# Getting a UK pension paid in Spain



## kingsway1 (May 1, 2015)

I know I can have a UK State Pension paid in Spain - but I've heard it can be a problem with other, private pensions in that some pensions will only pay into a UK bank account but it is almost impossible to open an account with a UK Bank if you are not resident in the UK!

Has anyone come across this problem? Is there a simple answer? 

TIA


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## 90199 (Mar 21, 2010)

Mine are paid into a U.K. account that I opened long before I arrived in Spain. However others on here have their pensions paid into Spanish accounts.


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## DunWorkin (Sep 2, 2010)

Yes, I have that problem with a very small private pension - paid once a year. 

They will not pay into a Spanish bank so I have it sent to me by cheque (in GBP). I then pay it into my Spanish bank.

Our other private pensions and our state pensions are all paid into our Spanish bank.

My advice is to keep a UK account open when you move.


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## Sandy64 (Aug 11, 2015)

If you've already closed your UK account, an alternative could be to open an account in Jersey. It's easy to do and the banks are part of the UK banking system so transfers are no problem.


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## Williams2 (Sep 15, 2013)

kingsway1 said:


> I know I can have a UK State Pension paid in Spain - but I've heard it can be a problem with other, private pensions in that some pensions will only pay into a UK bank account but it is almost impossible to open an account with a UK Bank if you are not resident in the UK!
> 
> Has anyone come across this problem? Is there a simple answer?
> 
> TIA


That's why I say, time and time again to wannabe Expats - don't close any of your 
UK Bank, savings accounts etc.
Fortunately the rules barring British Expats from opening a UK bank account ( while
Non Resident UK ) are going to change next year but not until September I think.


Expats in the EU will be able to open a Basic UK bank account in 2016

For those that cannot wait that long - Sandy's idea of an Offshore UK Bank account in
the Channel Islands or the Isle of Man would be another idea.


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## davexf (Jan 26, 2009)

Hola

To get your old age pension paid in Spain is free and is always a good rate; a lot of people have their private pensions paid into the UK and use transfer companies to exchange into euros as and when necessary depending on the rate. 

Davexf


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## snikpoh (Nov 19, 2007)

davexf said:


> Hola
> 
> To get your old age pension paid in Spain is free and is always a good rate; a lot of people have their private pensions paid into the UK and use transfer companies to exchange into euros as and when necessary depending on the rate.
> 
> Davexf


... but that's no good to the OP as he hasn't and can't get a UK account to have it paid into.


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## Alcalaina (Aug 6, 2010)

I wonder if it's possible to get the pension paid directly to a currency exchange service (e.g. CurrencyFair or TransferWise) so they can convert it to euros and pay it into your Spanish account? Might be worth asking them.

https://www.currencyfair.com/perfectfor/retired-expats-currency-exchange/


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## kingsway1 (May 1, 2015)

Sandy64 said:


> If you've already closed your UK account, an alternative could be to open an account in Jersey. It's easy to do and the banks are part of the UK banking system so transfers are no problem.


As I understand it, if I no longer have a UK postal address the UK bank will close the account - regardless of my wishes - as they are so worried about 'money laundering'.

Needless to say, the big crooks who are doing the majority of the laundering no-doubt have their own ways around the difficulties - its the poor ordinary suckers like us who get given a hard time by the system!

When I came back to the Uk 15 years ago, I had such difficulty opening an account in which I could pay my salary, I almost gave up and left the country again! Fortunatley I had had an account with a major bank previously, and they were very kind and bent the rules very slightly!. Such a 'pain'!


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## kingsway1 (May 1, 2015)

snikpoh said:


> ... but that's no good to the OP as he hasn't and can't get a UK account to have it paid into.


I do currently have a UK account, as I am still living and working here. If I sell my house and leave for Spain, however, it does sound like I have little chance of keeping a UK account going.

I have yet to contact my private pension - which I receive from the Natural Environment Research Council - to see if they would be willing to pay it directly into a Spanish account... Here's hoping! :fingerscrossed:


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## kingsway1 (May 1, 2015)

DunWorkin said:


> Yes, I have that problem with a very small private pension - paid once a year.
> 
> They will not pay into a Spanish bank so I have it sent to me by cheque (in GBP). I then pay it into my Spanish bank.
> 
> ...


