Free foreign currency accounts

[Deleted User]

Hi.

Does anyone know of any free foreign currency accounts? I am doing some freelance work and getting paid in US dollars, so I figure I might as well not bother converting it to Pounds and just spend it or convert directly to Japanese Yen for holidays.

Everyone seems to be charging for a foreign currency account these days. Are there any free ones left?

Buzby

I don't believe there was ever a free service. PayPal is your best bet, as it will allow you to run US$ and € side by side. Banks see this as a premium service and will charge accordingly.

[Deleted User]

Unfortunately PayPal is banned permanently. I think you are right, no-one offers free accounts any more. Citibank used to, but stopped last year.

jonesMUFCforever

Have you thought for one minute why they don't offer them anymore?
It is because they cost money to run - a business losing money won't stay in business long.

grumbler

http://www.citibank.co.uk/personal/banking/international/deposits.htm ?
It's not a current account, but comes with some cash card. Don't know about conversion to Yens.

missile

LTSB makes zero charges on my offshore euro account. I believe they have a similar account for USD.

2sides2everystory

jonesMUFCforever wrote: »

Have you thought for one minute why they don't offer them anymore?
It is because they cost money to run - a business losing money won't stay in business long.

Really? That's sticking your neck out as usual!

Bank of China UK if you are in London is easy - a bit Chinatown of course and a clunky website that might only work with IE8, but free foreign currency accounts in more or less any currency you like with modest buy/sell spreads when transferring between accounts with no commission, and no FOREX commission on the sterling debit card I think. No minimum turnover requirements just yet. All FSCS protected. One downside is that BoC UK only offer the debit card on the Sterling Account so to spend in Japan on a card, you'd have to convert USD first into Sterling deposits and then again at the VISA rate when you spend it in Japan else draw out Yen before you go - it's as broad as it is long. Or if you are in that part of the world more frequently, you might be able to open additional accounts with BoC in Beijing (or Tokyo - see further on) with direct CNY/JPY conversions but operate them alongside the UK accounts via the web portal. An existing BoC UK relationship might make opening new accounts half way around the world more straightforward than you think. Another possible BoC downside is that unlike Citibank, I don't suppose BoC actually have much of a presence in Japan just yet. Could be wrong of course - Edit: Indeed it looks like I am: http://www.boc.cn/en/bcservice/bc2/201002/t20100203_1486872.html

Citibank allowed you to move the debit card between accounts just on a phonecall last time I checked. You CAN get broadly "FREE" foreign currency arrangements with Citibank with their Citibank Plus product if you deposit a minimum £1,800 monthly (last time I checked). But I don't like the breadth of their buy/sell rates and unless you use Citibank ATMs in Japan, you will be paying extra for the privilege of drawing out your own cash.

Oh, and somehow I do think we'll see Citibank and the others out of business before China hits the buffers - just a hunch

Nath4n

grumbler wrote: »

http://www.citibank.co.uk/personal/banking/international/deposits.htm ?
It's not a current account, but comes with some cash card. Don't know about conversion to Yens.

There is a £5 monthly account fee on Citiuk foreign currency deposit accounts unless you keep an average monthly balance of £2,000 (or currency equivalent). And the interest rate on this £2000 would be a whooping 0.1%.

jonesMUFCforever

2sides2everystory wrote: »

Really? That's sticking your neck out as usual!

Bank of China UK if you are in London is easy - a bit Chinatown of course and a clunky website that might only work with IE8, but free foreign currency accounts in more or less any currency you like with modest buy/sell spreads when transferring between accounts with no commission, and no FOREX commission on the sterling debit card I think. No minimum turnover requirements just yet. All FSCS protected. One downside is that BoC UK only offer the debit card on the Sterling Account so to spend in Japan on a card, you'd have to convert USD first into Sterling deposits and then again at the VISA rate when you spend it in Japan else draw out Yen before you go - it's as broad as it is long. Or if you are in that part of the world more frequently, you might be able to open additional accounts with BoC in Beijing (or Tokyo - see further on) with direct CNY/JPY conversions but operate them alongside the UK accounts via the web portal. An existing BoC UK relationship might make opening new accounts half way around the world more straightforward than you think. Another possible BoC downside is that unlike Citibank, I don't suppose BoC actually have much of a presence in Japan just yet. Could be wrong of course - Edit: Indeed it looks like I am: http://www.boc.cn/en/bcservice/bc2/201002/t20100203_1486872.html

Citibank allowed you to move the debit card between accounts just on a phonecall last time I checked. You CAN get broadly "FREE" foreign currency arrangements with Citibank with their Citibank Plus product if you deposit a minimum £1,800 monthly (last time I checked). But I don't like the breadth of their buy/sell rates and unless you use Citibank ATMs in Japan, you will be paying extra for the privilege of drawing out your own cash.

Oh, and somehow I do think we'll see Citibank and the others out of business before China hits the buffers - just a hunch

But it is not free is it?

2sides2everystory

jonesMUFCforever wrote: »

But it is not free is it?

What isn't? Citibank isn't sure, and I no longer do business with them despite suffering their constant changing ways for 20 years. Bank of China UK is however free - well apart from the modest bid/sell spreads.

msfortune

Please can someone explain if it's worth opening a Citibank Foreign Currency Deposit account so that I can transfer money out to my Australian Citibank account to buy a car, rent a place, etc or is it better to do these transfer(s) through a broker.

Would the AUD account hold the money in GBP here? I understand I would have to maintain average monthly balance of £2k equivalent AUD to avoid any fee.

Thanks