Receiving British Pension In Thailand

[Taijitu]

Of the relatively few countries that have direct banking arrangements with the UK, Hong Kong is the nearest one to Thailand. You can check which banks have branches in Hong Kong from this link:

Banks in Hong Kong

Whilst I was making plans for the security of my family after my death, I asked my UK bank if I could extend my personal account to a joint account in the name of myself and my wife (a Thai national). As we live in Thailand, this was not possible unless we went to the UK. This is when the Pension Service were very helpful to me. It was suggested that we open a joint acount at a bank located near to Thailand and with direct banking facilities with the UK........hence Hong Kong came to the surface. HK is the closest and the least expensive to travel to. So, I wrote (e-mail) to the HSBC bank in Hong Kong and received the followng reply

Thank you for your email of 28 February 2006 expressing your interest in our banking services. I would like to provide you with the relevant information. We welcome the application for our new accounts from individuals in the capacity of either sole or joint, all at their preference. However, since you will receive pension from the UK, may I suggest that you consult the paying party on the feasibility of paying you the pension to a joint account or even your wife's account. (I did and it was feasible).

To cater for your personal needs, may I introduce to you our PowerVantage account (PVA), an integrated account that bears the following features:

-Incorporated with savings accounts and time deposit accounts in HKD and up to ten major foreign currencies, eg THB

-Provides full automated services, eg ATM card, HSBC Internet Banking Services, so that you can access your account worldwide

For more details of our accounts offered, you may feel free to browse our website: http://www.hsbc.com.hk, or call the hotline: 852-2233 3722 or 3888 during normal office hours.

To complete the formalities of opening our new account, you are most welcome to visit our branch during your trip to Hong Kong. To facilitate the process, would you please bring along the following:

-the original of your valid identification document, eg your passport

-an initial deposit (HKD10,000 or the equivalent in foreign currencies, eg THB)

-proof of your existing residential address in the latest three months, eg the bank statement or the utility bill (electricity bill)

and preferably any of the documents below:-

-a Bank Reference Letter issued by your banker

-an employment letter/contract from your HK employer

-an introduction letter from an existing HSBC customer with more than one year relationship

As a reminder, the Bank is pleased to consider the customers' new account application after the assessment and discretion in compliance with our internal guidelines. I hope you find the information useful, and look forward to being of services.

Yours sincerely

Customer Communication Officer

Direct Financial Services

That's what we did....short holiday in HK, a visit to HSBC (and Disney for our daughter) and now my UK company Pension and my UK State Pension are paid directly by electronic transfer to our joint account in HK. We have international debit cards and credit cards and security for my family on my death.....without the tremendous and worrying hassle that my wife would have if I had stayed with UK banking. Note that, from the link, there are branches of Lloyd's Bank, Barclay's Bank, Siam Commercial Bank, Thai Farmer's Bank, Bank of Scotland, Royal Bank of Scotland, Citibank and Bangkok Bank in HK also.

I hope that this is useful to you

[Godders]

Don't worry about not being able to set up a UK bank account. Why bother when you'd have to pay tax on your savings. Better to set up an offshore account, which will be tax free, to accumulate your pension money. Then you could have it transferred electronically to a Thai bank or draw it via an ATM.

Sorry to disappoint you, but you are wrong.

It doesn't matter where you set up your bank account, you are liable to pay tax on your Uk state pension income, after deduction of your appropriate personal tax allowances.

If you are non resident for tax, it is only your NON UK INCOME that is free of the UK tax net.

Sorry if I confused everyone. Of course UK pensions (state or company) are taxed at source, even for expats resident outside the EU. I know because mine are! By "savings", I meant the original poster's net pension, on which interest would be paid gross if it were deposited offshore.

[pontious]

Mobi is right- after your personal allowance is used the rest will be taxed at the normal rates. Tax free in - tax payable out- I agree it is a pain!!!!!!