investment trust or a tracker.

bobthedambuilder

You have to be resident in UK to qualify for Cash and S&S ISA's. It sounds like you are a UK national but non-resident for tax purposes (unless you spend more than the qualifying time per year in the UK - see the HMRC rules for non-residency). I also presume you are not being paid in UK (or in Sterling). Therefore you are not paying any form of UK tax or NI.

I'd get rid of the credit card debt asap, you sound as if you can afford to. I'm not sure what terms the student loan company applies to non-residents, but I assume you're not paying anything off that debt. I think you're meant to contact them and provide details of your overseas earnings, so they can assess whether / what you should be paying.

There is nothing to stop you having ordinary UK bank accounts, both current and savings. You would receive tax-paid interest, but I believe you could reclaim that tax by contacting HMRC. Have a look at this page: http://www.hmrc.gov.uk/cnr/faqs_general.htm#3 - it also gives answers to some other questions.

If you are interested in buying shares, you could look at a discount broker like Hargreaves Lansdown (there are other alternatives). HL also operate a currency transfer service, which could be useful to you, although it may not be the cheapest.

shaun_from_Africa

There is nothing to stop you having ordinary UK bank accounts, both current and savings. You would receive tax-paid interest

There's nothing legally that states you can't have a UK based bank account if you are non resident, but in practice it's a different matter.
Just about every bank in the UK will only allow you to open an account if you are a UK resident.
This is because they are required to make checks to confirm your identity and address, and if you're not resident then this is almost impossible for them to do.

There is nothing to stop you opening Sterling accounts with the offshore branches of whichever bank you prefer.

FlyGirl_2

Thanks for all your advice..I am a UK national and I do still have my regular bank account with HSBC from before I left..I have actually been putting money into that account equating to around 1000pounds now I'm assuming that it is still legal for me to do that? too many laws that i am not sure about!! With regards to buying shares its definitely something I'm interested in but not to sure how to go about it but will take a look into the other forums but first of all will get rid of my credit card i think its the way forward! thanks again

RetiredInThailand

shaun_from_Africa wrote: »

Just about every bank in the UK will only allow you to open an account if you are a UK resident.
This is because they are required to make checks to confirm your identity and address, and if you're not resident then this is almost impossible for them to do.

Make that "most" UK banks and I will agree with you. However there are several onshore UK banks who will open accounts for non-residents, and they require exactly the same ID verification as the offshore banks do: photo ID and some sort of printed document with your residential address on.

It is certainly easier to open an account if you happen to be in the UK at the time, simply because you can show your documents in person without having to get the copies verified by some third party.

shaun_from_Africa

However there are several onshore UK banks who will open accounts for non-residents

Could you let me know which ones.
It's just that I'm non resident in the UK and have been trying to open an account but haven't been able to find a bank that will allow me to do this.

bobthedambuilder

FlyGirl wrote: »

Thanks for all your advice..I am a UK national and I do still have my regular bank account with HSBC from before I left..I have actually been putting money into that account equating to around 1000pounds now I'm assuming that it is still legal for me to do that?

Yes it is legal. You might want to look at what interest it is providing, and what other accounts HSBC might have to better this. You have already gone through the identity proof thing with them, so, opening another account should be straightforward.

Shaun from Africa may have a point about the difficulties of opening new accounts with other providers without a UK address. However, if you have a UK "base", e.g. your parents' address, to which any paperwork is addressed, e.g. your HSBC statements, you have the wherewithal to provide ID check info. (A certified copy of your passport and driving licence goes a long way towards that.)

You don't need to get rid of your credit card, just pay off the debt. If it's a UK card, you might want to look at what it charges for purchases in different currencies (which presumably form the majority of yours). There are cards which do have charges for currency conversions and those which don't. Look it up on the main MSE site.

RetiredInThailand

shaun_from_Africa wrote: »

It's just that I'm non resident in the UK and have been trying to open an account but haven't been able to find a bank that will allow me to do this.

Investec, Scottish Widows, Yorkshire Bank, State Bank of India, Barclays Wealth. There are others also.

shaun_from_Africa

Scottish widows
"Our savings accounts are available to people who live in the UK"

State bank of India
(same wording for all UK based accounts)
"The account is available to an individual aged 18 years or over who is ordinarily resident in the UK for tax purposes and has a permanent UK address."

Yorkshire bank
I tried opening an account 2 months ago at the branch at Picadilly. Despite having plenty of id, letter from my employer and proof of residence overseas, was told that I had to be UK resident.

Barclays Wealth
"For individuals living in the UK and Ireland
If you live in the UK or are about to move to the UK"

If you are not a UK resident then they will not allow you to open a UK based bank account but will transfer your enquiry to one of their offshore groups. (normally the Isle of Man.)


Up until about 5 years ago, it was fairly easy for a non resident to open a UK based account, but since the clampdown on money laundering, this has become impossible to do.
Trust me, I've probably enquired at 99% of banks who have branches in the UK and their response is always the same. "No proof of UK residence, no new account"

I've sent an enquirey to Investec as I've no idea about what they offer.

coxwell

I enquired regarding opening an account from abroad with scottish widows on Friday last week and was told it would be ok as long as I provided a certified copy of passport and a utility bill.

good luck
dc