Barclays (UK) don't want expats?

[eddi]

Two friends of mine have had their Barclays Bank accounts closed recently. I don't know the details of this action but they both had sufficient funds in their accounts and had been using their Thai address for some years.

I have a Barclays account which has been registered to my Belgian address for10+ years with no problems.

Now I have received a letter from Barclaycard saying my card will be cancelled from next month unless I can provide a UK address with proof of residence there.

As there is no way that I can provide that information I'll have to accept the loss of my only GBP Visa card.

Is this due to banks getting ready for the post Brexit era? Anyone else getting the same treatment?

[samsensam]

 

in the uk the banks are falling over themselves to attract customers, it always puzzles me why thai banks and banks in thailand dont seem to want/make it difficult to get new customers. maybe they are worried about fraud or money laundering or something...

[sanemax]

This is quite common for numerous UK banks , they close down bank accounts of people not living in the U.K.

[oldwelshman]

I recently spoke to Barclays as I heard about banks ditching expats. They assured me as long as my account is "active" they will not close it. Maybe your friends had funds in it but it was dormant?

Would be funny if they ditched me as I would not be able to repy the mortgage I have with them lol

[55Jay]

FWIW, same with US banks, some more than others.  Very annoying.

[hansnl]

11 hours ago, sanemax said:

This is quite common for numerous UK banks , they close down bank accounts of people not living in the U.K.

Same happening in the rest of Europe for people living outside the EU.

[tigerbeerz]

Many UK Banks have Offshore equivalents of their Banks based in Isle of Man or the Channel Islands. Try Lloyds, Barclays or HSBC for expat accounts.

[soalbundy]

1 hour ago, hansnl said:

Same happening in the rest of Europe for people living outside the EU.

I hope not, I have had my German account for 30 years and have been in Thailand for 13 years, never had a problem up til now, maybe because of my overdraft !! I have heard of customers living in England losing their accounts in the UK because of connections with money transfers (all legal) outside of Europe, no explanation given, possible worries about money laundering,there were a few cases in the papers a year or two ago, the banks were rigorous and unrepentant.

[Wake Up]

13 hours ago, samsensam said:

 

in the uk the banks are falling over themselves to attract customers, it always puzzles me why thai banks and banks in thailand dont seem to want/make it difficult to get new customers. maybe they are worried about fraud or money laundering or something...

The OP is complaining of a UK bank not Thai banks. Time to back off that Thai criticism automatic button. ?

[Tidybeard]

I am with Barclays and had the same response from them. I am told it is part of the new "Ring fencing" regulations that are designed to protect UK citizens from bank collapse in the future. Part of the regulations says that only UK residents can have a UK based bank account. 

You can still have a Barclays offshore account - but I personally don't trust these much as I like to have a face to talk to when things go wrong.

 

Up to the Op if he fancies it or not...

[huainnews]

  It is worldwise, no doubt to stop money laundering, known as the Common Reporting Standard.  

  I had to close my HSBC account in Malta, which I kept open thinking I would probably return there, because my account had not been active in the last 183 days.

  They are also verifying proof of residency for your tax status.

[NE1]

Barclays froze my bank account because of a " security risk " .

After numerous International phone calls and a trip to the British Embassy in Bangkok for a stamped proof of I.D. and sending said documents. back to the UK via EMS ( none of this came cheap ).

It turned out that a Barclays bank employee had mis-spelt my surname and some body had figured this a security risk.

 

Anyway , after about a month of messing about , they finally opened it up again , I asked them to compensate me for my financial outlay which they refused to do.

So next time I returned to the UK I closed the account.

 

[Bangkok Barry]

14 hours ago, eddi said:

Now I have received a letter from Barclaycard saying my card will be cancelled from next month unless I can provide a UK address with proof of residence there.

 

I have a Barclaycard as a relic of when I used to bank with them decades ago. I got the same 'threat' about three or four years ago and resigned myself to losing the card I'd had for 28 years. A couple of months after their deadline date for providing a UK address they sent me a letter about updated rules or some such, so I called them and said I thought my card had been cancelled. They knew nothing about the 'threat' letter and the account is still active. So - they may cancel your card, or they may not.