Okay - so I guess that the worst that might happen is I have to take it as a cheque and pay it into a Spanish account. Do you lose out because of that in any way - ie bank charges or lost interest?

I would probably retain the UK account if I have that choice - but it is sounding like I may not have that choice once I am no longer domiciled in the UK


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## Rabbitcat (Aug 31, 2014)

You are a bit confused

There's no problem retaining a UK account when you are no longer UK resident- you are just not allowed to open a new one


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## davexf (Jan 26, 2009)

Hola 

Ask your current bank if they are happy for you to live abroad and retain your account; if not then try other banks and also supermarkets as in Tesco who may have different rules. I know some people retain their current account by using their children's address 

Davexf


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## mrypg9 (Apr 26, 2008)

kingsway1 said:


> Okay - so I guess that the worst that might happen is I have to take it as a cheque and pay it into a Spanish account. Do you lose out because of that in any way - ie bank charges or lost interest?
> 
> I would probably retain the UK account if I have that choice - but it is sounding like I may not have that choice once I am no longer domiciled in the UK


I don't have a UK bank account, I closed it when I left ten years ago. I have an offshore account, two in fact with the same bank, one in sterling, one in euros. My pensions and other income are paid into the sterling account and when the rate is good I buy euros using Currency Fair and get them paid into the euro account.
I also have a Spanish bank account but I keep as little as possible in this account and use it mainly for utility direct debits and insurances. I live off my offshore euro account credit or debit card.
The reason for keeping my Spanish account as low as possible is that I have heard horror stories of accounts being frozen or money deducted over tax disputes or traffic fines you may not have known of or which may even be mistakes. A friend borrowed my car and got a 300 euro fine but as the car is in my name the correspondence came to me. He has paid but just in case of administrative error at the DGT I've run the account down until the next electricity bill....


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## Justina (Jan 25, 2013)

*Money*



Rabbitcat said:


> You are a bit confused
> 
> There's no problem retaining a UK account when you are no longer UK resident- you are just not allowed to open a new one


Never ever close an account in the UK.
As one poster above mentions, it has nowt to do with most of us who just want their pension, but all to do with the narcos who are probably laughing their bots off.
My pension goes through my bank in the UK and while I may pay cents more to collect it here, I prefer to always have the account open.


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## Williams2 (Sep 15, 2013)

Rabbitcat said:


> You are a bit confused
> 
> There's no problem retaining a UK account when you are no longer UK resident- you are just not allowed to open a new one


CORRECT - I don't know where Kingsway and others, have got this idea - that if I leave the UK to live
in Spain, I'll have to close all my Britiah bank accounts and savings accounts. 

NO WAY Jose !! - Your are legally entitled to retain your UK accounts, even if you have
moved permanently to Spain. The only thing you will be denied being able to
do - is open any new UK current accounts and savings accounts after you become
UK Non Resident.
Hence the reason for hanging onto what you got - in the first place !!

All UK Expats who move to Spain can retain and carry on using their UK accounts as
normal. The change of address from the UK to Spain, is nothing out of the ordinary
for your British bank to handle.


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## 90199 (Mar 21, 2010)

Rabbitcat said:


> You are a bit confused
> 
> There's no problem retaining a UK account when you are no longer UK resident- you are just not allowed to open a new one


Neither are you allowed to open a new credit card account, so make sure you have one of those also, before you leave the U.K.


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## Williams2 (Sep 15, 2013)

Hepa said:


> Neither are you allowed to open a new credit card account, so make sure you have one of those also, before you leave the U.K.


It's like that old cliche, hold on to what you've got !! otherwise you might regret it later !!


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## kingsway1 (May 1, 2015)

snikpoh said:


> ... but that's no good to the OP as he hasn't and can't get a UK account to have it paid into.


I do currently have an account, but have heard that I will not be able to keep that account open whn no longer resident (domiciled) in the UK


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## Justina (Jan 25, 2013)

*Codswallop*



kingsway1 said:


> I do currently have an account, but have heard that I will not be able to keep that account open whn no longer resident (domiciled) in the UK


That is absolute nonsense. I have lived outside of the UK for over forty years and my account has always been there. I use my debit card when I need extra dosh. I believe it is true that you can't ask for credit cards once you leave, but in my case I have learnt to live within my income and if I can't pay with my debit card, then I don't buy.


