Credit before Moving to UK?

jfow83

Hello all, looking for advice on if there is any way to get a junp start on credit before moving permantely to the UK. Currently in Canada not movning until next fall. Have an address in the UK and citizenship if that matters at all and a UK number (no a full local contract). Is there any bank account I can open or anything else? 

We'll be coming over with about £500K cash but wouldnt  want to buy a house (in Exeter) outright and rather invest the money. I realise we'll have to rent a bit before being able to get a loan, but any headstart would help,

Thanks for any advice.

Nasqueron

You almost certainly won't be able to get a credit card or similar credit over here without a UK address and job here plus address history. You could see if your bank in Canada has a UK operation who might be able to help you once you were here but UK lenders do not normally give credit cards to foreign based citizens and leaving the UK they will normally look to close bank accounts.

That said, the average house in Exeter is around £350k currently - £368,552 for a semi or £547,949 for a detached (based on Zoopla) so there doesn't seem to be much point in investing £500k for a short time (£85k FSCS protection per institution, S&S investments need years to ride the bumps) - I'd just whack a load in premium bonds and NS&I or similar split of revenue for a short term while looking for a house as, depending on what you want and where you want to live, buying would be fairly simple and still leave a decent chunk for investments 

Brie

Much easier for a UK resident have a Canadian bank account than the other way around.  UK banks generally want you to have a UK address and may insist on a face to face meeting.  Obviously being a much smaller country this has been quite easy in the past whereas in Canada the distances are much more of an issue.  That said some Canadian banks can be a right proper pain too.

I know that TD Bank has a presence in London but it is (like most foreign banks) to do with the wealth side of the business and not personal banking.  When I was looking to move money from my TD account in Ontario to my UK (non TD) account I was told I would have to go into the branch to arrange this.  Difficult as I was in the UK and not planning to be back in Canada for several months.  So be prepared for perhaps one of you being here and one in Canada to deal with your joint accounts there to get money shifted.  Particularly if you are moving a large sum.  

On the UK side you might want to investigate banks that are strictly online - Monzo and Starling are two that get mentioned a lot.  Never used either so I can't recommend but it might make application for something joint easier if one of you is here and the other there.  

Meanwhile - hope you get to enjoy the eclipse today!  My family is making quite a party of it all!!!

jfow83

@Nasqueron - Great advice thank you, makes sense. Seems a lot stricter in the UK with fraud protocols.

@Brie - Sounds relatable, we are RBC for wealth and that seems to be all that un the UK. HSBC used to have the perfect product but they just left Canada and RBC wont offer the same.

Its some spectacle today!

lr1277

One possibility is an Amex card. They allow you to open an account in another country if you have a good relationship with them in your current country. It is my understanding they allow you to open the account without credit checks in your destination country. Obviously you need to keep your Amex account in Canada in good order. Also Amex is not as widely accepted in the UK as Visa or Mastercard, but it could be useful. The Amex afficionados do claim that most major retail chains do accept Amex in the UK.

If you get an Amex in Canada ensure it is provided by American Express directly and not through a bank.

Edited to add this webpage seems to explain what is required to move to UK. Not that I have done this myself.

https://www.americanexpress.com/en-gb/company/about/moving-abroad/

steven141

There is also Chase which are easier to join via the app but I’m not sure about their eligibility if you need to be in the UK.  The only thing is that it will only appear on your TransUnion credit file at the moment and doesn’t seem to appear on Equifax or Experian credit files. 

Lloyds Bank, Bank of Scotland or Halifax seem easy banks to open up online but again I have known of people’s accounts being closed if they find out you live abroad but it may be fine if you have a UK address. 

If you are renting the property in the UK you can get the rental payments to be added to your credit file (part 16 of this page https://www.moneysavingexpert.com/loans/credit-rating-credit-score/#needtoknow2).

I hope that your move goes well when it comes and welcome to the UK