Note this relates only to a Visa card, not holding an account with Barclays. I do have an account with HSBC and they have my Thai address, and last year I had to supply them with various documents signed by a lawyer here, but there was no mention of closing the account. All seems a bit hit and miss, not something one likes to see with their banking arrangements.

My sister has now moved back to the UK from Spain though so I'm using her address as they still refuse to send any renewal cards to Thailand, such is its reputation for fraud.

Edited May 12, 2018 by Bangkok Barry

[NE1]

Strange , I received my HSBC card through the post last week .

[Scouse123]

15 hours ago, sanemax said:

This is quite common for numerous UK banks , they close down bank accounts of people not living in the U.K.

 

I nearly had the same problem with Barclays as I myself had closed my account as it was dormant. I then went buying a couple of houses in the UK and wanted to reopen with Barclays which I thought would be straightforward. It wasn't. I was unable to satisfy the automatic account opening machine with a computer in the foyer. I had then to do this with a human.

 

She entered all details and documents, some but not all from the previous account, we then had to wait a couple of minutes whilst the computer went through an algorithm I think, checking and validating. It then churned out an approval.

 

It did feel like an interview to decide whether I was a worthy customer! However, I am now up and running and all working fine. (I do have a registered UK address, even though I don't physically live in it), which is my property,  I think that helps.

[pattaya1234was]

I moved house in Pattaya and wrote to notify Barclaycard  about my new address. They then cancelled the card as they did not deal with Thailand. The fact that I have been living here for 20 years did not seem to come into it. Strange. At 77 years of age and without a Work Permit it is virtually impossible to obtain a Credit Card. I do not have a UK address.   I was lucky to find Amex who treated me superbly and within a week I had a new card with the same limits as Barclaycard.

Like others on here I am now waiting for Barclays to cancel my Debit card.

[Golden Triangle]

I've had my account with Nationwide for probably 40 years, when I retired here I sold my gaff in the UK and just updated my address details with my daughters down in the South country, I have transferred large amounts of money from my Nationwide account to my bank here with no problems, they will not send my Debit Card here but my daughter sorts that for me, same with my MBNA credit card, they have my address as my daughters in the UK so no problems there and I have used it a few times here with no problems.

 

Also any Premium bond winnings go into my account along with my army pension, so as long as you have a valid UK address you should have no problems.  

[VBF]

5 minutes ago, Golden Triangle said:

Also any Premium bond winnings go into my account along with my army pension, so as long as you have a valid UK address you should have no problems.  

I think the whole point of this thread is for people who no NOT have any sort of UK address but who have been reputable customers of Barclays, and others for a long time.

 

I do know that at least 10 years ago, when I was considering moving to Thailand, Barclaycard, as opposed to Barclays (different organisations) told me that they'd never send a card to Thailand. I rather think that if i had moved, I would have lost that card.

Even my offshore (Isle of Man) bank will only send cards to Thailand via courier not actual post, and when they do, it arrives un-activated until I call them.

[champers]

Some 10 years or so ago, many banks worldwide got their fingers burned by their casino style reckless  gambling on US sub prime mortgages. Nobody of any consequence from the banking industry ended up in prison.

Many banks went out of business, the rest are now subject to stricter forms of regulation, which they like to pass on to their customers. 

I still can bank with Halifax in the UK. When I speak to the 24 hour banking staff, they assure me that having my address in Thailand is OK. Before I left the UK, one of their branch managers told me, rather haughtily, my account would be closed and a cheque sent to me. I have banked with them for over 30 years but accept that I may one day be subject to an algorithm or just someone getting out of the wrong side of the bed. 

Banks are like shops nowadays; staff have to meet sales targets and wholesale redundancies and branch closures means morale is low. Thai banks are going the same way.

