# UK Bank Accounts for expats in Spain (Post-Brexit) !



## Andaluz (Oct 6, 2020)

Around 6 or 7 weeks ago there was some mainstream reporting on the scenarios for expats with UK bank accounts. Since then, I've heard little more about it but then I guess that isn't really surprising.

My last understanding was that if there was to be a deal agreed between the UK and the EU then there would be no problem/change. But if there is no-deal then it's up to the seperate banks to decide whether to close such accounts or not. Several already having made their intention clear, with others staying stum and keeping options open.

- Anyone know the latest / any update ? (*Especially when it comes to RBS*)

- Anything else out there that you can add on the subject ?

Thanks !


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## Alcalaina (Aug 6, 2010)

Barclays have issued a list of countries where they might close accounts but Spain wasn't among them. Have heard nothing from Lloyds or Halifax, where my accounts are. 

I don't think anyone in the business or banking world really believes there _won't _be a deal, but it will go to the wire as always.


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## Andaluz (Oct 6, 2020)

Thanks Alcalaina !

They didn't think that the Leave Campaign would win the EU referendum either !


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## Joppa (Sep 7, 2009)

Deal on financial services isn't part of the current negotiation, so if there is going to be any development on that front, you have to wait long past 1st January. As things stand, there will be no passporting for UK financial institutions to conduct business in EU, and each will have to acquire banking licence with separate EU states.


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## Andaluz (Oct 6, 2020)

Joppa said:


> Deal on financial services isn't part of the current negotiation,.......


Thanks for the info Joppa !


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## MataMata (Nov 30, 2008)

UK banks to shut thousands of British expats' accounts – what to do if yours is being closed


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## Chopera (Apr 22, 2013)

Alcalaina said:


> Barclays have issued a list of countries where they might close accounts but Spain wasn't among them. Have heard nothing from Lloyds or Halifax, where my accounts are.
> 
> I don't think anyone in the business or banking world really believes there _won't _be a deal, but it will go to the wire as always.


I've heard nothing from Halifax either.


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## MataMata (Nov 30, 2008)

Deleted - duplicate post


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## DonMarco (Nov 20, 2016)

Chopera said:


> I've heard nothing from Halifax either.


I'm with HBOS (same as Halifax). No problem with living outside the EU (Switzerland). All correspondents (including cards) delivered to my Swiss address and Swiss phone numbers used for receiving login codes.


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## Melosine (Apr 28, 2013)

Just received my monthly UK bank statement from HSBC absolutely no mention of closing my current account on which I only have a debit card. On relocating here 14 years ago they refused to renew credit card ( not a problem because was issued with one here) because it was against their guidelines. Believe it is only people with credit card accounts that are affected


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## DonMarco (Nov 20, 2016)

Again, I've got a credit card since 2009 with the same bank. No Problems.


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## Chopera (Apr 22, 2013)

DonMarco said:


> Again, I've got a credit card since 2009 with the same bank. No Problems.


The issue relates to passporting and Brexit. If you're living in Switzerland then you won't be affected one way or the other. Your bank's ability to offer banking services to someone in Switzerland is not going to be affected by Brexit.


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## MataMata (Nov 30, 2008)

It seems to depend on the relationship between bank and credit card provider which is probably why Barclaycard, which is an arm of Barclays bank itself, are so far the only high street provider applying credit card closure across the board. 

Visa and Mastercard are already global organisations so it could well be that credit card accounts will remain open and it's just Bank accounts which get closed, remember the headlines do say UK BANKS closing expat accounts.

Of current accounts Barclays say they "continue to review the services they offer", most others say something similar, which is bank speak for waiting to see if there is a Brexit deal and what's in it. No point in jumping the gun because once an account is closed it will be very difficult for them to reopen them.

Actually Coutts are also closing all accounts but as the go to bank of the rich and famous I'm guessing that won't be of too much concern to the typical expat! 

I've certainly got over losing sleep about it


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## Andaluz (Oct 6, 2020)

MataMata said:


> .....I've certainly got over losing sleep about it


Given the time of your post seems you must have got used to 3 or 4 hours !


#BrexitSideEffects

------------

What about alternatives if your UK account (RBS) is closed ?

I've read about looking for another but I can't see that being at all easy.
I've spoken to a Spanish bank about the possibility of opening a Sterling account with them but that is up in the air as the bank itself is about to be swallowed up by a bigger entity and it would probably be closed after a 12 month grace period.

I only have a small military pension that is paid into the account. I know I could have that paid into a Spanish bank just now but not sure post brexit.

The other issue regards the spread of risk, is keeping some Sterling, rather than having everything in Euros.

Has anyone got any thoughts or experience in any of the above ?


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## Barriej (Jul 23, 2012)

Andaluz said:


> Given the time of your post seems you must have got used to 3 or 4 hours !
> 
> 
> #BrexitSideEffects
> ...