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## kingsway1 (May 1, 2015)

Justina said:


> That is absolute nonsense. I have lived outside of the UK for over forty years and my account has always been there. I use my debit card when I need extra dosh. I believe it is true that you can't ask for credit cards once you leave, but in my case I have learnt to live within my income and if I can't pay with my debit card, then I don't buy.


Do you have a UK postal address, or do the bank know where you are actually living?

Things do change, of course, and I guess it could be regulations have recently changed...


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## 90199 (Mar 21, 2010)

kingsway1 said:


> I do currently have an account, but have heard that I will not be able to keep that account open whn no longer resident (domiciled) in the UK


I kept my two with a Canary Island address, however Bosslady was misinformed by staff at the different Bank Branch, so she mistakenly closed hers. 

Some employees just do not know what they are talking about, best to check and check again.


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## kingsway1 (May 1, 2015)

Hepa said:


> I kept my two with a Canary Island address, however Bosslady was misinformed by staff at the different Bank Branch, so she mistakenly closed hers.
> 
> Some employees just do not know what they are talking about, best to check and check again.


Yes indeed - I sometimes get the feeling that when I ask a question of accountants etc that I am the first person in the world who has ever had that particular problem/question, and getting a straight answer can be very difficult!!


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## mrypg9 (Apr 26, 2008)

Justina said:


> That is absolute nonsense. I have lived outside of the UK for over forty years and my account has always been there. I use my debit card when I need extra dosh. I believe it is true that you can't ask for credit cards once you leave, but in my case I have learnt to live within my income and if I can't pay with my debit card, then I don't buy.


I decided to close my UK account when I left purely for convenience as at the time I had accounts in the UK, Canada and the Czech Republic so one offshore account was easier to keep track of.
My UK bank made it quite clear that they were happy to retain my UK account though.
Although I have credit and debit cards in sterling from my offshore account I have never used them, preferring my old Tesco Club/ credit card which I've had for almost twenty years. I use it for online sterling shopping and when in the UK when I use up the cash vouchers I accrue from using the card. The vouchers get sent to me here.


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## mrypg9 (Apr 26, 2008)

Justina said:


> That is absolute nonsense. I have lived outside of the UK for over forty years and my account has always been there. I use my debit card when I need extra dosh. I believe it is true that you can't ask for credit cards once you leave, but in my case I have learnt to live within my income and if I can't pay with my debit card, then I don't buy.


What you say is true. But using a credit card doesn't mean you are using the credit, not if you pay off the amount you have spent when the monthly bill comes in.
In all the years I've had credit cards I have always paid in full and have never paid a penny or cent in interest.
When I had a problem with Amex and suggested to them that I was a good customer of many years standing I was told that I was a very bad customer as they had earned nothing off me!
I like using my credit card as I can compare total month on month spending without having to add up each purchase.
I dislike paying interest of any kind so don't take credit, including mortgages.


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## Justina (Jan 25, 2013)

*Banks*



kingsway1 said:


> Do you have a UK postal address, or do the bank know where you are actually living?
> 
> Things do change, of course, and I guess it could be regulations have recently changed...


No, I don't have an address in the UK. I did have a minor prob a couple of months ago when I discovered that my British debit card was out of date. I spoke to the bank and they invited me to go to London to collect my new card which I declined so with the agreement of a friend in Glasgow, I sent him a letter of permission and he took his passport and collected the card and sent it on to me. The bank also took the extra precaution of phoning my mobile number while my friend waited.
Yes, I do get bank statements here to Spain.


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## snikpoh (Nov 19, 2007)

kingsway1 said:


> Do you have a UK postal address, or do the bank know where you are actually living?
> 
> Things do change, of course, and I guess it could be regulations have recently changed...


You don't have to have an address in UK and yes, my banks know where I am and they send me statements here.

Nothing has changed in this regard for many years.


However - some banks will absolutely NOT allow an account holder to have a foreign address!