[scottiejohn]

3 hours ago, Tidybeard said:

I am with Barclays and had the same response from them. I am told it is part of the new "Ring fencing" regulations that are designed to protect UK citizens from bank collapse in the future. Part of the regulations says that only UK residents can have a UK based bank account.

Wrong on both counts.

 

This has nothing to do with "ring fencing" which is where the UK banks must split their commercial banking from their investment banking. This is happening at this moment and all UK bank customers, home or abroad, of the big banks have received info about their accounts being moved to the new bank company if applicable.

 

The threat of closure of accounts for long standing customers, whether in the UK or abroad now is that the banks must have proof of your identity under the new identity rules brought in with "The Money Laundering Regulations 2017". The rules when you opened your account many years ago are not sufficient to meet the new rules. The banks are now forced to ask many long standing customers to comply with these requirements and are obliged by UK law to close your account if you do not comply. This process is known in the banking trade as the "Know Your Customer (KYC) criteria".

 

Please don’t blame the banks. It is not their fault.

[Baerboxer]

7 hours ago, Tidybeard said:

I am with Barclays and had the same response from them. I am told it is part of the new "Ring fencing" regulations that are designed to protect UK citizens from bank collapse in the future. Part of the regulations says that only UK residents can have a UK based bank account. 

You can still have a Barclays offshore account - but I personally don't trust these much as I like to have a face to talk to when things go wrong.

 

Up to the Op if he fancies it or not...

 

They told you differently to my experience with HSBC. I have accounts in the UK and Expat accounts in Jersey. Ring fencing will not mean any get closed. I am resident in Thailand for some years and all my accounts have my Thai address, telephone number as contact details. 

 

However, opening a new account might not be so easy. Some banks won't open new accounts for expats.

[DiDiChok]

It's about time you all woke up!  Why not use TransferWise to send money ( https://transferwise.com/ ) to Thailand and get yourselves a "Borderless Account" with a MasterCard?

See here:  https://transferwise.com/gb/borderless/

 

Works for me.

[orientalist]

22 hours ago, eddi said:

As there is no way that I can provide that information I'll have to accept the loss of my only GBP Visa card.

 

Two possible alternatives if you just need a debit card in GHB:

 

1. TransferWise Borderless Account just started offering a Mastercard debit card in Europe and will also roll out the card to other countries this year. You can sign up with a Thai address as this is an "electronic money account" rather than a traditional bank account. I only had to send them a copy of my passport.

 

2. Monzo current account comes with a Mastercard debit card. You need the use of a UK address but don't have to state that you are resident there or tax-resident. I had to send them a video of myself and a copy of my passport. They actually couriered my card to Thailand when I told them I wouldn't be in the UK for a few months.

 

Although my UK bank recently sent me a form where I had to disclose my Thailand tax-residency (because I once gave them my Thai phone number), they haven't hassled me about this. I maintain a UK SIM, registered with the bank, and keep it active for voice roaming in Thailand so I can receive SMSes. I use a VPN with UK IP for logging in to online banking and never transfer money directly to Thailand (Transferwise is better anyway), but I occasionally use the debit card to buy something from UK Amazon. Hopefully, this will keep them happy.

[Scouse123]

4 hours ago, DiDiChok said:

It's about time you all woke up!  Why not use TransferWise to send money ( https://transferwise.com/ ) to Thailand and get yourselves a "Borderless Account" with a MasterCard?

See here:  https://transferwise.com/gb/borderless/

 

Works for me.

Hi,

 

Sorry if I appear a bit dim here.

 

just set this up with my passport. You have used this service, yes?

 

I noticed it's set up in 2018 and I don't want funds disappearing down a black hole.

 

What is the purpose of a MasterCard if you are just, for example, paying for goods and services in the UK from a Thai bank account?

[Artben]

Keep in mind that anything you are told regarding policy has little permanent value as the Board of Directors and/or senior officers can, and will, change it any time they believe it will help increase profits, decrease expenses or prevent problems.  Any information obtained from a bank branch might be accurate today but can change tomorrow.   It may be hard to believe but  the people you speak with in a bank have little or no independent authority and must follow policy to the letter.  They can say no but cannot approve anything that does not fit policy exactly.  The same is true for most any  corporations.  