Well for someone who has far less than the €100000 compensation limit that all EU banks must offer I don't think there can be much risk. 
In fact at some point keeping money in the Uk as a foreign resident might give the Uk a reason to tax you or for the bank to start charging as its technically a non resident account. (no cake and eat it solution here)

I would say the only reasons to keep a Uk bank account would be

A) If you have things paid into it that could not be paid into a Euro account (my pension is from a non EU regulated company and it can ONLY pay to a Uk bank)
B) You went back to the Uk on a fairly regular basis, and you wanted to pay in UK£.
C) Like me you pay for some stuff from the likes of eBay and Amazon by credit card in the UK.
D) I still have some outgoings in the Uk (will have for the next couple of years) After that I may close the accounts.


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## Alcalaina (Aug 6, 2010)

Andaluz said:


> Given the time of your post seems you must have got used to 3 or 4 hours !
> 
> 
> #BrexitSideEffects
> ...


As an RBS customer I assume you've seen this announcement? Doesn't look like you've got anything to worry about.






Brexit Hub | RBS - Royal Bank of Scotland


Visit our hub to find information on Brexit and what it may mean for you.




personal.rbs.co.uk


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## Andaluz (Oct 6, 2020)

Alcalaina said:


> As an RBS customer I assume you've seen this announcement? Doesn't look like you've got anything to worry about.
> 
> 
> 
> ...


Thanks Alcalaina !

No I hadn't seen it and will have to read up on this 'Foundation' account and probably call the RBS with any questions.

The immediate thing that stands out in that link you posted, is a warning that_ in the forseeable future, the bank may have to withdraw certain products and services from our customers in the EU. We’re closely monitoring the situation and we’ll let you know of any changes._

Would seem to suggest and would IMO make logical sense, that if it's not in the banks interests to get the required licenses with individual countries, then both current and foundation accounts may well be closed.

This similar warning coming from various banks looks to me like prepared policy, ready to go if Brexit and it's fall-out make it difficult/unviable for them.


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## MataMata (Nov 30, 2008)

The joys of being a chronic insomniac😴

You'd be amazed at the sort of things you're liable to find me doing in the wee hours!


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## Veronica (Apr 5, 2008)

Barclays did this to us in 2016 when we were living in Cyprus. We switched to the UK arm of Cyprus bank which later became Cynergy. They have telephoned us to say they are closing our account and we have till 29.12.20 to get our money. As we have some small private pensions that can only be paid in sterling we have opened a sterling account with Transferwise. It comes with an IBAN number etc so pensions can be paid into it. This means we can choose when to change it to euros depending on exchange rate and as Transferwise charges are so much less than banks we gain. We can also have a card on this account if we want so can use it buy online in sterling etc.


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## Andaluz (Oct 6, 2020)

Veronica said:


> Barclays did this to us in 2016 when we were living in Cyprus. We switched to the UK arm of Cyprus bank which later became Cynergy. They have telephoned us to say they are closing our account and we have till 29.12.20 to get our money. As we have some small private pensions that can only be paid in sterling we have opened a sterling account with Transferwise. It comes with an IBAN number etc so pensions can be paid into it. This means we can choose when to change it to euros depending on exchange rate and as Transferwise charges are so much less than banks we gain. We can also have a card on this account if we want so can use it buy online in sterling etc.


That's interersting Veronica, especially the Transferwise a/c option you mention. I'll look further into it. Many Thanks !

This forum has certainly been a big help in this past week or two.


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## Veronica (Apr 5, 2008)

Andaluz said:


> That's interersting Veronica, especially the Transferwise a/c option you mention. I'll look further into it. Many Thanks !
> 
> This forum has certainly been a big help in this past week or two.


Its really easy to open a Transferwise account online.


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## snikpoh (Nov 19, 2007)

Chopera said:


> I've heard nothing from Halifax either.


I read somewhere recently that Lloyds (and this includes Halifax of course) are considering closing accounts to non-UK residents.

The article was from a financial institution so don't know how accurate it is.


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## Andaluz (Oct 6, 2020)

Here is a link for a relevant article in The Guardian (online) yesterday, Friday 27th November.

*City of London faces Brexit uncertainty over access to EU markets*








City of London faces Brexit uncertainty over access to EU markets


UK’s failure to offer assurances over regulatory changes is causing delays, EU diplomats told




www.theguardian.com





Couple of extracts

_UK-based firms will lose automatic passporting rights at the end of the year which allow them to offer services across Europe. They will either need to establish bases in the EU or rely on the European commission to unilaterally find UK regulations to be equivalent to the Brussels rulebook in order to continue to serve EU customers....._


.._.But Paulina Dejmek-Hack, a senior member of the EU negotiating team led by Michel Barnier, told diplomats on Thursday that the commission was unsure that any of the outstanding equivalence decisions could or should be made before the end of the transition period.

“That is unclear at this stage,” she said. “It is unclear what the UK sees as the way forward after 1 January. This is in essence the problem that dogs the entire equivalence process.”...._


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