Should I keep this International account for £25,000 because of Brexit?

jumperabv3

I will explain it briefly:

• I used to live in the UK but now I'm living overseas.
• I own 2 properties in the UK and rent them out, report & pay taxes on the rent in the UK and in my home country.
• I currently get the rents paid to a UK bank account I opened whilst I was living in the UK
• During my stay in the UK I also opened an International account with Barclays (Barclays International) but I I haven't been using this acount for so long.
• My relationship manager from the bank ensured me in email I can fund the account until April 2022 in order to avoid its closure.
• Surprisingly, the bank sent me a notice that if I don't fund the account with £25,000 or more by 31 January 2022 then the account will be closed. The International branches indeed demand having such a deposit or else they don't want you as a customer. I can understand that.

Technically, there are 2 issues here:

• Firstly, the bank is going against what the relationship manager told me in email - I sent him an email about that over a week ago - no response yet - if you have any comments about this - feel free to share, but this is not the major reason I opened this thread.
• The second issue is my question and me thinking if I should keep this account open or not?

Basically,
My main concern is that several years down the line maybe the UK banks will become strict and would demand to see a VISA or something in order to keep the account active and then I won't have what they ask for (I have an EU citizenship/Passport but Brexit changed it) - and then I won't be able to get rent paid locally to a UK bank account.

Is this, hypothetical, scenario is something that if you were in my shoes - would have made you find somehow £25,000 to deposit in order to keep this "Barclays International" account active or perhaps this is a waste? (the funds can be placed in a fixed deposit or something that would yield small interest, and the account is active just like a UK bank account with a sort code an account number - but my question is if it's worth it?)

Or perhaps I shouldn't even worry about banks becoming strict several years down the line and I shouldn't "waste" £25,000 that can be invested elswhere and simply keep on getting the rents being paid to my UK account and once or if an issue would arise because of Brexit - then deal with it at that point and at that time?

What do you think?

eDicky

Your relationship manager could well be able to override the requirement to fund the account prior to April, perhaps you should call him if you don't hear back soon.

It's not clear what you mean by the UK bank demanding to see a VISA and the 'EU citizenship/Passport but Brexit changed it'. Does the UK bank know your overseas address? Are you a national of the EU country you are living in (or any other EU country)?

Presumably you need an account to use for SOs and DDs for bills in GBP..?

Thrugelmir

jumperabv3 said:

• Firstly, the bank is going against what the relationship manager told me in email 

The relationship manager cannot go against the bank's own internal policies. Policies change all the time. 

jumperabv3

eDicky said:

Your relationship manager could well be able to override the requirement to fund the account prior to April, perhaps you should call him if you don't hear back soon.

It's not clear what you mean by the UK bank demanding to see a VISA and the 'EU citizenship/Passport but Brexit changed it'. Does the UK bank know your overseas address? Are you a national of the EU country you are living in (or any other EU country)?

Presumably you need an account to use for SOs and DDs for bills in GBP..?

I'm asking if in the future perhaps UK banks won't allow non-resident landlords to have a UK bank account without a UK VISA (VISA is what an immigrant applies for when he immigrates into a country) ... in that case perhaps the only "solution" to receive the rent locally would be via International banks like this one but they require you to deposit a large amount as you can see.

Brexit changed it - I meant to say as an EU citizen you could bank in the UK freely until Brexit because you had the same rights like any other UK citizen or resident, but now Brexit changed it ... although it seems that the banks are not going to quickly and simply close bank accounts because of Brexit - I was asking hypothetically what if that would indeed happen in 1-2-3-4 years from now? (who really knows...)

Hope it makes things clearer... thank you.

Daliah

If all you need is a GBP account into which you can receive rent, and make payments to HMRC/yourself overseas/services in the UK, have a look at Fineco Bank or Wise. Ditch Barclays.

As an aside, the UK has Double Taxation Agreements with a huge number of countries, so you shouldn't need to pay tax on the same income in more than one country.

jumperabv3

Daliah said:

If all you need is a GBP account into which you can receive rent, and make payments to HMRC/yourself overseas/services in the UK, have a look at Fineco Bank or Wise. Ditch Barclays.

As an aside, the UK has Double Taxation Agreements with a huge number of countries, so you shouldn't need to pay tax on the same income in more than one country.

Thanks,
Is there any "risks" these solutions in the future would only be available for UK residents or citizens only or you don't see it happening?

jumperabv3

jumperabv3 said:

Daliah said:

If all you need is a GBP account into which you can receive rent, and make payments to HMRC/yourself overseas/services in the UK, have a look at Fineco Bank or Wise. Ditch Barclays.

As an aside, the UK has Double Taxation Agreements with a huge number of countries, so you shouldn't need to pay tax on the same income in more than one country.

Thanks,
Is there any "risks" these solutions in the future would only be available for UK residents or citizens only or you don't see it happening?

Anyone ...?

Daliah

Seems everyone's busy trying to find their crystal ball

eDicky

Thrugelmir said:

jumperabv3 said:

• Firstly, the bank is going against what the relationship manager told me in email 

The relationship manager cannot go against the bank's own internal policies. Policies change all the time. 

In my experience with such accounts a relationship manager is often able to uphold what a client has already been told when the bank wants to impose something that varies from it.

Of course, this may well not be the case here, but it does sound like just a time limit put on funding below the required level, which might be extended a few months. I have no experience with Barclays.

eDicky

jumperabv3 said:

eDicky said:

Your relationship manager could well be able to override the requirement to fund the account prior to April, perhaps you should call him if you don't hear back soon.

It's not clear what you mean by the UK bank demanding to see a VISA and the 'EU citizenship/Passport but Brexit changed it'. Does the UK bank know your overseas address? Are you a national of the EU country you are living in (or any other EU country)?

Presumably you need an account to use for SOs and DDs for bills in GBP..?

I'm asking if in the future perhaps UK banks won't allow non-resident landlords to have a UK bank account without a UK VISA (VISA is what an immigrant applies for when he immigrates into a country) ... in that case perhaps the only "solution" to receive the rent locally would be via International banks like this one but they require you to deposit a large amount as you can see.

Brexit changed it - I meant to say as an EU citizen you could bank in the UK freely until Brexit because you had the same rights like any other UK citizen or resident, but now Brexit changed it ... although it seems that the banks are not going to quickly and simply close bank accounts because of Brexit - I was asking hypothetically what if that would indeed happen in 1-2-3-4 years from now? (who really knows...)

Hope it makes things clearer... thank you.

Slightly clearer. I do know what a visa is. Answers to the other things I asked might have given rise to suggestions, but never mind.

Residents of many different countries can have a Wise account, which provides a GBP account number and sort code.

You need to be a UK resident to have a Fineco UK bank account, and they require your NI number. Italian Fineco would be available if you live there.

Many UK banks are already closing accounts of British residents of certain European countries.

hoc

I would close the international account because if and when you would need it you can always open one again. If rules change so you can not even open one in the future then it is unlikely you would be allowed to keep an existing one.