[Oxx]

16 hours ago, scottiejohn said:

Please don’t blame the banks. It is not their fault.

 

I think one can blame them for (a) the sheer inconsistency of their implementations of the rules, and (b) the failure to communicate what is going on.

[DiDiChok]

8 hours ago, Scouse123 said:

Hi,

 

Sorry if I appear a bit dim here.

 

just set this up with my passport. You have used this service, yes?

 

I noticed it's set up in 2018 and I don't want funds disappearing down a black hole.

 

What is the purpose of a MasterCard if you are just, for example, paying for goods and services in the UK from a Thai bank account?

Yes, I use the services, it's saving me a lot of money and there's no black hole as they are UK regulated.  May I suggest that you follow the links that I provided and read what's there.  I was answering the OP's original problem of overcoming running a UK account that insists on a UK address.  The borderless account does what it says - multiple currencies in one account and live where you like.  Note that you cannot (yet) transfer money from Thailand and some other places back to the UK.  You can send money from the UK though and hold multiple currencies in your borderless account and transfer money between the currencies.  While you can get money and services using the card, it's often more advantageous to transfer to a local account in a currency's country.  If you only live and buy things in the UK, I can't see any point in using TransferWise at all.  As their advertising says:

Spend at the real exchange rate.

Spend the currencies in your account anywhere in the world with the TransferWise debit Mastercard®. Get low conversion fees, and zero transaction fees.

• Free to pay with currencies in your account
• Free ATM withdrawals up to £200 per 30 days
• Only pay a small conversion fee when you convert your money — typically between 0.35% and 1%
• Automatically convert your money at the real exchange rate
• Accepted anywhere in the world that accepts Mastercard

[trd]

For those with Nationwide in the UK the last time I inquired it was possible to have a foreign address for your bank account.

[Scouse123]

4 hours ago, DiDiChok said:

Yes, I use the services, it's saving me a lot of money and there's no black hole as they are UK regulated.  May I suggest that you follow the links that I provided and read what's there.  I was answering the OP's original problem of overcoming running a UK account that insists on a UK address.  The borderless account does what it says - multiple currencies in one account and live where you like.  Note that you cannot (yet) transfer money from Thailand and some other places back to the UK.  You can send money from the UK though and hold multiple currencies in your borderless account and transfer money between the currencies.  While you can get money and services using the card, it's often more advantageous to transfer to a local account in a currency's country.  If you only live and buy things in the UK, I can't see any point in using TransferWise at all.  As their advertising says:

Spend at the real exchange rate.

Spend the currencies in your account anywhere in the world with the TransferWise debit Mastercard®. Get low conversion fees, and zero transaction fees.

• Free to pay with currencies in your account
• Free ATM withdrawals up to £200 per 30 days
• Only pay a small conversion fee when you convert your money — typically between 0.35% and 1%
• Automatically convert your money at the real exchange rate
• Accepted anywhere in the world that accepts Mastercard

Thanks, DiDIchok,

 

I am buying another small house in the UK, so because Thailand gives a lousy exchange rate, especially my bank, Krung Thai, I was wanting to transfer Thai baht over there and then exchange it at a favourable rate when it arrived in the UK, and then send GBP to my lawyers to pay for the house.

 

I don't actually live in the UK, I am over here in Thailand but I do have a registered house address there that I own and pay some taxes in the UK. to keep myself legitimate in case of any dramas/pitfalls over here.

 

I have visa and MasterCard in both countries but I see the point now by getting a MasterCard with a borderless account. This would allow you to use it in local currency whatever country you are in, provided that currency is registered on your borderless account,  and save the poor exchange rates levied by banks.

[sukhumvitneon]

On 5/11/2018 at 11:01 AM, 55Jay said:

FWIW, same with US banks, some more than others.  Very annoying.

Yup.  FATCA compliance means it can be difficult to open accounts overseas too.

Edited May 13, 2018 by sukhumvitneon