Bank account for charity with non-UK trustees

aroominyork
aroominyork Posts: 2,758
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edited 12 February at 12:43PM in Budgeting & bank accounts
The charity I work for has just transitioned from an unincorporated association to a CIO, with a small change of name. Good practice is to set up a new bank account. We are an international organisation with six non-UK trustees (including Chair, Bulgarian) and two UK trustees (including Treasurer). We are with HSBC and are happy to stay there for the new account.
After seeming to approve the new account in principle - HSBC were asking trustees to complete paperwork although, frustratingly, they could only write to one at a time - "following further review" they rejected the application due to their "cross border policy". Our second UK trustee has a  contact in HSBC and asked her for assistance; she checked with colleagues and then said we could make a new application but would need all trustees to come to the UK for KYC. I asked her whether they could go to an HSBC branch in their country, to which she replied that if it’s done in their home country it will need to be attested by a notary.
That seems curious; why need a notary if you can go into a branch? And if does feel like it could easily be rejected again during the process. Does anyone have any experience of this situation and/or useful advice?

Comments

  • General_Grant
    General_Grant Posts: 4,744
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    Do all trustees need to be able to instruct the bank (sign cheques, etc)?
    If only UK trustees were authorised to instruct the bank, would the bank still want information from the overseas ones?
  • aroominyork
    aroominyork Posts: 2,758
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    Probably three would have signing authorities - most likely the office holders (Bulgaria, UK, Cyprus) - but the bank still needs to verify them all.
  • General_Grant
    General_Grant Posts: 4,744
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    edited 14 February at 10:45PM
    Does your charity have a financial control policy or similar document?  Does it stipulate how many people are needed to authorise payments? 
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