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## Justina (Jan 25, 2013)

*Credit cards*



mrypg9 said:


> What you say is true. But using a credit card doesn't mean you are using the credit, not if you pay off the amount you have spent when the monthly bill comes in.
> In all the years I've had credit cards I have always paid in full and have never paid a penny or cent in interest.
> When I had a problem with Amex and suggested to them that I was a good customer of many years standing I was told that I was a very bad customer as they had earned nothing off me!
> I like using my credit card as I can compare total month on month spending without having to add up each purchase.
> I dislike paying interest of any kind so don't take credit, including mortgages.


I did have credit cards at one time and like you generally paid off the lot when the bills came in although back in Mexico I had a card from my favourite store where I could pay interest free over nine months so was able to buy various things in a more gentle fashion.
However, I never used them in supermarkets with the reasoning, stupid, I suppose, that I didn't want to pay up for what we had already eaten.
I used to watch customers ahead of me in queues,flicking open their wallets and swithering which card to offer. I felt that I could see their brains working out how much they already owed.


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## Alcalaina (Aug 6, 2010)

I have two UK accounts registered to my Spanish address, one with Lloyds and one with Halifax, and they continue to send me debit cards.

I have never heard of anyone having their UK account closed against their will when they move overseas - especially if there's a pension being paid into it each month.


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## Williams2 (Sep 15, 2013)

mrypg9 said:


> What you say is true. But using a credit card doesn't mean you are using the credit, not if you pay off the amount you have spent when the monthly bill comes in.
> In all the years I've had credit cards I have always paid in full and have never paid a penny or cent in interest.
> When I had a problem with Amex and suggested to them that I was a good customer of many years standing I was told that I was a very bad customer as they had earned nothing off me!
> I like using my credit card as I can compare total month on month spending without having to add up each purchase.
> I dislike paying interest of any kind so don't take credit, including mortgages.


Also some UK Credit cards still give cashback on your UK purchases, most notably the
American Express Credit cards with 1 per cent cashback ( so long as you settle your
monthly bill in full each month )
Some UK Mastercard Credit cards used to give 1 or 1.25 per cent cashback but all
of the Mastercard cashback bearing cards were discontinued this year.


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## The Skipper (Nov 26, 2014)

kingsway1 said:


> Do you have a UK postal address, or do the bank know where you are actually living?
> 
> Things do change, of course, and I guess it could be regulations have recently changed...


We moved to Spain eight years ago and had accounts with Nationwide and Barclays. We wrote to both banks telling them that we were moving permanently to Spain and there was no problem whatsoever. Statements and replacement credit/debit cards have been sent to our Spanish address without question. We have a Spanish current account but keep just enough in this to cover monthly bills, transferring money from the UK to Spain using TransferWise as and when necessary.


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## Brummie100 (Dec 31, 2015)

Will a UK Santander bank account be suffice when moving to Lanzerote or are we required to open account in Spain prior to gaining residence?


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## snikpoh (Nov 19, 2007)

Brummie100 said:


> Will a UK Santander bank account be suffice when moving to Lanzerote or are we required to open account in Spain prior to gaining residence?


Santander UK has little to do with Santander Spain.

In order for you to sign on the list of foreigners in Spain you will need to show health care and sufficient wealth so as to not be a burden on the state. You don't actually "gain residence".

It is commonly accepted that an income of around 600€ per person per month and or 6000€ of savings per person is sufficient. However, this should be into a Spanish bank and for income, needs to have been coming in for several months.

If you are a state pensioner then the S1 form from DWP proves health care and your pension, if paid into a Spanish bank, is sufficient income.


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## Brummie100 (Dec 31, 2015)

Ok thank you..on my visit to Lanzerote in Feb can I open a Spanish bank account or does that sound to easy?


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## snikpoh (Nov 19, 2007)

Brummie100 said:


> Ok thank you..on my visit to Lanzerote in Feb can I open a Spanish bank account or does that sound to easy?


... do you mean too easy ?

Yes, no problem. Open a non-resident account with just your passport and then convert it to a resident account when you have the necessary paperwork.

Choose your bank carefully, Santander are certainly NOT the cheapest.


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## Brummie100 (Dec 31, 2015)

Once again ty. .We are looking for a property in Lanzerote a 2/3bed duplex to purchase now with a view to take early retirement within the next 8 years ...and yes it was supposed to be too


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