# Bank Accounts



## Amnesia180 (May 13, 2009)

Hi All,

I've been reading through some posts regarding Bank Accounts... and I'm totally confused!

Some people (say on a 3 year contract) are getting paid into the UK bank account, in GBP. Whilst others, who have a permanent resident visa are being paid in AED into a local bank account (whether it be a local HSBC or other bank).

What do you guys do? 

I'm thinking of keeping my UK Current Account and Credit Cards (through Lloyds TSB), so that if I want to purchase anything from the UK, and have it brought over by friends or if I do any buying in the UK... I can throw it all onto my Credit Card. I will also be keeping my current account open to continue NI contributions (even though I don't plan on going back to the UK any time soon once I've started) and to continue paying off any outstanding Direct Debits like Mobile Phones.

I will be having my wages (paid in AED) into a local bank account in Abu Dhabi, and obviously - all purchases in the UAE will be put on that.

My question to you is, will it all be worth it? Obviously transferring money from the my UAE account to my UK account to pay any bills is going to lose me money because of exchange rates, and probably transfer fees.

So do you think it would also be worth getting an off-shore account, that I can deposit larger quantities into... say every 4 or 6 months which can then be sent in GBP to my UK accounts?

Sorry if none of that makes sense... please ask any questions if you need anything clarifying.

Cheers!
Amnesia


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## Elphaba (Jan 24, 2008)

Many people here have contracts in UAE Dirhams and so are paid in that, whereas others have GBP or USD contracts. It is not the same for everyone. Some of us even have income in four currencies to deal with!

All resident visas are for a three year term and you need a local account (in AED) to function properly and for your AED salary to be paid into.

Do keep a UK bank account as it is hard to open a new account in the UK if you haven't lived there in the last few years. Even if you keep a small amount in it, don't close it. You will be charged for transferring from AED to GBP, but the charges are not all the same and you will need to shop around between banks for the best charges.

An offshore account is worth having once you start keeping a decent amount in it (minimum GBP 3K to avoid charges). You only benefit from wholesale exchange rates on transfer for large amount (GBP 10k+).

Hope that helps.

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## Amnesia180 (May 13, 2009)

Cheers Elphaba,

That does help actually. I was planning on opening a Lloyds TSB or HSBC account in UAE (I've heard they are quite good) and keeping my UK account.

I think I'll wait until I have enough money to put into an Offshore account before opening one. Then, once I start having enough large quantities of money (£10k, is a large amount to me, hehe) I can look at going down that route.

So for the time being, I'll stick to having a UK and a UAE account and just doing international transfers and paying the small fees that may be incurred. 

Does that sound like a sensible enough plan for my first 12 months?

Thanks again!


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## Elphaba (Jan 24, 2008)

Amnesia180 said:


> Cheers Elphaba,
> 
> That does help actually. I was planning on opening a Lloyds TSB or HSBC account in UAE (I've heard they are quite good) and keeping my UK account.
> 
> ...


It does indeed. 

Lloyds TSB and HSBC are OK, but don't be swayed by them appearing to be British banks - they aren't. Find out who your employer banks with and make sure you pick a bank where you can get to a branch without too much difficulty. At some point you will need to go in and shout at them when something goes wrong - which it will.

Make sure you request online banking and anything else you want. It won't be assumed that you need such things.

Let me know when you are ready to open an offshore account or make large currency transfers, as I advise my clients on such issues all the time. 

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## Amnesia180 (May 13, 2009)

Elphaba said:


> It does indeed.
> 
> Lloyds TSB and HSBC are OK, but don't be swayed by them appearing to be British banks - they aren't. Find out who your employer banks with and make sure you pick a bank where you can get to a branch without too much difficulty. At some point you will need to go in and shout at them when something goes wrong - which it will.
> 
> ...


Thank you, Elphaba.

I will find out what bank my employer use, and hopefully there will be one local to me. With internet banking, transfers should be easier.

I'm assuming I'll be able to open an account in UAE straight away, I should have my residency visa by then? If not, I'll have to have wages paid into my UK account for the time being.

As soon as I'm ready for needing an off shore account, I'll certainly send a PM your way :thumbup:

Thanks again,
Amnesia


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## Ogri750 (Feb 14, 2008)

There are a couple of banks in the UAE that will let you open an account before getting your residency. HSBC is one of them, but for the life of me, I can't remember the other one.


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## rsinner (Feb 3, 2009)

Ogri750 said:


> There are a couple of banks in the UAE that will let you open an account before getting your residency. HSBC is one of them, but for the life of me, I can't remember the other one.


Yes HSBC does allow that, but they won't give you a current account but only a savings account (without a chequebook). Once the residency is done the savings account can be converted to a current account
At least that's what my experience was. As with most things, this may not be a consistent application of a rule (because one of my colleagues was not allowed to open an account, and then allowed when he went to a different customer service officer)


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